Canada always seems to be a step ahead of the U.S. when it comes to the legal cannabis industry. As cannabis continues to become legal for medical and recreational use in state after state in America, our country seemingly looks to Canada for direction.
On October 17, 2018, Canada’s provinces transitioned from medical-only marijuana use to adult-use recreational cannabis as well. Like each state in America, each province in Canada has the right to reject cannabis or to create usage restrictions such as government-only stores or entirely private stores. Before cannabis legality, Canada’s federal government designed a model and store layout, as well as the business processes and banking processes for companies to abide by for the economic transactions inherent in cannabis purchases.
Just like with liquor distribution in Canada, the B.C. Liquor Distribution Branch – the government branch responsible for licensing cannabis retailers – is the one-and-only wholesale distributor in the provinces that can accept product from grower-producers to sell to private and public retailers. Once a retailer purchases product from the B.C. Liquor Distribution Branch, the product is put on the shelves in stores or sold online. In this way, the Canadian government is able to regulate the distribution of cannabis products and also monitor how much cannabis is out there in the Canadian retail world being consumed by citizens.
In Canada under the new reality of legal marijuana, there are rules when it comes to delivering cannabis. For example, cannabis cannot be left in mailboxes or on doorsteps where underage individuals could gain access to the controlled substance. Couriers are responsible to determine age verification upon delivery where individuals must be at least 19 years-old to purchase cannabis, and someone age 25 or older must accept the delivery.
Canada has approved 70 permits currently for stores across its vast geographic territory. At this time, Ontario will only offer online sales while Quebec offers online and storefront locations. Other provinces and municipalities are deciding how they will usher in the age of legal access.
The cannabis industry continues to thrive. This means that cannabis growers are producing crops, cannabis processors are cleaning, inspecting and certifying product, and retail dispensaries are open for business and selling cannabis products to consumers. At National Cannabis Insurance Services, we can assist new and established cannabis businesses in understanding all the issues that can arise when it comes to cannabis as a retail venture.
Talk to our cannabis-specific insurance team to learn about important coverages you should consider in order to protect you and your assets. Contact us today to learn more. Request a cannabis insurance quote here with no strings attached. Thanks for visiting us and for reading this post!