States with Medical or Recreational Marijuana Laws

More than half of the United States has voted to have either recreational or medical marijuana laws passed in their state.  This means laws and regulations have been implemented to allow for a the production and sale of cannabis to the public.

Map of Recreational Marijuana States

States that sale recreational marijuana

Map of Medical and Recreational Marijuana States

Map of Medical and Recreational Marijuana States

State Laws and Regulatory Agencies

The links below are directed toward either state agencies responsible for regulation and enforcement, or current legislative status.

StateRegulatory Agency and LawsCommercial Liability/Property Insurance or Bond Requirements by Rule or Statute.
Please note, local jurisdiction may have a their own requirements. Workers compensation insurance is required by law for each state.

Please verify with your state and local cannabis regulatory agency. Updated on 03-02-2018
AlaskaAlcohol and Marijuana Control Office

Statutes and Regulations
Unaware of any insurance or bond requirement by the Alcohol and Marijuana Control Office
ArkansasArkansas Medical Marijuana Commission

Statutues and Regulations
Unaware of any insurance requirements by the Arkansas Medical Marijuana Commission.

Bond Requirements

Arkasas Performance Bond Requirement Cultivation Facility

Arkansas Performance Bond Dispensary
ArizonaArizona Department Health Services

Statutes and Regulations
Unaware of any insurance or bond requirement by the Arizona Department of Health
CaliforniaCalifornia Cannabis Portal Bond in the amount of $5,000 payable to the state of California (applies to all licensees)
Commercial general liability insurance in the aggregate no less than $2 million and no less than $1 million for each loss (applies to distributors and microbusinesses that engage
in distribution)

California Anticipated Licensing Requirements including insurance and bond

Acquiring a Cannabis Bond

Information on General Liability Insurance

ColoradoColorado Marijuana Enforcement DivisionUnaware of any insurance or bond requirement by the Colorado Marijuana Enforcement Division.
ConnecticutDepartment of Consumer ProtectionUnaware of any insurance requirements by the Department of Consumer Protection.

Bond Requirements


Connecticut Surety Bond Cannabis Production Facility


Acquiring a Cannabis Bond

Connecticut Surety Bond Cannabis Construction of Production Facility




DelawareDelaware Health and Social ServicesUnaware of any insurance or bond requirements by the Delaware Health and Social Services.
FloridaOffice of Medical Marijuana UseUnaware of any insurance requirements by the Florida Office of Medical Marijuana Use.

Bond Requirements:

Medical Marijuana Performance Bond Low THC


Medical Marijuana Performance Bond


Acquiring a Cannabis Bond
HawaiiState Department of HealthUnaware of any insurance or bond requirements by the Hawaii State Department of Health
IllinoisMedical Cannabis Pilot ProgramUnaware of any insurance or bond requirements by the Illinois Department of Financial and Professional Regulation.

Illinois Bond Requirement:

Illinois Bond Form


Acquiring a Cannabis Bond
KentuckyKentucky Department of AgricultureUnaware of any insurance or bond requirements by the Kentucky Department of Agriculture
LouisianaDepartment of HealthUnaware of any insurance or bond requirements by the Louisiana Department of Health
MaineRecreational Marijuana in MaineUnaware of any insurance or bond requirements by Maine.gov. Recreational marijuana laws continue to be developed.

Insurance Requirements for Medical Marijuana

Rules Governing the Maine Medical Use of Marijuana Program
10-144 CMR Chapter 122
Effective Date: September 17, 2013

6.27.8 A copy of the dispensary’s liability insurance policy;
MassachusettsCannabis Control CommissionLiability Insurance Coverage or Maintenance of Escrow

(1) A RMD shall obtain and maintain general liability insurance coverage for no less than$1,000,000 per occurrence and $2,000,000 in aggregate, annually, and product liability insurance coverage for no less than $1,000,000 per occurrence and $2,000,000 in aggregate, annually, except as provided in 105 CMR 725.105(Q)(2). The deductible for such a liability policy shall be no higher than $5,000 per occurrence.

(2) A RMD that documents an inability to obtain minimum liability insurance coverage as required by 105 CMR 725.105(Q)(1) may place in escrow a sum of no less than
$250,000, to be expended for coverage of liabilities.

(3) The escrow account required pursuant to 105 CMR 725.105(Q)(2) must be replenished within 10 business days of any expenditure.

Reports documenting compliance with 105 CMR 725.105(Q) shall be made in a manner and form determined by the Department pursuant to 105 CMR 725.105(M)

Information on General Liability Insurance

Information on Product Liability Insurance

Recreational Cannabis Insurance Requirements

MarylandMaryland Medical Cannabis CommissionUnaware of any insurance or bond requirement by the Maryland Medical Cannabis Commission. Suggestion was provided under application FAQ's

16a. Are there any mandatory insurance requirements for grower, processor, or dispensary?

