General Product Liability Insurance in Washington. Is your dispensary compliant?

January 12, 2016

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Are you a  marijuana dispensary or a Cultivation Grow in Washington?  If so, here is some useful information on the General Liability requirements for insuring your facilities.  Product Liability Insurance is critical to compliance and very hard to find. What insurance companies are providing produce liability insurance in the Marijuana industry?  This is often a revolving concern as some carriers have entered the space and then left.  So our brokerage has 3-4 carriers offering product liability and will continue to have options despite the changing industry Take a look at the compliance below and call us for a quote on General Product Liability Insurance.   WAC 314-55-082 Insurance requirements. Marijuana licensees shall provide insurance coverage as set out in this section. The intent of the required insurance is to protect the consumer should there [ 20 ] OTS-7401.3 be any claims, suits, actions, costs, damages or expenses arising from any negligent or intentional act or omission of the marijuana licensees. Marijuana licensees shall furnish evidence in the form of a certificate of insurance satisfactory to the ((board)) WSLCB that insurance, in the following kinds and minimum amounts, has been secured. Failure to provide proof of insurance, as required, may result in license cancellation. (1) Commercial general liability insurance: The licensee shall at all times carry and maintain commercial general liability insurance and if necessary, commercial umbrella insurance for bodily injury and property damage arising out of licensed activities. This insurance shall cover such claims as may be caused by any act, omission, or negligence of the licensee or its officers, agents, representatives, assigns, or servants. The insurance shall also cover bodily injury, including disease, illness and death, and property damage arising out of the licensee's premises/operations, products, and personal injury. The limits of liability insurance shall not be less than one million dollars. (2) Insurance carrier rating: The insurance required in subsection (1) of this section shall be issued by an insurance company authorized to do business within the state of Washington. Insurance is to be placed with a carrier that has a rating of A - Class VII or better in the most recently published edition of Best's Reports. If an insurer is not admitted, all insurance policies and procedures for issuing the insurance policies must comply with chapters 48.15 RCW and 284-15 WAC.