California Cannabis DCC Insurance Readiness Checklist

A practical checklist for licensed California cannabis operators preparing insurance, certificates, and the DCC surety bond. Written for cultivators, manufacturers, distributors, retailers, and testing labs talking with a broker — not a substitute for DCC rules, your license counsel, or your contracts.

Print tip: Use your browser’s Print → Save as PDF to keep a copy for renewals and landlord packets.

Brokerage guidance only — not legal advice. Confirm current DCC, CDI, and local permit requirements before you treat any item as complete.

1) License and premises package

• ☑ Current DCC license type(s) and status for each premises
• ☑ Exact legal entity name matching SOS / DCC filing
• ☑ Premises addresses (and canopy / square footage for cultivation or manufacturing)
• ☑ Construction type, protection (sprinklers, alarm), and occupancy notes for indoor rooms
• ☑ Any pending license change, add-premises, or entity rename paperwork

2) Core coverage types operators usually need to discuss

What you buy depends on license type, lease, and trading partners. Common lines California operators review with a broker:

• ☑ General liability — premises and operations; often the baseline landlords and cities ask for
• ☑ Product liability — especially for cultivators, manufacturers, and brands whose name is on the label
• ☑ Property / inventory / stock — building improvements, equipment, and cannabis inventory where the market will write it
• ☑ Workers compensation — employees and class codes that match the real work mix
• ☑ Commercial auto / hired & non-owned — delivery, distribution, or employee-driven vehicles
• ☑ Cargo / transit — product in transit between premises or to trading partners (see our cannabis auto & cargo page)
• ☑ Crime / employee dishonesty — cash and inventory exposure where available
• ☑ Cyber / privacy — POS, patient, or customer data where the lease or risk profile warrants it

Not every carrier writes every line for cannabis. Surplus lines placements are common — see the surplus lines note below.

3) Certificate and Additional Insured readiness

• ☑ Landlord or shopping-center insurance exhibit (limits, Additional Insured, primary/noncontributory, waiver language)
• ☑ Distributor / wholesale trading-partner insurance requirements (California distributor CGL minimums live in regulation — confirm current text)
• ☑ Exact certificate holder name and email for delivery
• ☑ Any city, county, or CUP insurance condition separate from DCC
• ☑ Plan for mid-term certificate turns when a new landlord or partner is added

A certificate is evidence of insurance on a date — it does not rewrite the policy. Send the contract exhibit so endorsements can match what was requested.

4) DCC surety bond pointer (Form 8113)

• ☑ Confirm you have a Commercial Cannabis Licensee Bond (DCC Form 8113) of at least $5,000 per licensed premises from a California-licensed corporate surety
• ☑ Entity name and premises address on the bond match the DCC license
• ☑ If the bond changes after licensure, DCC directs a change packet (including Form 27 and Form 8113) to licensechange@cannabis.ca.gov — confirm current DCC instructions
• ☑ Do not confuse the surety bond with general liability or a landlord lease bond — they are different instruments

Deep dive: California cannabis surety bond (DCC Form 8113). Broader surety: surety bonds.

5) Surplus lines note (read this before you expect an admitted quote)

Much of California’s commercial cannabis insurance still places in the surplus lines market — non-admitted carriers accessed through a licensed surplus lines broker when admitted paper is not available or does not fit the risk. That is normal for this class; it is not a “bad” policy by default. Ask your broker:

• ☑ Whether the quote is admitted or surplus lines
• ☑ Carrier financial rating and claims handling expectations
• ☑ How the California Department of Insurance Export List / surplus lines filings affect your placement (CDI has updated cannabis-related Export List guidance — confirm the current bulletin with your broker)
• ☑ Disclosure and tax/stamping fees that apply on surplus lines premiums

More context: California cannabis insurance, surplus lines, and the Export List.

6) What to send before a broker call

• ☑ DCC license PDF(s) and premises list
• ☑ Prior policy declarations / loss runs if renewing or moving brokers
• ☑ Payroll by operation and employee count
• ☑ Vehicle schedule if auto/cargo is in scope
• ☑ Lease or distribution insurance exhibits with required wording highlighted
• ☑ Bond PDF if Form 8113 is due for renewal or premises add

California cannabis DCC insurance checklist FAQ

Quick answers operators ask while packing a landlord or renewal packet. Brokerage guidance — not legal advice. Confirm current DCC and CDI rules for your facts.

Talk to a California cannabis broker

Call (916) 967-7715 or use the contact form to request a review. Lions & Coventry Insurance Services — 7816 Uplands Way, Ste C, Citrus Heights, CA 95610. License #0G22084. Specialty cannabis book via The Cannabis Coverage Company division (cannabis policies written since 2006).

Related: Cannabis business insurance · Cannabis insurance in California · Dispensary insurance

This checklist is educational brokerage material for California operators. It is not legal advice, not a DCC form, and not a promise that any carrier will offer every coverage listed.