(WeedBlog) As the legalization of marijuana becomes more popular, experts have wondered about the effect this could have on our society, the economy, and various industries. With other industries struggling to catch up to the impacts of marijuana use, we wanted to find out what this means for car insurance. Does marijuana use affect your rates?
There are several factors in play here, so let’s take a look at the data and break down what this means for the future of auto insurance.
The Data: Marijuana Use and Auto Insurance Rates
For our analysis, we looked at two key sources of data. The first is the percentage of Americans who regularly use marijuana. The Washington Post pulled this data from the National Survey on Drug Use and Health. This information is broken down by county to show where in the U.S. people are using more marijuana.
Our second source of information is state Department of Insurance reported auto insurance rates, which we have used throughout obrella.com.
To compare, we looked at the pot-use data, using the largest metropolitan city in large states, or the entire state for some low-population states. We then looked to see if there was a correlation between these high-use areas and high-cost insurance. Here’s what we found:
There is no correlation between marijuana use and car insurance rates.
Let’s go into more detail. Of the five areas with the highest auto insurance cost (listed below), only two (Seattle and Denver) are in the top weed-use category. It is notable that these cities are in states that have legal recreational marijuana. However, three of these expensive areas actually had some of the lowest rates of marijuana use.