Marijuana Use and Life Insurance: Can cannabis keep you from getting coverage?

America’s view on marijuana has come a long way since the 1990s. Previously, 24 percent of the population was in favor of legalizing marijuana, but as of 2020, that number was up to 66 percent.

But when it comes to marijuana use and life insurance, will using cannabis impact your life insurance rates or your ability to get approved of coverage? 

Is the life insurance industry following along with the general opinions of cannabis use? You might be surprised to learn that there are plenty of companies that sell life insurance to marijuana users, and the options are not limited to no medical exam life insurance.

Can cannabis use keep you from getting life insurance coverage? No, you will still be able to find proper and affordable coverage. Read through our guide and we’ll answer all of your life insurance questions about how marijuana users are treated by life insurance companies.

Curious about affordable life insurance for marijuana users? Enter your ZIP code into our free quote tool above for instant life insurance quotes, and let our research help you avoid the worst life insurance companies for marijuana users.

How does marijuana use impact life insurance rates?

Believe it or not, you can still be approved for traditional life insurance policies even if you use marijuana. Life insurance companies sell policies to tobacco users for a slightly higher rate, therefore, the companies are also going to sell policies to people who use cannabis.

Unlike tobacco use, marijuana does not cause lung cancer and other major health concerns, therefore you can actually be approved for higher rates from some companies if you only smoke cannabis and are not a tobacco user. 

But what would your life insurance rates look like if you smoke or use marijuana? Technically, it depends on a variety of factors, including your gender, age, medical history, and if you’re using marijuana recreationally or as a medical prescription.

However, to help you better estimate what your potential costs might be, we’ve gathered average annual life insurance rates for males and females of various ages in the following table to give you an idea of what life insurance companies offer to smokers versus nonsmokers.

Remember, these rates are reflective of life insurance for smokers, meaning tobacco use, which has more known negative health effects than marijuana. Marijuana actually has medicinal uses as well as other positive benefits that life insurance companies are aware of. 

The average life insurance rates for tobacco users are $83 per month or $992 annually. Actual life insurance quotes for marijuana users may look very different. 

Ultimately, the most successful way to get the best life insurance rates, in general, and for marijuana users, is to shop around and compare multiple insurance companies. That way, you’ll be able to get a good idea of which company will fit your needs the best.

How do life insurance companies view marijuana use?

According to data analyzed by Gallup, around 13 million Americans use or smoke marijuana. But are life insurance companies as open-minded about cannabis use as the general public? How do life insurers classify marijuana use?

When it comes to calculating life insurance rates, each company determines its own underwriting policies and guidelines. Therefore, how different companies view marijuana use will vary from insurer to insurer. 

Most companies still have a conservative stance. However, even if you use marijuana, you can still be approved by most major life insurance companies at a competitive rate. 

One major reason insurance companies are conservative is because medical marijuana sometimes is prescribed to treat higher-risk pre-existing conditions that impact the life insurance underwriting process. 

Life insurance companies know that medical marijuana does wonders for thousands of people who use it to treat a variety of conditions.

However, when applying for life insurance, underwriting may be more concerned with the underlying medical condition requiring the marijuana treatment than the actual prescription itself.

Health risks, such as cancer or autoimmune disorders, that can be treated with marijuana will put you into a higher risk-category for life insurance than if you had no pre-existing medical conditions. That will cause your rates to increase. 

How do I get approved for life insurance if I use marijuana?

Can you get life insurance if you use cannabis? Yes, getting approved for life insurance when you use cannabis is actually very easy. Together, let’s discuss what your options are if you smoke or use marijuana and want a life insurance policy.

First, let’s explore the medical marijuana underwriting guidelines for two life insurance companies QuickQuote works with:

• American General: With American General, you could qualify for the Preferred rating with a marijuana prescription. However, the decision will be based on the medical history and needs requiring the prescription.

• Prudential Life: With Prudential Life, you could qualify for the Preferred rating presuming the marijuana is used as prescribed, and if you otherwise qualify for coverage.

