For a long time, life insurance companies didn’t make a distinction between cannabis and tobacco. If you admitted to using cannabis—even occasionally—you were lumped in with cigarette smokers and forced to pay higher premiums. In some cases, people were outright denied coverage entirely. That outdated view is starting to shift, but the industry is still catching up to the reality of modern cannabis use and the dangers associated with consumption.
At its core, life insurance is about assessing risk. Insurers look at your lifestyle, your health history, and your habits to ascertain the likelihood of paying out a claim. Tobacco has decades of research proving its harm, so smokers almost always face higher costs. Cannabis, however, is a different story. The medical research is less conclusive, and while there are health considerations—especially with frequent smoking—the overall risk profile isn’t the same as tobacco. Still, many insurers continue to treat cannabis with similar underwriting methods used for tobacco users.
The way and frequency you consume cannabis plays a big role in how insurers view you. Someone who smokes flower daily may still be categorized as a smoker, which usually comes with a higher price tag. On the other hand, a person who uses cannabis occasionally, or who prefers edibles, tinctures, or oils, might receive more favorable treatment. For some companies, the frequency of use is just as important as the method. A weekend edible once a month doesn’t carry the same weight as smoking multiple times a day. These details matter when underwriting a policy.
Another important factor is whether cannabis is being used recreationally or medicinally. With more patients turning to cannabis for pain management, anxiety, sleep disorders, or other medical conditions, insurers are being forced to reconsider their approach. In fact, for some applicants, the presence of a doctor’s recommendation can actually support their case, showing that use is tied to treatment rather than riskier recreational behavior. That doesn’t mean every insurer is progressive in its thinking, but the trend is moving toward a more nuanced evaluation.
For cannabis consumers, the key is transparency. It can be tempting to omit cannabis use on an application, hoping to access lower premiums, but that strategy can backfire. If an insurer discovers undisclosed use during a medical exam or after a claim, the policy can be canceled. Being upfront is the safer move, and with more insurers softening their stance, honesty no longer guarantees financial punishment.
The industry is not uniform, which means one company may see cannabis as a major red flag while another may treat it with little concern. That variability is both a challenge and an opportunity. It means cannabis consumers need to approach life insurance with more intention, shopping around for providers who understand the difference between cannabis and tobacco. Working with an advisor or broker who knows which companies are cannabis-friendly can save time and money while making sure the coverage you secure actually fits your lifestyle.
The stigma surrounding cannabis may not have fully disappeared, but it no longer stands as a barrier to life insurance. Affordable coverage is possible for consumers who know how to navigate the system. As legalization spreads and understanding deepens, the expectation is that insurers will continue to modernize their policies. Until then, cannabis users can still protect their families and their legacy, as long as they take the right approach to finding coverage.
