The world of business has changed dramatically over the last few years. Where it was once only possible to manufacture and distribute recreational and medical cannabis products in a restricted number of places, now more and more states are opening to the benefits these products can bring to local economies. Of course, there are a number of points to take into consideration if you are a manufacturer of such products.
Review State Regulations
Understanding the specifics of cannabis product manufacturer liability takes time and effort. First and foremost, you want to review the specific guidelines for cannabis manufacturing set forth in the state where you operate. Since cannabis legalization has not happened on a federal scale, manufacturers are held accountable in accordance with the rules put into effect by local lawmakers. A failure to follow some or all of these regulations can lead to hefty fines and potential legal complications. Additional points to consider include:
- General liability coverage
- Product liability, which is often separate from general liability
- Agricultural ordinances
- Marketing and promotional restrictions
Take Time To Understand the Industry
To see success in the field of cannabis manufacturing, it is crucial that you take time to understand your exact insurance needs. Review local regulations and learn what is expected of you in order to find coverage that protects you in all possible scenarios.