As you can see, these companies will not increase your life insurance rates just because you have a medical marijuana prescription. Now let’s determine how companies calculate your rates when you use marijuana recreationally. 

Similar to medical marijuana use, the insurance company will want to know more about your recreational habits. Some companies allow limited use without any issues. However, if those that do allow it, you may or may not be rated as a tobacco user. 

In these cases, expect to pay on average twice as much for your policy than nonsmokers. 

How do insurance companies rate recreational marijuana use? The underwriter will want to know more about the frequency, the quantity, how you’re using it, and whether this is a sign of you being high risk.

For example, are your habits exhibiting signs of alcohol or other drug abuse? Are there any other concerning things about your lifestyle?

If abuse or any kind of hazard is associated with your marijuana use, then you’ll be considered an unacceptable risk and will be denied. On the other hand, if you are an infrequent recreational marijuana user who is in good health, you may qualify for the best insurance rates.

Not all life insurance companies publish their underwriting guidelines for recreational use, but we’ve gathered some general guidelines used by several companies in the following few tables below for your convenience. Check them out.

Life Insurance Company A: Marijuana Underwriting Usage Guide

You may have noticed in the data above that this hypothetical company references something called “table B.” This refers to what is known as substandard life insurance rates. Sometimes, life insurance companies will provide you with substandard rates due to your marijuana use. 

This will happen if you’re using a company that has more conservative views of cannabis. This can also happen if your lifestyle habits make you high risk, or if you have some kind of pre-existing condition.

Substandard rating classes are also known as table rates. They can range from a single level down from the standard rate, to several levels below. The designations for table ratings are usually either numbered or lettered. The most common labels look as follows:

• Table 1 – 7
• Table A – H

The difference in cost for each table is about 20 percent more than the standard rate. For example, if a standard policy costs $1,000, then a table B or table 2 policy would cost about $1,400. As with most other things, this will vary by company.

Take a look at another hypothetical company policy towards marijuana use in the following table.

Life Insurance Company B: Marijuana Underwriting Usage Guide

Once again, these guidelines are generic summaries based on the underwriting guidelines of multiple different major life insurance providers. 

As you can see, insurance companies can and will vary when it comes to rates for marijuana users. Some companies will be far more lenient, while others will be more conservative. 

Below is an example of the underwriting guidelines for a more strict life insurance provider. 

Life Insurance Company C: Marijuana Underwriting Usage Guide

You will find more companies that will decline or penalize you for daily marijuana use. If you’re denied life insurance coverage, it can cause your rates to increase the next time you seek out a quote.  

You should shop around until you find a company that has flexible, open-minded marijuana policies rather than risk being denied by a company with harsher policies.

Does marijuana legalization in my state affect my chances of getting life insurance?

As you’re probably starting to realize, marijuana use and life insurance can be compatible. However, the state you live in and the laws surrounding marijuana will impact your journey. This is because marijuana laws and regulations vary drastically by state.

Most states have enacted laws legalizing marijuana in some form. Currently, cannabis is fully illegal in only 8 states.

If you live in a state that has fully legalized weed, or even in states that only allow medical marijuana and you use it medicinally, an insurer cannot discriminate against you or apply it to your policy.

Instead, the company can only focus on the underlying condition that causes you to need the prescription. 

However, if you’re smoking or using vape products in a state where marijuana is criminalized and there is no regulation, you are more likely to consume something that might have foreign substances in it.

In fact, several illnesses and even a few deaths have occurred from additives placed inside black-market THC vape cartridges.

Sometimes, it also depends on any underlying risks or other factors that come up while the underwriting is reviewing your policy.

If you have a lung condition or something else that is negatively impacted by smoking or consuming marijuana, then your insurer is much more likely to look negatively upon your usage.

If you have any criminal history, such as possession or DUI, your insurer will not look favorably upon your use. You will most likely face higher premiums if they will give you a policy at all.

Remember, the purpose of the most common life insurance underwriting guidelines is to measure risk. Underwriters will need to know the following information to determine how risky you are to insure and if they can offer you a life insurance policy at all.