The Commission has not established any regulations establishing insurance Licensees are expected to use their best business judgment in determining their insurance coverage needs, and if there are any applicable insurance requirements of State or Local Law.


10 Questions or Factors to Consider when Buying Marijuana Insurance
MinnesotaMinnesota Department of HealthUnaware of any insurance or bond requirement by the Maryland Medical Cannabis Commission.
MichiganDepartment of Licensing and Regulatory Affairs
MontanaPublic Health and Human Services

Montana Department of Agriculture Industrial Hemp

NevadaMarijuana In Nevada
New HampshireTherapeutic Cannabis Program
New JerseyDepartment of Health
New MexicoNew Mexico Department of Health
New York Department of Health
North DakotaDepartment of Health
OhioMedical Marijuan Control Program
OregonState of OregonUnaware of any insurance or bond requirement by Oregon.gov. Insurance suggestions offered by guidebook issued by the State of Oregon. Oregon Business Readiness Guidebook Marijuana Industry

Liability & Property Insurance

The most common types of coverage a business obtains are business liability and property insurance.
While it is possible to get the above policies, some insurers worry that if they cover a loss, they will be financially supporting a federally illegal activity. This is similar to why many financial institutions are reluctant to open accounts for marijuana-related businesses. Because of the conflict between federal and state law, and because the industry is relatively new, there is a lot of uncertainty.

Although your standard insurance company may refuse to sell you a policy because of the nature of your business, there are “surplus lines” companies that sell specialized types of coverage specific for marijuana-related companies.
With regard to business liability and business property coverage, your insurance company may cover some interests, but exclude marijuana products.

For example: Your insurer may provide liability coverage for someone tripping or falling in your store, but it may exclude the products you sell. A business property policy may choose to cover some items such as your building structure, computers, shelving, and furniture, but exclude the actual marijuana products.

If you want to be sure something is covered, specifically ask for it. Ask your agent to show you in the contract specifically where that coverage is found. If your policy contains a general “public policy” exclusion or exclusion for illegal activity, ask your agent to amend the policy to explicitly clarify whether marijuana is covered.

Keep your insurance company informed of your activities and maintain proper coverage to insure that activity.

Information on General Liability Insurance
PennsylvaniaPennsylvania Department of Health
Rhode IslandDepartment of Business Regulation
VermontDepartment of Public Safety
West VirginiaBureau for Public Health
WashingtonDepartment of Health WAC 314-55-082
Insurance requirements.

Marijuana licensees shall provide insurance coverage as set out in this section. The intent of the required insurance is to protect the consumer should there be any claims, suits, actions, costs, damages or expenses arising from any negligent or intentional act or omission of the marijuana licensees. Marijuana licensees shall furnish evidence in the form of a certificate of insurance satisfactory to the WSLCB that insurance, in the following kinds and minimum amounts, has been secured. Failure to provide proof of insurance, as required, may result in license cancellation.

(1) Commercial general liability insurance: The licensee shall at all times carry and maintain commercial general liability insurance and if necessary, commercial umbrella insurance for bodily injury and property damage arising out of licensed activities. This insurance shall cover such claims as may be caused by any act, omission, or negligence of the licensee or its officers, agents, representatives, assigns, or servants. The insurance shall also cover bodily injury, including disease, illness and death, and property damage arising out of the licensee's premises/operations, products, and personal injury. The limits of liability insurance shall not be less than one million dollars.

(2) Insurance carrier rating: The insurance required in subsection (1) of this section shall be issued by an insurance company authorized to do business within the state of Washington. Insurance is to be placed with a carrier that has a rating of A - Class VII or better in the most recently published edition of Best's Reports. If an insurer is not admitted, all insurance policies and procedures for issuing the insurance policies must comply with chapters 48.15 RCW and 284-15 WAC.

(3) Additional insured. The state and its employees, agents, and volunteers shall be named as an additional insured on all general liability, umbrella, and excess insurance policies. All policies shall be primary over any other valid and collectable insurance.

[Statutory Authority: RCW 69.50.342 and 69.50.345. WSR 16-11-110, § 314-55-082, filed 5/18/16, effective 6/18/16. Statutory Authority: RCW 69.50.325, 69.50.331, 69.50.342, 69.50.345. WSR 13-21-104, § 314-55-082, filed 10/21/13, effective 11/21/13.]

Information on General Liability Insurance


Information on Product Liability Insurance

Washington D.C.Department of Health