Kennedys – Financial lines carriers face big challenges in insuring cannabis business

• FOIL
• FOIL Ireland
• FOIL select
• London FOIL

Author - Jennifer Boldon

A Lloyd’s market bulletin from August 2018 on the (then pending) legalisation of recreational cannabis in Canada concluded Part 7 of the Proceeds of Crime Act (POCA) should not engage where the activities underwritten are legal in the jurisdiction in which they are carried out. The bulletin gave reassurance to the London market to underwrite cannabis-related risks in Canada, but underwriters must still ensure they comply with local Canadian requirements.