• Where do you live? Do you live in a state where marijuana is legalized?
• Why are you using marijuana? Is this for recreation or medical purposes?
• How often are you using marijuana? Are you using it a couple of times a month, or are you waking and baking?

The answers to these questions can drastically change your eligibility or rates. But there are a select few insurers that will give you a policy no matter how much you use.

Otherwise, insurers may classify you with smoker rates based on your use. More conservative insurers will not give you a policy at all if you use marijuana recreationally.

Possessing marijuana is also a federal offense that can result in a misdemeanor, a $1,000 fine, and potentially a mandatory minimum sentence of one year.

The penalties vary depending on the offense you’re accused of, the amount in your possession, and whether you’re cultivating or selling it.

The National Association of Insurance Commissioners (NAIC) references how under the Controlled Substances Act (CSA), cannabis is classified as a Schedule I drug. This is the highest of five federal classifications of drugs based on their acceptable medical use and supposed potential for abuse or dependency.

According to the United States Drug Enforcement Administration (DEA), Schedule I drugs, which can be substances or chemicals, are defined as drugs with no currently accepted medical use.

Schedule I drugs also have a high potential for abuse. Heroin, LSD, ecstasy, methaqualone, and peyote are also on this list.

Regardless of where you live, don’t fret about disclosing your smoking habits with your insurer. Disclosing marijuana use to your insurance company won’t land you in jail, as the company won’t report you.

Your information that comes up during underwriting is completely private between you and the insurance provider.

Your underwriter isn’t going to rat you out. They already have enough paperwork to deal with and sending prospective customers to jail wouldn’t be good for business. The agent just wants to get a holistic view of you as a person.

Do life insurance companies test for THC?

Tetrahydrocannabinol, or THC, is the psychoactive crystalline compound found in marijuana that affects your brain, inducing the feeling of being high.

It can also be found in your system by drug tests weeks after just a single-use. It can be detected in your hair follicles, bloodstream, and urine. 

Drug tests are commonly used by businesses and other groups for a variety of purposes. Life insurance companies are no exception.

When you apply for life insurance, oftentimes you’re required to take a life insurance paramedical exam. If you don’t know what to expect in a paramedical exam, it might surprise you to learn that your life insurance company may require a drug test. 

If you’ve been prescribed medical marijuana, it may show up in your medical or prescription records, even if you go the no-medical exam life insurance route. Your physician may still note it in a statement.

Be careful if you use CBD oil. While it is extremely rare, some CBD products may produce a positive marijuana result in drug tests.

This is usually a result of using a lower-quality or unregulated CBD oil product that is not pure, but that actually contains trace levels of THC, the psychoactive component in marijuana. 

CBD oil from hemp should not ever have any amount of THC traceable by even a drug test. 

What if I get denied life insurance because of marijuana use?

Ultimately, being approved or denied coverage for life insurance all comes down to the company’s discretion.

While you have some rights as a consumer, the company also has a right to not accept your business. There is not much you can do.

However, if you use marijuana medicinally, meaning it was prescribed by your doctor, you can formally challenge a disapproval decision.

More often than not, your insurer will underwrite based on the medical condition you use the cannabis for, and not actually based on your marijuana use.

If you use weed recreationally and were denied coverage, you may want to slow your use to something that the insurer will view as more favorable. 

Otherwise, look into less strict life insurance companies that are more likely to approve you for a policy regardless of your marijuana use.

How will marijuana use affect my life insurance premiums?

Will medical marijuana change your life insurance rates? It’s possible. Having a prescription for medical marijuana can be an indicator that something more serious is going on with your health. This will cause your rates to be higher.

Essentially, the reason why medical marijuana was prescribed to you must be stated in your medical records during the underwriting process. The implications of morbidity or mortality related to the condition must also be made clear. 

In other words, based on your health, what is your life expectancy? What are the chances that you’ll heal? Is your condition terminal?

