For entrepreneurs and traders who work with cannabis or CBD businesses, there are two primary delivery options. Deliveries must be made by either internal company drivers or external drivers hired as contractors for your company.
Even the most cautious drivers may be involved in an accident due to another driver’s negligence or disregard for the law. If the unexpected occurs, it is vital to be prepared and take the required precautions.
For your organization’s security, comprehensive cannabis delivery driver insurance is essential since it guarantees that accidents are covered if they occur. You must ensure that you keep your firm from going out of business. Medical costs, product destruction, and vehicle repairs all add up quickly.
The best way to ensure that the expenses for your business do not exceed your budget due to any loss or accident, make sure that you align yourself with the right cannabis delivery insurance company. Learn more about how important it is for businesses to have cannabis insurance.
Why Is It Important to Get Cannabis Delivery Driver Insurance?
Following are some of the most prominent benefits of cannabis delivery insurance for your businesses.
Insurance Coverage for Auto Risk
Companies that offer delivery services should consider getting business auto coverage to cover both owned and rented vehicles. The coverage should also include the drivers, employees, and consignments. It is critical to disclose that the business carries cannabis if you want the insurance to cover cannabis operations.
Numerous delivery company models heavily rely on using delivery drivers’ vehicles and motor insurance. The majority of personal auto policies have exclusions for commercial use. So, if the driver is in an accident while making a delivery, the policy will not cover property damage, injuries, or any other costs incurred.
Insurance Coverage for Compensation & Crimes
Medical costs, payouts for a deceased employee’s estate, missed income, and legally required workers’ compensation provide coverage for the rehabilitation of wounded workers. Accidents that happen while an employee is on the job are covered. For claims to be settled, documentation of the connection to employment is crucial, especially in delivery situations when the worker is required to perform duties outside of the typical workplace.
Auto and cargo insurance is essential before you start shipping orders or making deliveries for a cannabis or CDB product business. Moreover, you must ensure that your insurance plan complies with all the policies of your respective state and licensing authorities. No matter the facts of the accident, a good insurance provider ensures your business and cannabis delivery driver is well-protected.
Coverage for Non-Replaceable Cargo
Your cannabis cargo insurance coverage could compensate you for money lost due to lost cargo if it cannot be replaced.
For instance, if something were to happen to the delivery vehicle while you were delivering products to a manufacturer, distributor, or dispensary, you might be responsible for the cost of replacing them. In this case, holding a cannabis insurance policy could help cover the costs of most or all lost crops.
Financial Security & Peace of Mind
Financial risk exists for every business. More often than not, more financial risk leads to less clarity regarding the financial destiny of your company. Cannabis cargo insurance helps ensure that you are not held accountable for exorbitant replacement expenses caused by mishaps or delays that occur during the transit of cannabis cargo, giving your cannabis firm financial stability. This peace of mind allows your business to make more informed decisions.
Coverage for Logistical & Reputational Risk
A business model that almost exclusively uses cash is loaded with risks and difficulties, including the need to pay for additional security employees and expensive vendors.
Even if marijuana is legal in the state in question, financial institutions collaborating with cannabis-related businesses may nevertheless face criticism from their partners or members who disagree with the drug’s recreational use or disapprove due to federal legal difficulties. Holding a cannabis insurance policy can protect your business from losses attributed to logistical or reputational risks.
Credible Cannabis Delivery Insurance from MFE Insurance!
As we all know, accidents do happen, whether a car is being driven on the street, on a highway, or even in a parking lot. Accidents are inevitable and can happen due to the negligence of the driver or courier representative.
Businesses can also face a loss if any other driver on the road causes an accident. Regardless of the cause or reason for the collision, every driver should have full and complete insurance coverage in case the unexpected occurs.
Some of the most critical points to keep in mind are that cannabis delivery insurance provides coverage for non-replaceable cargo, logistical risk, compensation, and crimes.
These coverage requirements are one of the specialties at MFE Insurance. We can ensure that your cannabis business insurance policy has the necessary coverage to be successful in any risky scenario.
Don’t wait – contact us today!