How to Choose a Cannabis Insurance Broker: Complete Guide for Dispensaries, Growers & Delivery Operators

Learn how to choose the right cannabis insurance broker for dispensaries, cultivators, and delivery services. Protect your cannabis business with expert guidance from OG Cannabis Insurance.

Cannabis businesses face unique risks that standard insurance policies cannot cover. From dispensaries to cultivation operations, delivery services, and infused product manufacturers, the right cannabis insurance broker can ensure you are fully protected, compliant, and claim-ready.

In 2025, choosing a broker is not just about price—it’s about expertise, compliance knowledge, and risk management. This guide shows cannabis business owners exactly how to select a qualified cannabis insurance broker.

1. Choose a Broker Who Specializes in Cannabis Insurance

Not all insurance brokers understand the cannabis industry. Many offer “general” commercial coverage, but cannabis is excluded from most standard policies. A cannabis-specialized insurance broker can:

• Navigate state licensing requirements
• Recommend cannabis-compliant liability coverage
• Protect your crops, dispensary inventory, and delivery operations
• Handle claims related to product liability, theft, or crop loss

2. Multi-State Experience Matters

Insurance regulations vary by state. Your broker should understand:

• Licensing requirements in California, New York, Minnesota, Oklahoma, and New Mexico
• Mandatory liability limits
• State-specific compliance rules for dispensaries and cultivators

A broker with multi-state cannabis experience ensures your policies are compliant no matter where your operations are located.

3. Product Liability Expertise Is Essential

Cannabis businesses face high product liability risks, especially with edibles, vape products, and infused goods. Your broker should know how to:

• Manage contamination and quality control risks
• Structure product liability insurance limits
• Navigate claims with labs, manufacturers, and distributors

4. Work with Cannabis-Approved Insurance Carriers

Your broker should have relationships with cannabis-approved carriers. Using standard carriers can result in:

• Denied claims
• Policy cancellations
• Non-compliance with state regulations

5. Claims Experience Is Critical

A qualified broker should handle cannabis claims efficiently. Look for experience with:

• Crop loss or fire damage
• Dispensary theft or vandalism
• Product recall
• Worker injuries
• Delivery vehicle accidents

6. Full Risk Assessment

A professional broker conducts a risk audit of:

• Facilities and equipment
• Operations and product flow
• Compliance with state regulations

This ensures your insurance matches the actual risks of your business.

7. Avoid Brokers Who Focus on Price Only

Cheapest policies may leave you unprotected. Your broker should prioritize:

• Comprehensive coverage
• Compliance with state laws
• Claims support
• Risk mitigation

8. Ensure Licensing & Compliance Knowledge

Cannabis brokers must understand:

• METRC track-and-trace systems
• State-specific security, labeling, and testing regulations
• Minimum insurance requirements

9. Business-Type Specific Experience

Different cannabis business types have different coverage needs:

• Dispensaries
• Cultivation (indoor & outdoor)
• Extraction labs
• Infused product manufacturers
• Delivery and distribution

Your broker should have experience writing policies for your exact business type.

10. Ten Questions to Ask Your Cannabis Insurance Broker

• How many cannabis clients do you insure?
• Which states do you write cannabis insurance in?
• Do your policies meet my state’s licensing requirements?
• Which cannabis-approved carriers do you use?
• Can you review my current policies for coverage gaps?
• How do you handle cannabis claims?
• Do you provide risk assessments or site evaluations?
• What product liability limits do you recommend?
• How do you ensure compliance with state laws?
• Do you offer crop coverage, equipment breakdown, or cyber liability?

Why Cannabis Businesses Choose OG Cannabis Insurance

OG Cannabis Insurance specializes in cannabis-compliant insurance across the U.S., providing:

• Policies tailored for dispensaries, cultivators, and delivery services
• Multi-state expertise including California, New York, Minnesota, Oklahoma, and New Mexico
• Access to top cannabis-approved carriers
• Risk assessments and claims support
• Competitive, transparent pricing

Protect your business and your license with the right broker today.

Get a Free Cannabis Insurance Quote

Your cannabis business deserves expert protection. Contact OG Cannabis Insurance for a free quote today and secure comprehensive coverage for your dispensary, cultivation site, or delivery operation.