What it does
CG 40 16 applies the cannabis exclusion but it does not apply to (1) goods or products containing or derived from hemp (unless prohibited by state or local law), and (2) injury or damage arising out of the ownership, maintenance or use of a premises leased to others by the named insured.
Who needs it
Lessor's risk only accounts, shopping center and warehouse owners, and mixed-use property owners with dispensary or grow tenants.
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.
- False arrest and wrongful eviction offenses are not affected.
Quoting and selling notes
- Best ISO option for landlords; still require cannabis tenants to carry their own CGL naming the landlord (see CG 20 11).
