Marijuana and Life Insurance: Your Preferred Rating Doesn’t Have To Go Up in Smoke
Frank M. Campbell, CLU
I help businesses and families protect themselves from the 88% of life insurance policies that aren’t going to pay out, giving them the peace of mind and the security they deserve.
The issue of marijuana use continues to evolve no matter where you live.? While your state, like here in California, may have legalized the drug, the federal government still classifies the substance as illegal.
As states push on despite the federal laws, the question of marijuana use is a hotly debated topic inside the insurance industry as well.
So, what happens to the marijuana user when it comes to life insurance policies?? If you’re a tobacco smoker, for example, you will have a higher premium to pay because of the obvious health issues related to tobacco. But what about marijuana?
We recently had such a case.? It was something new, as California only legalized pot use beginning in 2018.?In a current application, a fine young man admitted to having recently tried marijuana.? The company’s underwriter immediately bumped the application to a less favorable rating class from a preferred rating.
I called the client, and he told me, “After it became legal, I was offered an opportunity to try it, so I did.”? The client revealed that he hadn’t done it since and does not intend to do it again.
We set out to work on his behalf.
领英推荐
Part of our value is our not being limited to specific policies or insurance carriers.? We’d already done our due diligence and had several other good companies who agreed they’d issue a policy on the more favorable rating.
We went back to the original company and, upon reflection, they agreed to accept the situation and issue the policy at the original “Preferred” rating class.
Problem solved.
Just like the debate between state and federal government also the insurance industry is sorting out its views regarding marijuana use.? We’d already benchmarked his proposed policy with the wide range of competitors out there.? Once again, our systems worked.? The client was able to get the best and most appropriate coverage for his family.
Don't let uncertainties about life insurance policies hold you back. Contact us today for expert guidance on navigating complex insurance issues and securing the best coverage for you and your loved ones.
?? Founder of Wear Your Money Crown? | Certified Financial Educator | Financial Wellness Expert (US & UK) | Author | SXSW Speaker | Empowering People, Schools & Organizations with Smart Money Strategies! ??????
7 个月This was so enlightened Frank M. Campbell, CLU ! I had actually never given thought to the question of marijuana and life insurance, especially if it’s used for medicinal purposes. thank you for sharing. And your client is lucky to have you!
I coach women to work smarter not harder, and move from overwhelm to lives they love | Creative Core Coach | Speaker | Author | Everything great starts with a conversation. Let's talk! 617-353-0303
7 个月Such an interesting article, Frank M. Campbell, CLU — something most people would not give any thought to. Your expertise and efforts on behalf of your client demonstrate the importance of working with a true professional!
Working with wise women to create MOMENTUM to craft a life they love.
7 个月In. another life, I used to originate home loans. Many times I needed to intervene with our underwriters so they got a proper "picture" of the people they were making big decisions for...Bringing them off paper and making them "human" is such a skill. Frank M. Campbell, CLU, Your client is lucky to have you working on his behalf!
National Best Selling Author and Speaker, Rebuilding low trust relationships in the workplace, resolving conflict, making tough conversations easy, increasing communication and engagement - English and Spanish
7 个月Frank M. Campbell, CLU This story highlights the value of thorough due diligence and the importance of having knowledgeable professionals on your side. Kudos to your team for their commitment to client advocacy and expert guidance! ??