Cargo Coverage for Cannabis Businesses

Protect Your Goods in Transit

What Is Cargo Coverage?

Cargo Coverage protects your goods and property in transit in case of an incident. This insurance policy pays cash value for lost or damaged cargo, inventory and cash, providing peace of mind to you and your business.

When Should You Consider Buying Cargo Insurance?

Whenever you have high-valued goods in transit, you should consider insuring the product or goods, as a standard Property Policy is restricted to your facility, therefore a Cargo Policy is necessary to protect the inventory and cash while off premises in transit. Products like harvested crops take time to cultivate and cannot be replaced. Or cases of retail product that are damaged or stolen. Any loss during transit could set you back several months and could be a significant hit to your bottom line. 

Key Benefits of Cargo Insurance

• Recovery of Financial Losses. Cargo insurance will pay up to the policy limits for lost, damaged, or stolen property while being loaded, transported, or unloaded. 
• Protection of Cargo. You can get all the coverage you need for your goods while in transit. This includes your business’s cannabis products and any cargo in your care, custody, or control,  such as a distribution or transportation company that transports the products for another company.
• Reduce Employee Liability. There are risks every time an employee gets behind the wheel. If your driver falls asleep at the wheel or gets caught driving in dangerous weather, cargo insurance reduces the consequences for your business for transit-related incidents like collisions and accounts for potential human error.
• Minimizes Potential Legal Headaches. If your business runs into a legal issue and you don’t take the time to get the insurance that adequately covers you, your business will reap the consequences later. 
• Control Over Insuring Terms. You can control the type of cargo policy depending on your business’s specific needs. Invest and customize your insurance policy, so you’re protected seamlessly from seed to sale. 

What Does Cargo Insurance Cover? 

• Property Damage and Loss. Your products, goods, and cash are protected from every type of exposure. This includes transportation between internal processing facilities, cultivators, labs, manufacturers, or retail stores.

Have questions about cargo coverage? 

Contact our National Practice Leader 

Kirk Miller – kirk@pcfoy.com – 714.287.0123