Insurers have been hesitant to provide equitable coverage for those in the cannabis industry amid conflicting state and federal laws. To encourage greater availability of policies for cannabis-related businesses (CRBs) and coverage for individuals, Assembly Democrats Joe Danielsen, John McKeon and Joann Downey sponsored legislation that would protect New Jersey insurers.
The bill (A-377), cleared 65-12-2 by the full Assembly on Monday, would specifically restrict State and local government agencies from penalizing, or treating differently, insurance companies and producers doing business with CRBs and insuring cannabis users.
“Insuring a cannabis-related business or individual in New Jersey is considerably risky because of the vast number of legal uncertainties,” said Danielsen (D-Middlesex, Somerset). “This has severely limited the existence of insurance policies leaving businesses and people in the cannabis industry with no real safety net or protections.”