Legal Cannabis / Marijuana Industry Insurance Risk Management 

 

 

KNOW WHO YOU HIRE.

Protect your employees, your customers and your business.

The legal cannabis / marijuana industry faces unique risk management  challenges that must be managed in such a way as to avoid the immeasurable consequences of unfavorable  hiring.

Indeed, the industry faces some of the same or even higher risks as other higher end retail stores where security is a major consideration.

All current and past employees know  they carry and transport cash  and other valuable products that are subject to theft.

They carry significant cash on hand, which is always an attractive target for some people.

Their owners and employees are subject to kidnap and robbery.

Moreover, the reputational damage to the industry that might be caused by the unwanted publicity associated  with criminal activity.

Insurance companies recognize the dangers to the owners, employees and customers of their businesses.

 Business owners understand that these risks can  best be mitigated by employing a  serious and thorough background check on prospective employees.  

 It appears, that while insurance may be difficult to obtain form many insurance companies, those that  are willing to underwrite this business,  do so  with the recognition that a  thorough background check is the best business safety measure for both the employer and the insurance company.

In that connection, Our criminal record Smart Search Plus®  is a thorough background check, that  addresses the need of providing an industry leading background check.

Please click on the link to see the extensive background searches that are included.

Our criminal record Smart Search Plus® includes a social security address history trace, a check of state, county  and Federal Criminal Records, which are not included in many background checks.

Listed below, please find this requirement addressed in the exclusions portion of a General Liability policy issued by one of the major insurance providers to this industry.

 

 

THIS ENDORSEMENT CHANGES THE POLICY.
PLEASE READ IT CAREFULLY.

EXCLUSION – BACKGROUND CHECK WARRANTY

This endorsement modifies insurance provided under the following:

COMMERCIAL GENERAL LIABILITY COVERAGE PART PRODUCTS/COMPLETED OPERATIONS COVERAGE LIABILITY FORM COMMERCIAL PROPERTY COVERAGE PART

This insurance does not apply to “bodily injury,” “property damage,” or “personal injury” arising out of, resulting from, or relating to the conduct or action of an “employee” (not an owner) unless, as a condition precedent:

1. The insured has performed an “employee” background check, which includes past employment verification and a comprehensive criminal history, and

2. the background check evidences no prior criminal history of any felony convictions for assault, battery, vandalism, theft, embezzlement, or any crime of moral turpitude, and

3. the insured has performed the background check as described in

 1. prior to the “employee’s” date of hire and thereafter as required by law.

Please note that compliance with this warranty provision does not waive or except the enforceability of the Employee Infidelity exclusion.

All other terms and conditions of the policy remain unchanged.

All of our reports are FCRA compliant.

Our Automated Employment Screening provides an applicant controlled process that allows FCRA compliant background check forms, including Electronic Chain-Of-custody  forms  and  releases to be completed online by the applicant.

We provide several short videos to easily acquaint you with the system.

This really does make the background check process fast and easy.

Please  Click  or call for more information.

Call us now at 800-459-3034 and begin ordering instant driving records and background checks within minutes or:

A price list will be promptly e-mailed to you.

CALL ANYTIME

Disclaimer

None of the information contained in this web site should be construed as legal advice. All forms, policies, information and procedures should be reviewed by your legal counsel before being used in any way 

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