N.J. bill mandating comp coverage for medical cannabis reintroduced
March 17, 2026
A New Jersey bill that would require workers compensation insurers to cover the cost of medical cannabis for injured workers has been reintroduced after failing to advance in the prior legislative session.
The measure, filed as S. 3984 and made public this week, is a carryover of both A. 4371 and S. 1943 from 2024, which did not gain traction.
While the text of the new bill was not released, documentation indicates it is identical to the legislation introduced in 2024 mandating that employers and workers compensation insurers provide coverage for medical cannabis when an injured worker is a qualifying patient under the state’s medical marijuana program.
Under those proposals, cannabis would be treated as a compensable medical benefit, similar to other prescribed treatments, so long as it is authorized for the employee’s condition. The bill also specifies that if insurers or employers cannot pay dispensaries directly, they must reimburse injured workers for out-of-pocket costs upon proof of payment.
The measure included a key caveat tied to federal law: employers and insurers would not be required to provide coverage if the federal government intervenes to enforce the Controlled Substances Act, under which marijuana remains illegal.
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