Reducing the Risk of Internal Theft in the Cannabis Space

Internal Theft: The Biggest Threat to Cannabis Businesses

When it comes to cannabis security, external threats often get the most attention—but internal theft remains the biggest and most damaging risk.

According to a California-based insurance provider, up to 90% of cannabis theft claims involve at least one employee who was part of the crime.

Grow Facilities Are Especially Vulnerable

Cultivation sites face even greater exposure than retail dispensaries. One cannabis security report found that 10% of a grower’s product disappears internally—whether it’s used personally or resold on the street. These incidents usually occur during harvest, trimming, or curing, and often point to an inside job. The thief knows exactly when and where to strike.

Security Guards Aren’t Always the Solution

California’s Title 16 requires cannabis businesses to staff live security guards during business hours. But unfortunately, guards themselves may be part of the problem. In larger operations where multiple guards are needed, coordination becomes harder—and vulnerabilities increase.

In one case, a group of thieves stole $1 million in product in under 10 minutes, likely tipped off by a guard who knew the break schedule. When theft happens while security is present, there’s a good chance someone on the inside was involved.

Virtual Guard Monitoring Adds a Critical Layer of Protection

That’s why more businesses are choosing to supplement physical security with video monitoring. Our ValleyGuard Virtual Guard Video Monitoring uses motion-triggered, AI-enhanced cameras to monitor your site 24/7—even when you’re not watching.

The moment suspicious activity is detected in a restricted area, a trained live agent verifies the threat in real time, issues a talk-down warning, and calls police immediately if needed. It’s fast, proactive protection—without relying on on-site staff who may be compromised.

Protect Your Cannabis Business from the Inside Out

If you're concerned about internal theft or need a more intelligent way to protect your operation, explore our full range of Cannabis Security Solutions. We proudly serve growers, manufacturers, and retailers throughout Southern California.

Call Valley Alarm at 800-550-ALERT to find out how we can help protect your business from the inside out.