Why Federal Workers’ Comp Law Refuses to Cover Cannabis Costs
- Federal authorities have determined that medical marijuana is not a reimbursable expense under the Longshore and Harbor Workers’ Compensation Act.
- Because cannabis remains a Schedule I controlled substance, it cannot be classified as a legally “reasonable and necessary” medical treatment for workers’ comp purposes.
- This decision reinforces the federal supremacy of the Controlled Substances Act over conflicting state medical marijuana programs.
- Consequently, employers and carriers operating under federal statutes are protected from mandated reimbursement for medical cannabis.
Validating Termination for Psychological Incapacity
- The Fair Work Commission upheld a worker’s dismissal after medical evidence confirmed an inability to perform duties due to psychological incapacity.
- This ruling clarifies that employers can legally terminate staff when permanent impairment prevents them from fulfilling inherent role requirements.
- For workers’ compensation stakeholders, the case highlights the critical intersection between long-term disability claims and employer rights to productivity.
- The decision reinforces the employer’s position when no alternative duties are available.
Montana Businesses to Benefit from 13th Consecutive Workers’ Comp Rate Decrease
- Montana businesses will see an average 8% reduction in workers’ compensation premium rates starting July 1, 2026.
- This 13th consecutive annual decrease, approved by Commissioner of Securities and Insurance James Brown, is attributed to improved workplace safety and fewer injury claims statewide.
- Since 2011, combined legislative reforms and employer safety initiatives have led to a cumulative rate drop of approximately 57%.
- These lower costs aim to enhance Montana’s business climate while maintaining necessary medical and wage benefits for injured employees.