What is the minimum coverage requirement stated for insurance of dispensing units?

The minimum coverage requirement for insurance of dispensing units is set at 1 million. This figure is established to ensure that dispensing units are adequately protected against a variety of potential liabilities that could arise from their operations. It reflects the need for sufficient financial backing to cover legal costs, damages, or claims that can occur due to errors, omissions, or accidents related to the services provided.

Having a coverage of 1 million is a standard practice in the industry, as it balances the potential risks involved with dispensing operations and provides a safety net for both the operator and clients. The choice of a lower coverage amount, such as 500 thousand or 250 thousand, would not provide the same level of security and could leave operators vulnerable to significant financial setbacks in the event of a major incident.