CBD oil is becoming increasingly legalized across various states in the U.S. Many states such as Washington, Arizona, Colorado, and California have legalized CBD oil for medical purposes. Because of this, a lot of people are desperate to gain knowledge about its benefits, coverage by Medicare, downsides, insurance coverage, and more. This article reviews CBD oil, whether it is covered by Medicare, insurance, Medicaid, and more.

Does Insurance Cover CBD Oil?


Insurance companies don’t provide coverage for any form of cannabis, including CBD oil. This is because CBD oil is classified as a Schedule I drug, according to the United States Drug Enforcement Agency. A Schedule I drug is the one that has no accepted medical use at the moment and has a high potential for abuse. Such drugs are considered to be in the same category as heroin, LSD, and other dangerous drugs. Since CBD oil is being considered illegal at the federal level, most insurance companies in various states don’t offer insurance for it because they don’t want to risk severe punishment.

Any drug that is covered by insurance is required to pass the approval of Foods and Drugs Administration. As such, the drug is yet to be approved by Foods and Drugs Administration as a medicine and it will probably take years before the body can approve it. The main reason behind this is that several stages and processes have to be undergone by this agency in collecting data about the long-term efficacy and safety of the medical marijuana.

Insurance companies will only cover CBD oil prescriptions after it has gained acceptance from the Federal Government that it is a legalized substance. Since more and more states are acknowledging the effectiveness of medical marijuana and CBD oil for medical and recreational purposes, this outcome is very well expected in the future.

Is CBD Oil Covered by Medicare?


Regardless of the fact that some states have legalized the use of marijuana for medical purposes, Medicare just like most private insurance companies does not cover the use of any form of cannabis (including CBD oil) by its members. Since Medicare is governed by the Federal law and medical marijuana has the Schedule I status, the member will have to bear any costs linked with the purchase of CBD oil individually. Medicare Prescription Drug Plan deductibles will stay unaffected.

Is CBD Oil Covered by Medicaid?

Similar to Medicare, no coverage is offered by Medicaid when it comes to the use of CBD oil by its members. Medicaid is also a federal controlled entity, so it will only be done by it after the CBD oil or medical marijuana has been approved as a medicine by FDA and declassified as a Schedule I substance. Until then, patients will have to afford CBD oil out-of-pocket.

There are many forms of CBD available on the market and there are many methods to consume it. You can ingest, inhale, or apply it directly to your skin. Medicare does not cover CBD oil or any form of CBD.