[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2068 Introduced in House (IH)]
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117th CONGRESS
1st Session
H. R. 2068
To create a safe harbor for insurers engaging in the business of
insurance in connection with a cannabis-related legitimate business,
and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
March 18, 2021
Ms. Velazquez (for herself and Mr. Stivers) introduced the following
bill; which was referred to the Committee on Financial Services
_______________________________________________________________________
A BILL
To create a safe harbor for insurers engaging in the business of
insurance in connection with a cannabis-related legitimate business,
and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Clarifying Law Around Insurance of
Marijuana Act'' or the ``CLAIM Act''.
SEC. 2. SAFE HARBOR FOR INSURERS AND THE BUSINESS OF INSURANCE.
(a) Definitions.--In this Act:
(1) Cannabis.--The term ``cannabis'' has the meaning given
the term ``marihuana'' in section 102 of the Controlled
Substances Act (21 U.S.C. 802).
(2) Cannabis product.--The term ``cannabis product'' means
any article which contains cannabis, including an article which
is a concentrate, an edible, a tincture, a cannabis-infused
product, or a topical.
(3) Cannabis-related legitimate business.--The term
``cannabis-related legitimate business'' means a manufacturer,
producer, or any person or company that--
(A) engages in any activity described in
subparagraph (B) pursuant to a law established by a
State or a political subdivision of a State, as
determined by such State or political subdivision; and
(B) participates in any business or organized
activity that involves handling cannabis or cannabis
products, including cultivating, producing,
manufacturing, selling, transporting, displaying,
dispensing, distributing, or purchasing cannabis or
cannabis products.
(4) Federal agency.--The term ``Federal agency''--
(A) has the meaning given the term ``Executive
agency'' in section 105 of title 5, United States Code;
and
(B) includes a private attorney described in
section 3002(1)(B) of title 28, United States Code.
(5) Financial service.--The term ``financial service''--
(A) means a financial product or service, as
defined in section 1002 of the Dodd-Frank Wall Street
Reform and Consumer Protection Act (12 U.S.C. 5481);
and
(B) includes--
(i) the business of insurance;
(ii) whether performed directly or
indirectly, the authorizing, processing,
clearing, settling, billing, transferring for
deposit, transmitting, delivering, instructing
to be delivered, reconciling, collecting, or
otherwise effectuating or facilitating of
payments or funds, where such payments or funds
are made or transferred by any means, including
by the use of credit cards, debit cards, other
payment cards, or other access devices,
accounts, original or substitute checks, or
electronic funds transfers;
(iii) acting as a money transmitting
business which directly or indirectly makes use
of a depository institution in connection with
effectuating or facilitating a payment for a
cannabis-related legitimate business or service
provider in compliance with section 5330 of
title 31, United States Code, and any
applicable State law; and
(iv) acting as an armored car service for
processing and depositing with a depository
institution or a Federal reserve bank with
respect to any monetary instruments (as defined
under section 1956(c)(5) of title 18, United
States Code.
(6) Indian country.--The term ``Indian country'' has the
meaning given the term in section 1151 of title 18, United
States Code.
(7) Indian tribe.--The term ``Indian Tribe'' has the
meaning given the term in section 102 of the Federally
Recognized Indian Tribe List Act of 1994 (25 U.S.C. 479a).
(8) Insurer.--The term ``insurer'' has the meaning given
the term in section 313(r) of title 31, United States Code.
(9) Manufacturer.--The term ``manufacturer'' means a person
or company who manufactures, compounds, converts, processes,
prepares, or packages cannabis or cannabis products.
(10) Producer.--The term ``producer'' means a person who
plants, cultivates, harvests, or in any way facilitates the
natural growth of cannabis.
(11) State.--The term ``State'' means each of the several
States, the District of Columbia, the Commonwealth of Puerto
Rico, and any territory or possession of the United States.
(b) Insurers.--A Federal agency may not--
(1) prohibit, penalize, or otherwise discourage an insurer
from engaging in the business of insurance in connection with--
(A) a cannabis-related legitimate business; or
(B) a State, political subdivision of a State, or
Indian Tribe that exercises jurisdiction over cannabis-
related legitimate businesses;
(2) terminate, cancel or otherwise limit the policies of an
insurer solely because the insurer has engaged in the business
of insurance in connection with a cannabis-related legitimate
business;
(3) recommend, incentivize, or encourage an insurer not to
engage in the business of insurance in connection with a
policyholder, or downgrade or cancel the insurance and
insurance services offered to a policyholder solely because--
(A) the policyholder is--
(i) a manufacturer or producer, or
(ii) the owner, operator, or employee of a
cannabis-related legitimate business;
(B) the policyholder later becomes an employee,
owner, or operator of a cannabis-related legitimate
business; or
(C) the insurer was not aware that the policyholder
is an employee, owner, or operator of a cannabis-
related legitimate business; or
(4) take any adverse or corrective supervisory action on a
policy to--
(A) a cannabis-related legitimate business, solely
because the owner or operator owns or operates a
cannabis-related legitimate business;
(B) an employee, owner, or operator of a cannabis-
related legitimate business or service provider, solely
because the employee, owner, or operator is employed
by, owns, or operates a cannabis-related legitimate
business, as applicable; or
(C) an owner or operator of real estate or
equipment that is leased to a cannabis-related
legitimate business, solely because the owner or
operator of the real estate or equipment leased the
equipment or real estate to a cannabis-related
legitimate business, as applicable.
(c) Protections Under Federal Law.--With respect to engaging in the
business of insurance within a State, political subdivision of a State,
or Indian country that allows the cultivation, production, manufacture,
sale, transportation, display, dispensing, distribution, or purchase of
cannabis pursuant to a law or regulation of such State, political
subdivision, or Indian Tribe that has jurisdiction over the Indian
country, as applicable, an insurer that engages in the business of
insurance with a cannabis-related legitimate business or service
provider or who otherwise engages with a person in a transaction
permissible under State law related to cannabis, and the officers,
directors, and employees of that insurer may not be held liable
pursuant to any Federal law or regulation--
(1) solely for engaging in the business of insurance; or
(2) for further investing any income derived from such
business of insurance.
(d) Rule of Construction.--Nothing in this Act shall--
(1) require an insurer to engage in the business of
insurance in connection with a cannabis-related legitimate
business; or
(2) interfere with the regulation of the business of
insurance in accordance with the Act of March 9, 1945 (59 Stat.
33, chapter 20; 15 U.S.C. 1011 et seq.) (commonly known as the
``McCarran-Ferguson Act'') and the Dodd-Frank Wall Street
Reform and Consumer Protection Act (12 U.S.C. 5301 et seq.).
SEC. 3. GAO STUDY ON DIVERSITY AND INCLUSION.
(a) Study.--The Comptroller General of the United States shall
carry out a study on the barriers to marketplace entry, including in
the licensing process, and the access to financial services for
potential and existing minority-owned and women-owned cannabis-related
legitimate businesses.
(b) Report.--The Comptroller General shall issue a report to the
Congress--
(1) containing all findings and determinations made in
carrying out the study required under subsection (a); and
(2) containing any regulatory or legislative
recommendations for removing barriers to marketplace entry,
including in the licensing process, and expanding access to
financial services for potential and existing minority-owned
and women-owned cannabis-related legitimate businesses.
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