When Assessing Insurance Needs, Medical-Marijuana Dispensaries Must Consider Pennsylvania Regulations
Pennsylvania's burgeoning medical-marijuana industry is and will be carefully regulated. When purchasing insurance, medical-marijuana dispensaries should pay careful attention to the Commonwealth's regulations, in particular to the regulations relating specifically to dispensaries. Pennsylvania's medical-marijuana regulations are only temporary, and most of them (including the ones relating to dispensaries) will expire in 2018
Certain of those regulations directly address insurance. For example, Pennsylvania requires that dispensaries "obtain and maintain an appropriate amount of insurance coverage that insures the site and facility and equipment used in the operation of the facility." 28 Pa. Code § 1141.44(a). "An adequate amount of comprehensive liability insurance covering the [dispensary's] activities authorized by the permit shall begin on the date the initial permit is issued by the Department and continuing for as long as the [dispensary] is operating under the permit." Id.
Pennsylvania also requires that all dispensaries "obtain and maintain workers' compensation insurance coverage for employees at the time the [dispensary] is determined to be operational by the Department." 28 Pa. Code § 1141.44(b).
Other regulations do not specifically address insurance but nevertheless help form a checklist of relevant coverages. For example, with limited exception, Pennsylvania requires that "a dispensary shall ensure that a physician or pharmacist is present at the facility at all times during the hours the facility is open to dispense or to offer to dispense medical marijuana to patients and caregivers." 28 Pa. Code § 1161.25. Under certain circumstances, those individuals and/or others employed by a medical-marijuana dispensary may "consult with the patient or the caregiver regarding the appropriate form and dosage of medical...
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