The property-casualty insurance industry reflects the great divide in the United States over the issue of marijuana used for medicinal purposes.
Kip Diggs, a spokesperson for State Farm, acknowledged that his company had been paying claims under homeowners policies in California for lost, stolen or destroyed marijuana used for medicinal purposes. Mr. Diggs said the reason for the payments was that "there had been some sort of legal basis for people to possess marijuana for medicinal purposes."
He was referring to Proposition 215, a referendum passed by California voters in 1996 that legalized the use of the substance for medicinal purposes, including the easing of pain associated with specific medical conditions.
Alaska, Hawaii, Maine and Nevada are among a handful of states that have since passed similar laws, while a few other states also are reportedly considering their own measures.