If you don’t meet life insurance underwriting guidelines because of a high-risk condition, like cancer or heart disease, your medical marijuana prescription isn’t what’s causing your rates to go up. Instead, blame your medical history. 

The insurance company will also look for signs of potential abuse, like seeing multiple doctors, refilling too frequently, whether you also use marijuana or other drugs recreationally, and more.

But ultimately, it depends on the insurance company’s life insurance risk assessment to offer you life insurance. If a provider determines you are low enough of a risk to invest in, then you will receive an offer. 

Take a look at the table below for definitions of common life insurance rating tiers. 

Life Insurance Rating Class by Level of Risk

Ultimately, if you’re a medical marijuana user in good health, you may still qualify for Preferred insurance rates. Take the time to do your research, and work with a company that is more open-minded. 

What are the best life insurance companies for marijuana users?

Some life insurance companies are coming around to the idea of recreational and medical marijuana use and may not judge your use so harshly.

Take a look at four companies below with looser marijuana regulations:

• Prudential will give you different rates based on how frequently you use marijuana. If you use up to six times a week, you can still get a policy with smoker rates. If you use under the age of 21 or don’t tell the insurer you use, you will automatically be declined.

• Metlife will allow you to smoke marijuana up to four times a week while still giving you a policy, without classifying you as a smoker or charging you higher rates. They will even take a look at how you use, either smoking or edibles.

• Forester Financial provides non-smoker rates, so long as you use less than six times a week. If you don’t have any other underwriting issues, you can use almost daily without affecting your policy. They also offer scholarships and volunteer opportunities for clients.

• Global Atlantic Life has specific age guidelines for marijuana use that cover a few circumstances. If you are under 25 and you use recreationally, you will be denied. However, you can use up to three times daily in your late 20s to get normal rates.

Those aged 30 and above will be able to use marijuana daily without the fear of it affecting your policy with these companies. Once again, though, if you use medicinally, you will be underwritten for your medical condition as opposed to marijuana usage.

Other companies offer lenient or average life insurance rates with marijuana use, and an insurance agent could be able to help you find the perfect insurer for your needs.

However, you can also use one of our free online tools to get instant quotes from the top life insurance companies in your area.

Why shouldn’t you lie about marijuana use on your life insurance application?

What happens if you lie about marijuana use on your life insurance policy? If you don’t mention that you’re a marijuana user, insurance companies have other ways of finding out.

How do health insurance companies know if you smoke but keep that information private? Well, you may be required to take a drug test during your medical examination, if one is required.

Similarly, if you have a prescription for medicinal cannabis, that will appear in your medical records. 

Lying on an insurance application is a form of fraud. If you’re caught, the consequences can be severe for your beneficiaries. They could find themselves without a death benefit should the claim on your policy be denied based on this omitted information.

You could also be denied coverage, which will cause you rates to be higher the next time you try to apply for a policy. Before it gets to this point, you should know what to expect in terms of how marijuana affects your health, and how it’s viewed by the public and your insurer.

The context concerning medicinal versus recreational marijuana use will cause the insurer to view your case differently. If you have any underlying conditions and you use it recreationally, you may be qualified as a smoker or face higher rates depending on how much you use.

An insurance underwriter will look at your hobbies, your occupation, and your medical history to determine the likelihood that you will pass away during the length of the policy.

You may even be subject to a physical examination or even bloodwork, depending on your age and other risk factors.

Therefore, it’s the best practice to get a policy while you’re still on the younger side, so you can have a better chance at a painless underwriting experience with no new surprises.

Regardless, don’t lie on your life insurance application. You won’t get into any legal trouble for disclosing your marijuana use on your life insurance application.

Therefore, it’s in your best interest to be honest with your life insurance agent, and you can ask questions before you even start the application.

What is the public opinion of marijuana?

From 2010 onward, we’ve seen public opinion regarding marijuana almost completely turnaround. General opinions swung from greatly opposed to a more positive opinion about its use under the right circumstances. We can even expect more states to legalize it in the near future.

