New Jersey Bill Would Require Workers’ Comp Insurers to Cover Medical Cannabis

A bill that would require workers’ compensation insurers to cover medical cannabis costs for injured workers has been reintroduced in New Jersey. The proposal mirrors legislation from 2024, which did not move out of the Senate Commerce Committee. 

“This bill requires workers’ compensation, personal injury protection (PIP), and health insurance coverage for the medical use of cannabis under certain circumstances. The bill provides that personal injury protection automobile insurance benefits, workers’ compensation benefits, and health benefits plans must include coverage for costs associated with the medical use of cannabis, provided that the insured, employee, or covered person is a qualifying patient authorized for the medical use of cannabis pursuant to the ‘Jake Honig Compassionate Use Medical Cannabis Act.’” — S.1943/A.4371 bill text 

The bill would require medical cannabis to be considered a compensable medical benefit as long as it’s authorized for the employee’s condition. The legislation specifies that if insurers or employers cannot pay dispensaries directly, they must reimburse workers for the cost of medical cannabis upon proof of payment; however, employers or insurers would not be required to provide reimbursement or coverage if the federal government were to enforce the Controlled Substances Act.  

The measure is currently being considered by the Senate Commerce Committee.