HB 683
Department of Legislative Services
Maryland General Assembly
2021 Session
FISCAL AND POLICY NOTE
First Reader
House Bill 683 (Delegate Valderrama)
Economic Matters and Health and
Government Operations
Workers' Compensation - Medical Cannabis - Compensation and Benefits
This bill expressly authorizes the Workers’ Compensation Commission (WCC) to require
an employer or its insurer to provide medical cannabis to an injured employee receiving
workers’ compensation benefits as part of the injured employee’s medical treatment. The
bill also clarifies that, related to medical cannabis, an injured employee may be denied
compensation benefits if the cannabis was taken, but not under the written certification of
a certifying provider or the written instructions of a physician. The bill applies
prospectively and may not be applied or interpreted to have any effect on or application to
any claim arising from events occurring before October 1, 2021.
Fiscal Summary
State Effect: State expenditures for workers’ compensation benefits may be affected, as
discussed below. Revenues are not affected.
Chesapeake Employers’ Insurance Company (Chesapeake) Effect: Chesapeake
revenues and expenditures may be affected, as discussed below.
Local Effect: Local expenditures for workers’ compensation benefits may be affected, as
discussed below. Revenues are not affected.
Small Business Effect: Minimal.
 Analysis
Current Law:
Workers’ Compensation Medical Benefits
If an employee covered under workers’ compensation insurance has suffered an accidental
personal injury, compensable hernia, or occupational disease, the employee is entitled to
compensation benefits paid by the employer, its insurer, the Subsequent Injury Fund, or
the Uninsured Employers’ Fund, as appropriate. Workers’ compensation benefits include
wage replacement, medical treatment, death and funeral costs, and vocational rehabilitation
expenses.
An employer or its insurer has to pay for specified medical care and treatment for an injured
employee who experiences a compensable injury or occupational disease. This includes
(1) medical, surgical, or other attendance or treatment; (2) hospital and nursing services;
(3) medicine; (4) crutches and other apparatus; and (5) artificial arms, feet, hands, and legs
and other prosthetic appliances. This medical care and treatment must be provided for an
appropriate time period, depending on the nature and type of personal injury, compensable
hernia, or occupational disease.
Natalie M. LaPrade Medical Cannabis Commission
The Natalie M. LaPrade Medical Cannabis Commission is responsible for implementation
of the State’s medical cannabis program, which is intended to make medical cannabis
available to qualifying patients in a safe and effective manner. The program allows for the
licensure of growers, processors, and dispensaries and the registration of their agents, as
well as registration of independent testing laboratories and their agents. There is a
framework to certify health care providers (including physicians, dentists, podiatrists,
nurse practitioners, nurse midwives, and physician assistants), qualifying patients, and their
caregivers to provide qualifying patients with medical cannabis legally under State law via
written certification. Additionally, there are legal protections for third-party vendors
authorized by the commission to test, transport, or dispose of medical cannabis, medical
cannabis products, and medical cannabis waste.
Existing Protections Related to the Use of Medical Cannabis
A qualifying patient who is in possession of a 30-day supply of medical cannabis (or more
if the patient’s certifying provider stated in the written certification that a 30-day supply is
inadequate) is not subject to arrest, prosecution, or any civil or administrative penalty and
may not be denied any right or privilege for the medical use of cannabis. Although it is not
HB 683/ Page 2
explicitly stated, these protections likely already apply to an injured employee’s right to
seek workers’ compensation benefits while using medical cannabis.
State/Chesapeake/Local/Small Business Expenditures: Currently available information
suggests that employers and workers’ compensation insurers in the State do not pay for
medical cannabis for covered employees receiving workers’ compensation benefits; WCC
advises that it has not received any claims for medical cannabis.
The bill may affect State, Chesapeake, local government, and small business expenditures;
however, the direction and magnitude of the effect depends on numerous unknown factors.
For example, if the use of medical cannabis is in addition to any other medications and
treatments provided to an injured employee, expenditures increase. Conversely, if medical
cannabis is prescribed instead of a more expensive medication or treatment, total
expenditures decrease.
Chesapeake Revenues: As a workers’ compensation insurer, Chesapeake may increase
or decrease premiums for its policyholders, thereby increasing or decreasing its revenues,
based on the effect that paying for medical cannabis has on its total expenditures.
Additional Information
Prior Introductions: SB 854 of 2019, as amended, passed the Senate and received a
hearing in the House Economic Matters committee, but no further action was taken.
Cross File: SB 461 (Senator Feldman) - Finance.
Information Source(s): Workers’ Compensation Commission; Chesapeake Employers’
Insurance Company; Subsequent Injury Fund; Uninsured Employer’s Fund; Department
of Legislative Services
Fiscal Note History: First Reader - February 5, 2021
rh/ljm
Analysis by: Richard L. Duncan Direct Inquiries to:
(410) 946-5510
(301) 970-5510
HB 683/ Page 3


Statutes affected:
Text - First - Workers' Compensation - Medical Cannabis - Compensation and Benefits: 9-506 Labor and Employment, 9-660 Labor and Employment