Changes in marijuana laws across states legalizing marijuana for medical and/or recreational use show that marijuana is gaining greater acceptance in our society. Thus, it is particularly important for you to understand how marijuana, cannabidiol (CBD) and tetrahydrocannabinol (THC) based products are changing life insurance underwriting when used medicinally or recreationally.
Medical Marijuana
The legalization of medical marijuana has grown by leaps and bounds over the last few years and is being prescribed for a number of conditions. As medical marijuana usage has expanded, so has its acceptance in the underwriting of life insurance. With many of our insurers, underwriting proposed insureds using medical marijuana is based more on the underlying medical condition than their usage of marijuana for treatment. This applies even if the proposed insured's resident state has not legalized marijuana for medical purposes.
Recreational Marijuana
The underwriting of recreational marijuana is really no different than underwriting our clients who use cigars and other forms of tobacco ... it is all about the frequency.
Just like we have insurance companies who are more accepting of heavy cigar and pipe usage, we have insurers who are more open-minded about recreational marijuana usage up to and including daily usage.
That's right ... daily usage! We have been successful in placing life insurance coverage at non-smoker rates on insureds who use marijuana products daily .
Please understand we are talking about use and not abuse. These daily users have normal functioning lives that are not impeded by their usage. Marijuana abusers, like those that abuse alcohol, will be highly rated or most likely declined. As with medical marijuana, the underwriting of recreational marijuana usage is not dependent on whether it is legal in the proposed insured's resident state.
A word of caution regarding vaping. Recent studies have shown that there could be long-term negative effects from vaping. Because of this, even the most open-minded insurance companies are going to be more conservative with their offers when vaping is involved. Vaping, this does not exclude you from coverage, but it could lead to rated offers and tobacco rates will most likely apply.
Though it goes without saying, we need complete honesty. Lexington Insurance Agency is not affiliated with the DEA and we cannot be compelled by any authority to reveal your information without your consent. Furthermore, your information is protected by HIPAA so there is no reason for you to respond with anything less than the truth when discussing this or any health topic.
