Symphony Grow has launched a captive product for the cannabis industry.
Symphony Grow is part of Texas-based insurance services company, Symphony Risk Solutions, and said business owners in the cannabis industry can now establish their own captive.
It is not clear how the captive has been structured or where it is domiciled and whether it is providing a cell facility.
Captive Intelligence published a long-read last March, highlighting that cannabis captives were likely to be an expanding opportunity in the US.
“After ten years of insuring cannabis companies and facing challenges in obtaining adequate and affordable coverage, we have successfully addressed a longstanding issue in the industry,” said TJ Frost, president of Symphony Grow.
“In addition to offering more comprehensive coverages, the creation of an entity’s own insurance company can yield a return on investment, in contrast to the traditional insurer / insured relationship where the premium is considered a sunk cost.”
Symphony Grow said by utilising its captive solution, cannabis companies can insure themselves by utilising customised coverages that are often unavailable or expensive in the commercial market.