Because of the variety of medicinal uses, everything from epilepsy to muscular deterioration can be helped or treated by using marijuana.

The information has been widely shared showing the relief of various symptoms.

Additionally, marijuana and hemp products have revitalized farming communities across America that were otherwise falling to the wayside. This has also brought a lot of rural populations to think favorably of the plant, a stark contrast from 10 years ago.

Another contribution to the more positive viewpoint is the increased profit from the tax on marijuana sales. Many states put the tax toward schools and public welfare projects, which have flourished since its legalization.

Schools have even been built purely off the tax from marijuana sales, with some states bolstering their tax revenue by millions of dollars.

Marijuana use trends have also shifted and can be found in every age demographic, shown in the table below.

Percentage of Marijuana Use by Age

Surprisingly, those between the age of 50 and 64 are the second-largest demographic of users, traditionally being opposed to legalization. 

What are the health risks associated with marijuana use?

It’s well known and documented that marijuana can help with pain and can encourage you to eat. But what is often overlooked are the negative effects it can have if you have underlying conditions. Let’s take a look at some of the potential side effects of marijuana use, even if they’re only minor.

The health effects and risks associated with cannabis differ depending on what kind of products you use.

For instance, smoking ground-up marijuana can harm your lungs in ways similar to tobacco, albeit with fewer chemicals and less severely. 

However, inhaling any kind of smoke can upset asthma or cause heavy coughing, upsetting other underlying risks. If you have any lung conditions, smoking marijuana can harm you or create more problems for your lungs that will look bad during your life insurance physical.

Using THC oil vape products is an option that is a little easier on the lungs than the straight plant. However, the Federal Drug Administration (FDA) has issued a warning that the only THC vape products that should be consumed are those from legal distributors.

Illegal manufacturers have been adding things to them that are harmful if inhaled and, according to the Centers for Disease Control and Prevention (CDC), which has caused widespread lung disease and death among young people across the nation.

If you currently have any black market THC vape products, you should throw them away to keep yourself from getting sick or worse.

Other options for marijuana use include edibles or extracts that can be used in a drink or taken orally. This is an alternative option for those who can’t smoke or use vape products due to underlying lung problems or other problems that prevent safe inhalation.

If you smoke or take THC and get behind the wheel, you are very likely to face a DUI if you get pulled over. Or worse, due to the slower reaction time, you may crash your car and have to pay the ultimate price.

If you have any DUIs on your record, the insurer will look negatively on that, and you may be restricted from getting a policy altogether.

With all THC products, there is a small but noticeable chance you will become addicted while using the product. However, that chance is only around 10 percent. However, if you use it daily, you may be barred from a policy depending on your state and the insurer.

In summary, the health risks associated with regular marijuana use are relatively low, especially when compared to the cancer rates and mortality rates associated with tobacco use. 

How is marijuana used medicinally?

Now that we’ve discussed the potential health risks associated with cannabis, let’s discuss the medical uses. Any prescription, including one for marijuana, will appear on your medical history and be seen by life insurance underwriters.

Medical marijuana can help with a variety of medical conditions, and many people have seen the effects firsthand. Whether it be used for cancer or pain treatment in place of opioids, it has helped a variety of Americans find a treatment that might otherwise not be readily available.

For some, it can be prescribed to help with severe depression, anxiety, and eating disorders that would otherwise go untreated or would be treated with varying medications.

Because of this, most states have encouraged medicinal legalization even if they oppose recreational legalization. 

Perhaps most importantly, insurers and medical professionals legally can’t discriminate against medicinal marijuana use. So as long as you have proof of your prescription, the marijuana itself will not negatively impact your policy.

Medical marijuana and its capabilities have helped a lot of Americans get the relief they need in instances where there might be less ideal treatment options or no relief at all.

Some of the ailments that can be treated by medical marijuana include chronic pain, as opposed to using highly addictive opioids. Anxiety, eating disorders, post-traumatic stress disorder (PTSD), and schizophrenia may also be helped with controlled marijuana use.

