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Product Liability

While the administering of psychedelic medicinal treatments such as Ketamine, MDMA, psilocybin mushrooms, LSD and peyote is a closely controlled process, there is always the risk of mistakes. For instance, if a patient suffering from mental health problems is prescribed the wrong psychedelic medication, it could have an unintended effect on brain function or behavior.


From an insurance perspective, the product risk exposure is great in this industry due to the possible side effects of certain psychedelic medicines. Product Liability insurance is a type of specialized coverage designed to protect you and your business from claims that can happen anywhere along the supply chain, including product contamination, mislabeled products, false advertising, or defective products. With proper coverage, your insurance company -  not your business - will pay for damages and legal expenses if you are sued, up to your policy limits. Your Product Liability policy will also cover any medical expenses for those who are harmed by psychedelic treatment. The need for different product coverages depends on the legality of the active ingredient in the state in which it operates. Rahn & Associates stays ahead of the curve when it comes to State laws regarding psychedelic medicines and offers custom policies to meet your needs.

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