Harrisburg, PA – The Pennsylvania Insurance Department announced today that two insurance coverages have been added to the Surplus Lines Export List. The Department added "Wire Transfer Fraud Coverage for Title Agents with or without Other Cybersecurity Coverage" and "Medicinal Cannabis Cultivation, Processing/Harvesting, Manufacturing, Testing, Transportation/Delivery, Retail Distribution, and/or Lessors/Property Managers" coverage to the export list, improving speedy access to insurance.
The Department added the coverage lines to the export list after reviewing (1) the details and facts provided in recommending the inclusions of the coverage, (2) perceptions of the industry through job performance, (3) information gathered from industry representatives; and (4) research of the marketplace.
Cannabis is still illegal under U.S. federal law, however, 29 states, plus the District of Columbia, Guam and Puerto Rico, have legalized it for medicinal purposes. Gov. Wolf signed into law SB 3, Pennsylvania's compassionate medical cannabis legislation, in 2016.
"Pennsylvania's medical cannabis industry continues to shift and evolve as advancements in medical use and research identify new ways to provide assistance to individuals," Insurance Commissioner Jessica Altman said. "While challenges remain, particularly with current federal law, our hope is this step will help ease the process for businesses working to provide medical cannabis in the Commonwealth to access the insurance coverage they need."
Pennsylvania medical cannabis businesses may experience insurance availability and coverage gaps that the Department identified in reviewing the proposal to include coverage on the export list. These insurance deficiencies can leave business owners, employees and customers without access to insurance that would help them recover if there were accidents, injuries, property damage, or any of the things commercial insurance typically covers.
PID published a notice in the Pennsylvania Bulletin on August 8, 2020, giving industry 15 days to comment on the proposed additions. After the conclusion of the comment period, PID published a complete list with the new additions in the Pennsylvania Bulletin on September 5, 2020.
For an alphabetical list of eligible surplus lines insurance companies, click here.