‘Cannabis Could Be A $2 – $3 Trillion Industry’
The “cannabis industry is the fastest-growing industry and job market in North America with products requiring substantial insurance.”
That is the view of Mark Simons, the moderator of a panel at the forthcoming Bermuda Insurance Institute annual conference discussing the implications of cannabis on the reinsurance industry.
“Cannabis could be a $2 trillion to $3 trillion industry in a decade and this will be an enormous insurance opportunity,” said Mr Simons, Senior Vice President – FINPRO, at Bowring Marsh.
“The opportunities in the cannabis space are endless, aside from the known medical and recreational side of things, there is massive beverage potential, sleep and pain management, animal health and arthritis.
“The major tobacco, alcohol and pharma companies are taking large positions in the major cannabis players which is indicative of things to come – they see how cannabis is going to structurally change the market.
“The cannabis industry is the fastest-growing industry and job market in North America and this trend is going global as well. The producers of these products will require substantial insurance.”
The theme of this year’s BII conference is transformation and Mr Simons said: “Cannabis is the most transformative and potentially disruptive product of our generation.
“There are some key points worth noting – when cannabis becomes Federally legal in the US, there will be much more competition, no doubt. However, that is certainly not happening anytime soon so we’re looking to 2021 at the earliest.
“When it is Federally legalized, the market will explode and there will be lots of new companies for the insurance/reinsurance markets to offer coverage for all types of exposures.
“Cannabis companies currently are grossly underinsured versus traditional risks; this is a huge opportunity in and of itself and the universe is still small but new cannabis companies list daily so the market will continue to expand.
“Companies are only starting to scratch the surface on global opportunities.”
The conference takes place on October 3 at O’Hara House, on Bermudiana Road, from 8.30am to 4.30pm.
De-schedulize it!
I think more a Billion dollar industry not that we have missed the boat. If we had moved on the onset than trillion industry would be easy.
many don’t understand the why the USA has system setup the way it is but i can see through it. I will explain some of it in relationship to the Cannabis industry.
The Federal establishment they have set up was used to bully the rest of the world into not moving forward with establishing a Cannabis industry at the same time the individual States where allowed to defy the Federal establishment due to their constitution. in the mean time while the rest of the world that their Federal establishment has influence over wait for approval from the Federal establishment the individual States move forward studying, developing and patterning the technology around the Cannabis industry. This in turns give USA a head-start on the Cannabis industry making them Experts in the field that the rest of the world would have to consult and buy from when the Federal establishment allows the places they have influence over progress in the field.
Because Federal establishment has influence over Bermuda we have lost the opportunity for a short term trillion dollar industry. we have to wait for the USA to allow us to suck on what is left in the titty.
no one else is able to see how clever it is. there is even more uses to it.
the majority of the cannabis cultivation in done inside in a computer controlled lab type setting. the risk of something going wrong and them losing the crop is very very low. In this case it would make more scene to try insure the products produced by industry however the risk of clams is great due to the the weak regulation infrastructure. Many companies are doing some shady practices to maximize profits. i would not want to insure them unless we are regulating them however Bermuda does not have any Experts to setup regulatory infrastructure to regulate anybody in the Cannabis industry.