The legalization of recreational and medical cannabis across most U.S. states has reshaped how many Americans manage their health. For years, patients relied heavily on prescription drugs to treat a variety of conditions. Now, with cannabis more accessible, some are turning to it as an alternative. A recent study published in Health Economics sheds new light on how these laws are affecting the use of traditional prescription medications—especially among working-age adults.
The research team examined data from 2010 to 2019, focusing on prescription drug claims filed by individuals covered under small and large group insurance plans. Their goal was to understand how the legalization of cannabis impacted prescription drug use across different insurance markets.
What they found was striking: In states where recreational cannabis had been legalized, there was a noticeable drop in prescription drug claims among those with small group insurance plans. Specifically, annual claims per enrollee decreased by $34 to $42. This translates to an approximate 6% reduction in total prescription drug claims within this market segment. These findings suggest that when given legal access to cannabis, some individuals may be substituting it for certain prescription medications—possibly due to lower cost, fewer side effects, or personal preference.
Interestingly, the trend did not carry over to large group insurance plans. In those markets, the study did not find significant changes in prescription drug claim rates after recreational cannabis legalization. One possible explanation is that large group plans often serve employees of large organizations, who may have different healthcare needs, job protections, or access to benefits that affect how they manage their health.
The study also explored the impact of medical cannabis laws and found no strong evidence that medical cannabis legalization led to changes in prescription drug use in either insurance group. This may be due to the more limited scope and accessibility of medical cannabis programs compared to recreational use, which is generally broader and less restricted.
Overall, this research provides new evidence that recreational cannabis laws are influencing healthcare decisions and spending. As more states continue to consider changes to cannabis policy, understanding its impact on the healthcare system—especially in terms of prescription drug use—will be vital. These findings also raise important questions about the role of cannabis in future treatment plans and its potential to reduce dependency on pharmaceuticals for certain conditions.
