What it does
CG 40 14 excludes "bodily injury", "property damage" and "personal and advertising injury" arising out of the design, cultivation, manufacture, storage, processing, packaging, handling, testing, distribution, sale, serving, furnishing, possession or disposal of "cannabis", or the inhalation, ingestion, absorption, consumption of or exposure to cannabis, and "property damage" to cannabis.
Who needs it
Landlords (cannabis tenants), contractors building grow facilities, security firms, restaurants (edibles), and general retailers selling CBD products.
Key provisions and limits
- Defines "cannabis" as any good or product that consists of or contains any amount of THC or any other cannabinoid, natural or synthetic, including plants, seeds, resin, oil, wax, hash or hemp, and infused liquids or edibles.
- Exposure-based claims from consumption by an insured or someone the named insured is legally responsible for are excepted unless the named insured sold, served or furnished the cannabis.
- False arrest and wrongful eviction offenses are not affected.
- Applies to the CGL and Products/Completed Operations coverage parts.
Quoting and selling notes
- Because "cannabis" includes any cannabinoid, CBD and hemp products are excluded under this form. CG 40 15 adds a hemp exception and CG 40 16 adds hemp and lessor's risk exceptions.
- The 12 19 edition superseded by 12 20.
