Marijuana Friendly Life Insurance: How Marijuana Affects Life Insurance Rates

Marijuana Friendly Life Insurance: How Marijuana Affects Life Insurance Rates

Do you want to purchase a life insurance policy to protect your loved ones but you’re a marijuana user and are worried about applying?  Do not fret any longer!  

A handful of life insurance companies have marijuana friendly rates and will not decline your application.

In fact, you will probably qualify for cheaper rates than you think.

Unlike the federal government, life insurance carriers now see the obvious distinction between people who use cannabis versus people who use cocaine or heroin.

Can I Qualify For Affordable Life Insurance As a Marijuana User?

We have many clients ask us if they will still qualify for affordable rates even though they use marijuana. While our answer is yes, it is important to know that some life insurance companies are much better for marijuana users than others. Applying with the right company will keep you from being denied coverage.

Quick Article Guide:

1. A Little History of Marijuana in the United States
2. The Good News: Evolving Guidelines for Marijuana
3. Life Insurance and Marijuana Users – Which Companies are Best?
4. Tips to Help Marijuana Users Receive the Best Rates
5. How We Can Help You Find Your Best Option

Every company has different guidelines when it comes to marijuana users. In fact, the majority of insurance carriers still have strict rules and some will still decline your application. The reason why some are more lenient than others is because some companies classify marijuana use in the same category as smoking cigarettes. This can result in a much higher premium which is why it pays to shop the market.

Luckily, some insurance companies understand that marijuana users are not exposed to the same harmful chemicals as tobacco users and they are much more lenient with rates and approvals.

It’s important to remember that most life insurance policies will require a medical exam, so it’s always better to be upfront with your agent in order to avoid any hiccups during the application process.

A Little History of Marijuana in the United States

While marijuana is the third most popular recreational drug behind alcohol and tobacco, it is considered to be the most debated. Marijuana was first declared illegal in the United States in 1937 and remained that way until 2012 when Colorado and Washington first legalized its recreational use. Following the 2012 ruling, Alaska, Oregon, and the District of Columbia all followed suit and as of last April, a total of 23 states have legalized the use of medical marijuana while seven other states have pending legislation. Fortunately, insurance companies have taken notice to these new laws and have altered their underwriting rules to emulate these changes.

The Good News: Evolving Guidelines for Marijuana Users

Over the past decade, many states have become more accepting about marijuana use and we are starting to notice this trend in the life insurance industry as well. According to a survey conducted by the Munich American Reassurance Company in April 2015, out of 150 insurance underwriters, about one third of the companies do not consider occasional marijuana use as harmful as tobacco use. This is big news for marijuana users because life insurance rates for tobacco users are three to five times more expensive than non-tobacco rates.

Even though this may be beneficial, not all of the life insurance companies have caught on and many still classify marijuana users as “smokers.” This causes problems for the recreational marijuana user because they are then classified in the same “risk” category as a tobacco user. This discrepancy alone is why it is very important to work with a skilled agent that has access to dozens of life insurance companies. If you are a cigar smoker or e-smoker, please read Life Insurance for Cigar and E-Smokers.

While going through the underwriting process, life insurance companies will look at how often you use marijuana. Companies tend to be the most lenient with clients who smoke or ingest marijuana no more than twice a week. If you are a daily marijuana user, you may be classified as a “heavy user” and this may cause you to be categorized as a “smoker” even with companies who have lax marijuana guidelines. In this situation, having a medical recommendation for marijuana can help.

Medical cannabis users may qualify for preferred rates if they have a prescription for medical marijuana.  Please note, however, that rates are always contingent on the overall health of the applicant. Additionally, the life insurance company you apply with will look into the condition that medical cannabis is prescribed for. Insurance companies are much more lenient with medical marijuana that is prescribed to treat glaucoma, insomnia, menstrual pains, or headaches because these are not life threatening issues. On the other hand, if the marijuana is used to help with a more serious health issue like cancer, the company will be more concerned about the cancer rather than the marijuana. Moreover, some companies are more lenient with applicants who ingest marijuana as edibles or use it as a topical medication.

