What is it?

Frontier Risk’s Surety Bond ensures regulatory compliance for cannabis businesses by providing the necessary financial assurance.

Why is it important?

Surety bonds are essential for cannabis businesses, with states like California requiring a minimum bond of $5,000. In the cannabis market, where contracts for cultivation, distribution, and retail are common, surety bonds guarantee the fulfillment of these contracts, building trust between clients and stakeholders.

What does it cover?

  • Contractual Obligations: Surety Bonds primarily cover contractual obligations, guaranteeing that the principal will fulfill their commitments as specified in the bond agreement.
  • Financial Security: They provide financial security to the obligee in case the principal fails to meet their obligations, protecting against potential financial losses.
  • Trust and Credibility: Surety Bonds enhance trust and credibility in business transactions, assuring all parties involved that the contract will be fulfilled as agreed.

Why Frontier Risk?

Cannabis Specialized
We understand the cannabis industry, your challenges as a business owner, and the license specific insurance you need.
Fast Quoting
Our online quoting for cannabis insurance ensures that you receive quotes from the top carriers.
Fair Prices
We offer fair insurance prices for cannabis businesses, providing equitable rates comparable to other industries.
Easy Policy Management
Our customer portal allows you to conveniently manage your policies, download certificates, report claims, and more.
Dedicated Support
Our dedicated support team puts your needs first, providing round-the-clock assistance. When you call, we'll be there.

Common Questions

What Types of Businesses Benefit From Surety Bonds?

Cannabis businesses, including growers, distributors, and retailers, benefit from surety bonds. These bonds ensure regulatory compliance, financial responsibility, and contractual obligations within the cannabis industry. They are crucial for obtaining licenses and permits, and operating legally, creating trust with regulators and stakeholders.

Is a Surety Bond the Same as Insurance?

No, a surety bond and insurance differ. While insurance protects against losses from unforeseen events, a surety bond guarantees performance or payment by a party. For cannabis businesses, surety bonds are super helpful to secure licenses or permits, ensuring compliance with regulations and financial obligations related to operations.

Cannabis Insurance Made Simple

We understand your operations, pain points and risks – because we’ve lived them firsthand as former operators at leading cannabis companies.