As the cannabis industry continues to grow in Michigan, many business owners are asking an important question: Who are the best cannabis insurers in the state? At Spire Insurance Solutions, we believe in providing honest, educational information to our clients and potential customers – even when it comes to discussing other insurance options in the market.
Based on our experience and industry knowledge, here are some of the top cannabis insurers operating in Michigan (in no particular order), along with more detailed information about each:
1. Quadscore
Quadscore is a specialized cannabis insurance provider known for its comprehensive coverage options tailored specifically for the cannabis industry
- Founded: 2018
- Specialization: Exclusively focuses on the cannabis industry
- Coverage Options:
- Property insurance
- General liability
- Product liability
- Crop insurance
- Auto
- Directors & Officers Liability in United States & Canada
- Builders Risk
- Strengths:
- Deep understanding of the cannabis industry’s unique risks
- Known for their risk management services to protect your business
- A- (Excellent) AM Best Rating
Quadscore has quickly become a leader in the cannabis insurance space due to its focused approach and industry-specific expertise. They provide insurance for 30% of the legal cannabis industry in the United States.
2. CannGen
CannGen Insurance Services is another prominent player in the cannabis insurance market, offering a wide range of coverage options.
- Founded: 2008
- Specialization: Comprehensive coverage for Cannabis, CBD, and Hemp businesses
- Coverage Options:
- General and product liability
- Property coverage
- Indoor crop coverage
- Workers’ compensation
- Auto
- Management Liability
- Strengths:
- One of the first insurers to enter the cannabis space
- Offers coverage in all states
- Capacity and Coverage Enhancements
- AM Best “A” rated carrier partners
CannGen’s early entry into the market has allowed them to build a strong reputation and develop policies that address the evolving needs of the cannabis industry.
3. Cannasure
Cannasure is a pioneer in cannabis insurance, offering a wide range of products designed for cultivators, dispensaries, and other cannabis-related businesses.
- Founded: 2010
- Specialization: Cannabis and Hemp
- Coverage Options:
- Property insurance
- General liability
- Product liability
- Crop insurance
- Management Liability
- Workers’ compensation
- Parametric Outdoor Crop
- Strengths:
- One of the longest-standing cannabis insurers
- Comprehensive understanding of the regulatory landscape
- Offers both admitted and non-admitted insurance products
Cannasure’s longevity in the market has allowed them to build strong relationships with carriers and develop a deep understanding of the cannabis industry’s needs.
4. Conifer
Conifer Insurance Company has emerged as a significant player in the Michigan cannabis insurance market, leveraging its experience in other industries to serve cannabis businesses.
- Founded: 2009 (entered cannabis market more recently)
- Specialization: Variety of niche markets, including hospitality and cannabis
- Coverage Options:
- Property coverage
- General liability
- Product liability
- Crop insurance
- Hired/Non-Owned Auto Liability
- Lessors Risk Only
- Strengths:
- New Ventures Considered
- Competitive property rates for rural areas
- Exclusive AM Best A Rated Program Carrier
While newer to the cannabis space than some competitors, Conifer has quickly adapted its expertise to serve the unique needs of the cannabis industry.
5. Illinois Casualty Company (for dispensaries only)
Illinois Casualty Company (ICC) has expanded into cannabis insurance, focusing specifically on dispensaries.
- Founded: 1950 (entered cannabis market in recent years)
- Specialization: Originally focused on hospitality and convenience stores including Liquor Liability, now includes cannabis dispensaries
- Coverage Options (for dispensaries):
- Property insurance
- General liability
- Product liability
- Business interruption coverage
- EPLI included at competitive cost
- Cannabis Stock
- Hired/Non-Owned Auto Liability
- Cyber Liability
- Strengths:
- Long history of providing insurance in highly regulated industries in multiple states
- Strong focus on risk management and loss control
- Expertise in handling cash-intensive businesses
- Inclusion of important coverages at a fraction of the cost
ICC’s experience with the hospitality industry has positioned them well to understand the unique risks faced by cannabis dispensaries.
6. SAICM
Specialty Agriculture Insurance Company of Michigan (SAICM) is an association captive insurance company offering comprehensive policies that were created specifically to address Michigan’s proof of financial responsibility and “Gram Shop” laws.*
- Founded: SARFA was established in 1972; SAICM was formed more recently to address emerging markets like cannabis
- Specialization: Focuses on providing insurance solutions for niche and emerging markets, including cannabis
- Coverage Options:
- Financial Responsibility (attestations)
- Strengths:
- Strengths:
- Strong local presence and understanding of Michigan’s cannabis market
- Understands the complex application and license renewal process
- Has timely delivery of new or corrected policy forms and Michigan attestations within 24-48 hours (usually less)
- Membership resources through Specialty Agriculture Risk & Financial Association (SARFA)
- Defense costs outside the policy limits
Conclusion
It’s important to note that each cannabis business has unique needs, and the “best” insurer will depend on your specific situation. Factors to consider include:
- The type of cannabis business you operate (cultivation, processing, retail, etc.)
- The size of your operation
- Your specific risk exposures
- Your budget for insurance coverage
When choosing an insurance provider, it’s crucial to work with an agency that has experience in the cannabis industry and understands the unique challenges and risks faced by cannabis businesses in Michigan.
At Spire Insurance Solutions, we’re here to help you navigate the complex world of cannabis insurance. While we’ve provided information on some top insurers, we’d be happy to discuss your specific needs and help you find the best coverage for your business.
Remember, the cannabis industry is rapidly evolving, and insurance options may change. Always consult with a licensed insurance professional to get the most up-to-date information and advice tailored to your business needs.
More Cannabis Industry News
Want to stay up to date on the latest cannabis insurance news? You can find more on important topics in the cannabis industry on our blog.
Or get more information about insurance solutions for the cannabis, CBD, and hemp industries from Spire Insurance Solutions here.
About Spire Insurance Solutions:
Spire Insurance Solutions provides risk management solutions to both the Recreational & Medical Industry. Through a consistent approach, Spire is your expert buyer of insurance and helps companies purchase important Insurance coverages in the evolving Cannabis industry. With years over 45 years in business with experience in assessing risk, our team sees that many cannabis related businesses do not have the coverage they desperately need. Our mission is provide unparalleled and caring service to our clients through our knowledgeable staff and give back to our employees, agency, industry and our communities.
When it comes to insurance, it helps to work with an agency that has both the experience and capabilities to meet your needs. We will help you manage and plan for your potential risks. As professionals, we assess your needs and offer you a variety of insurance products to choose from. Let Spire Insurance Solutions elevate your insurance solution to help your growing business.
Disclaimer: This Blog/Web Site does not provide insurance or legal advice. This site is for educational purposes only as well as to provide you with general information and a general understanding of insurance, not to provide specific legal advice or specific contract advice. Viewing this site, receipt of information contained on this site, or the transmission of information from or to this site does not constitute a client relationship.
The information on this Blog/Web Site is not intended to be a substitute for professional insurance or legal advice. Always seek the advice of a licensed agent in your state pertaining to insurance and legal issues.