In order to get the best rate possible, please be honest with your agent because they will need to know all of this information up front in order to match you with the right carrier.

Life Insurance and Marijuana Users – Which Companies are the Best?

Recreational marijuana users will not qualify for “preferred best” rates with most companies. There are, however, some companies that will approve recreational marijuana users for “standard,” or better, non-smoker or non-tobacco rates. Below are a few of the top-rated life insurance companies that have some of the most lenient guidelines when it comes to marijuana usage.

Please keep in mind that just because a company has loose underwriting rules for marijuana usage, it does not necessarily mean it’s the right company for you. Be sure to communicate any health issues you may have so your agent can send your application to the right carrier. In addition, life insurance companies are always changing their guidelines, so please feel free call us for the latest updates.

American General (AIG)

offers “preferred best” nonsmoker rates for applicants who are in excellent health and use marijuana up to twice a year.  If you smoke more than twice a year, but no more than twice a month, you can still qualify for “non-smoker” rates as long as your urine does not test positive for THC.


offers preferred non-smoker rates to applicants that use marijuana up to eight times a month.

Lincoln National

is willing to offer “standard” nonsmoker rates for cannabis users who use marijuana daily, as long as they have a doctor’s recommendation. Those who use marijuana two times a week or less may qualify for preferred rates.


may provide non-smoker rates for people who use cannabis once a week.

Minnesota Life

overlooks occasional marijuana use as long as you do not test positive for marijuana during your exam.


may offer preferred rates to applicants who have a prescription depending on the reason for the marijuana use. This company will base your risk factor on the reason for the medical marijuana recommendation, however, without a medical recommendation, “standard plus” non-tobacco rates may be available for those who use marijuana no more than four times a week.

*Please note that these are generalized guidelines and they can change at any time. Additionally, every applicant’s situation is different so these rate classes may not apply to you. For the most accurate and up to date information, please call to speak to a licensed agent at: 855-247-9555.

Tips to Help Marijuana Users Receive the Best Rates

Here are some basic points we tell our clients to help ensure they get the best rates:

  1. Work with an experienced, independent life insurance agent who is appointed by multiple carriers. Just because a company is typically more lenient when it comes to marijuana use doesn’t necessarily mean they are the best company for your situation.  When you work with a good life insurance agent, they will take a look at your overall health and lifestyle to make sure you are matched with the best company.
  1. Be sure to tell your life insurance agent the truth about your marijuana use.  Many life insurance policies require medical exams in which the lab work will test for cannabis use.  If you lie on your application and test positive on your labs, you may be declined for coverage.
  1. Have your agent pull quotes from multiple carriers so you can receive the best price available. Most local life insurance agents only work with one life insurance company, by having dozens of companies to choose from, you can be certain that you’re getting the lowest rate available.

How We Can Help You Find Your Best Options

If you currently use marijuana or if you recently quit, JRC Insurance Group can help you find the most affordable life insurance option available. Whether it’s for medical purposes or recreational use, give us a call.

At JRC Insurance Group, our agents are experts with multiple years of experience. We are appointed by dozens of top-rated life insurance companies and our agents are not pushy salespeople. Our agents do not have quotas, we’re here to help. We have helped hundreds of clients and we can help you too. Our passion is finding our clients affordable life insurance coverage to protect their families.  

Give us a call today we would love to help! Toll free: 855-247-9555, or request a free quote here.

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2 comments… add one
  • Norman July 25, 2018, 6:32 pm

    Do you carriers that will issue life insurance to cannabis distributors,
    Storefront owners, cultivators of legal cannabis businesses ?

    • Randy McClintick July 30, 2018, 11:34 am


      Thank you for contacting JRC Life Insurance and visiting our website.

      This is a new area of insurability and rules are evolving. Eligibility and options depend upon a number of factors including your state of residence, frequency of personal consumption and your medical history. Give us a call at (855) 247-9555 and a licensed agent for your state will assist you. We have the ability to shop the market for you all at once to minimize your cost of insurance and avoiding being turned down.

      Best Regards,
      JRC Life Insurance Service
      (855) 247-9555

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