Novus To Roll Out Canadian Cannabis Coverage
A PotNetwork Exclusive
Novus Acquisition and Development, Corp. (OTCMKTS:NDEV), through its wholly-owned subsidiary WCIG Insurance Services, Inc, announced the rollout assessment of their Novus Cannabis MedPlan in the Canadian marketplace this week. The Miami-based company sees marijuana legalization, which just passed in the Senate as an opportunity in the Canadian market. While other companies focus on employer-sponsored insurance plans in the Canadian market, Novus is focused on individual coverage. The individual payer system allows consumers to do some things including augmenting coverage to meet their specific needs. “Novus can cover the gaps and fulfill a value proposition in pricing and offer no restrictions to the consumer” according to a statement released by the company.
Assessment Results In Four Points
The assessment offered four key areas that are impacting the Canadian cannabis market as it relates to insurance. First on the list is that employers will not increase their group policies to cover the additional costs to support medical cannabis for their employees. Second is that employers may not include cannabis coverage out of concern that their employees will come to work under the influence. The third point is that the policies will not be affordable for carriers which could include restrictions on reimbursements. Finally, cannabis reimbursement and coverage would be dictated by the insurance provider leaving the patient at the mercy of the company.
Power To The People
Novus' assessment reveals concerns that there may be too many restrictions that may limit patient's access to medical cannabis under group coverage plans. The Novus plan is designed to place the power back into the hands of the consumer with only the federal government creating potential barriers. According to the company, “Novus Cannabis MedPlan can offer a better value option, with the lowest cost premiums to employers and employees. The only restriction on purchases is that set by the Canadian Federal Government.”
In a conversation discussing the findings of the assessment, Novus CEO Frank Labrozzi reiterated the company's commitment to patient-centric supplemental insurance coverage.
“Since cannabis is a self-administered by the patient with no real dosage studies, the big-name insurance carriers are coming into the marketplace, very cautiously and putting restrictions on consumption,” Labrozzi said. “This is will not make cultivators happy in the long run.”
He noted that roughly 20 percent of employers could add more insurance for their employees, meaning around 80 percent are unable or unwilling to take advantage of such options when it comes to medical cannabis. “Novus Cannabis MedPlan will not charge employers for the additional insurance expense. Over the past three years, we found out that two entities control the marketplace, cultivators on the supply side, and consumers on the demand side. The consumer is highly underestimated in this equation. So, what we have done is given consumers freedom from restrictions while not burdening the employers with additional expenses.”
Labrozzi noted that Novus would take on the task on informing patients that they can obtain legal cannabis without restriction while giving them the freedom to “find the meds that work for them while keeping meds available and affordable.”