What’s News, Breaking: Thursday, April 27, 2023
NEW LEGISLATION WOULD EASE INSURANCE OBSTACLES
FOR LEGAL CANNABIS MERCHANTS
NATIONWIDE — New bipartisan legislation that Rep. Nydia M. Velázquez (D-7/northern Brooklyn) and Rep. Warren Davidson (R-OH) have introduced would prevent federal criminal prosecution of insurers and end civil liability for brokers, agents, and insurers that deal with companies in the cannabis sector. The bill, named Clarifying Law Around Insurance Marijuana, or CLAIM Act, would also require the Government Accountability Office to conduct a study of the hurdles facing both women and minority entrepreneurs considering a career within the cannabis sector, in order to address the historical legacy of targeting minorities through marijuana-related charges.
“Insurance companies are oftentimes reluctant to provide coverage to cannabis-based businesses, due to discrepancies between federal and state laws,” said Congresswoman Velázquez. “This bill will help entrepreneurs operating in the legal cannabis sector access to the insurance they need to protect their business.”