Muscle sclerosis, muscle spasms, seizures, and even Alzheimer’s and dementia patients have been treated with this medicinal herb.

While an insurer might recognize that there are risks to marijuana use, most of these diagnoses would cause much more harm to your premiums if they were left untreated. Thus, medical marijuana is not discriminated against when an insurer is underwriting a policy.

Instead, they will look at the more serious conditions that you treat with medical marijuana.

For instance, if you have cancer and use marijuana to treat nausea from chemo, your insurer probably won’t be looking at your marijuana use. This is no different than if you weren’t using marijuana and still had the condition.

How is marijuana used recreationally?

Recreational marijuana use is generally viewed less favorably than medicinal use, but more people, including insurers, are beginning to come around to the idea. Some insurers will still give you a policy if you use it recreationally.

There are even a few companies that have warmed up to the idea of its policyholders using marijuana and won’t give you higher rates for almost daily smoking sessions.

That being said, depending on your use, you can also face higher premiums as a Preferred or Non-Preferred Smoker. If you use it daily, your insurer will most likely deny you a policy.

So long as you don’t use it daily, most insurers will give you some kind of policy. This also depends on any underlying risks that might affect your health if you choose to use marijuana.

The Bottom Line: Marijuana Use and Life Insurance

It can be intimidating to look for life insurance if you partake in this illicit activity. But if you’re easy on the weed and in good health, you’ll likely have plenty of options available. 

Question: Does insurance cover medical marijuana?
Answer: That depends on your health insurance coverage and if medicinal cannabis is legalized in your state. 

At the end of the day, don’t let fear keep you from applying for life insurance. Life insurance companies will be reasonable and sell you affordable policies, even if you smoke weed recreationally. 

You are now an expert on marijuana use and life insurance. Refer back to this guide as much as needed while you comparison shop for your best life insurance policy.

Frequently Asked Questions: Marijuana Use and Life Insurance

Did you think of something we missed? Check out our frequently asked questions about marijuana use and life insurance below for even more information.

#1 – Will my insurer report me to the police in an illegal state?

No, your underwriting is a medical evaluation and can’t be shared with anyone besides you and your insurer. There would also be no benefit for the insurer if they reported you, so you can apply for your policy without any worry about getting in trouble for your use.

#2 – How do insurers test for marijuana usage?

During the underwriting process, you will be subject to a physical exam from an insurer-approved doctor. During this process, they may take a blood or urine sample to test for any substances or diseases that appear in your blood.

Based on the level of THC, the psychoactive chemical in marijuana, the insurer will be able to infer how much marijuana you use. Marijuana will be detectable in your urine for up to a month, depending on your physical attributes.

It will stay in your blood for hours and is used to test for short term use. It’s best to be honest with your insurer, as it will affect your policy worse than if you admit that you use marijuana.

#3 – How can medical marijuana use affect my policy?

While using medical marijuana itself won’t be judged by your insurer, the underlying implications will be. Your insurer will underwrite you based on whatever you’re using marijuana to treat.

However, this is hardly different than what they would do anyway when reviewing your medical records. For instance, if you have epilepsy, your insurer would still look at whether you treated it with marijuana or not.

It’s best to be honest with your insurer about your marijuana use and any medical conditions that you live with.

#4 – Who should avoid marijuana use?

Marijuana has been shown to have negative impacts if you use it as a coping mechanism and if you start too young. In fact, although the current legal age to use is 21, most insurers won’t give you a policy if you’re under 25 and using recreationally.

If you have a history of severe mental illness, you could experience some bad feelings. Getting high can sometimes cause you to think of things that might make you upset. Remember to use responsibly and only when you feel safe.

#5 – Do life insurance agencies do drug screenings?

Some life insurance companies may require a drug test as part of their required medical exam. It’s important to review your insurer’s testing protocols before you get a life insurance policy as a medical marijuana user or recreational user.

Are you ready to find and buy life insurance for marijuana users? Enter your ZIP code into our free quote tool below to find affordable life insurance rates for marijuana users in your area.