Drug testing

Drug testing is a process insurers use to detect controlled substances in applicants’ biological samples such as urine or hair. Insurance companies like State Farm and Prudential require drug tests for life insurance policies over $1 million.

Underwriters analyze results to determine risk categories for applicants who test positive for drugs like cocaine, opioids, or THC. Applicants who fail drug tests often receive higher premiums or denial of coverage, as shown in 2022 data from the National Association of Insurance Commissioners (NAIC) stating 12% of denied life insurance applications involved failed drug screening.

Insurers use 5-panel or 10-panel drug screenings to check for substances including amphetamines, marijuana, and PCP. Medical prescriptions detected during testing, such as Adderall or oxycodone, require proof of valid prescription to avoid negative impact on underwriting decisions.

Some insurers retest after initial positive results using confirmatory methods like gas chromatography-mass spectrometry (GC-MS) to prevent false positives reported at a rate of up to 5%. Refusal to complete drug testing results in immediate application withdrawal by carriers including MetLife and John Hancock.

Group health plans rarely request pre-enrollment drug tests but may require them post-accident for disability or workers’ compensation claims. Test outcomes remain confidential under HIPAA, disclosed only with applicant consent except when mandated by court subpoena.

Drug testing technology updates regularly; insurers adopted oral fluid screening in 2019 due to its shorter detection window and convenience for applicants, YourInsuranceInfo states.