Question Period Note: CANNABIS FOR MEDICAL PURPOSES

• Since 2016, Veterans Affairs Canada has reimbursed cannabis for medical purposes based on the medical authorization provided by the Veteran’s healthcare professional.
• Budget 2025 announced a change to the maximum reimbursement rate for cannabis for medical purposes.
• There is no change to Veterans access to cannabis for medical purposes.
• If approved, the reimbursement rate will be lowered from $8.50 per gram to $6.00 per gram to better reflect fair market prices, ensuring that the government pays a fair price.
• VAC will continue our approach of evolving as new scientific research and medical guidelines emerge and working with Health Canada as it reviews the Cannabis Act.

VAC implemented the Cannabis for Medical Purposes Reimbursement Policy in November 2016. The reimbursement policy established a limit of three grams per day for dried cannabis or its equivalent in other forms up to a maximum reimbursement rate which is currently set at $8.50 per gram.
An exceptional approval process was developed as part of the reimbursement policy to assist Veterans who may require more than three grams per day. To add more rigour to this approach, these reimbursement requests may only be approved when supporting documentation is provided from a medical specialist with expertise in the Veteran’s diagnosed condition(s).
The policy further explains the information to be included in the supporting documentation from the medical specialist. The following are the four requirements:
a) the medical rationale for the use of cannabis for medical purposes for the Veteran’s condition(s);
b) the specific quantity over three grams per day being recommended;
c) a list of contraindications that were considered and confirmed absent; and
d) a list of alternative treatments that were tried and why they were ineffective or contraindicated.
Health Canada’s Cannabis Act and Cannabis Regulations (2018): legalized recreational cannabis. VAC does not reimburse recreational purchases, all cannabis products used for medical purposes must be purchased from federal licensed sellers authorized by Health Canada.
Amendments to Schedule 4 of the Cannabis Act (2019): Updated to include edibles, extracts, and topicals, in addition to dried and fresh cannabis.
VAC has continued to respond to changes and have expanded coverage to include edibles, extracts, and topicals to align with change to the Cannabis Act.
Internal Audit (2022): Found rapid program growth, high-dose authorizations, and a small number of authorizers. The audit called for stronger oversight and monitoring.
Cannabis Act and Regulations Review (2025): VAC is collaborating with Health Canada during the review of the Cannabis Act and Regulations. Any modifications will be reflected in the Reimbursement Policy for Cannabis for Medical Purposes as appropriate.

QUICK FACTS & FIGURES

Cannabis for Medical Purposes Policy
• Established in 2016, the maximum reimbursement rate is currently up to $8.50 per gram, up to 3 grams/day.
• Reimbursement of amounts over 3 grams per day will only be considered with documentation from a medical specialist.
Program Demographics
• 27,643 Veterans reimbursed in 2024/25
• As of September 30, 2025, there were 28,592 Veterans authorized for VAC reimbursement:
o 8.02% (2,293) authorized for less than 3 grams per day
o 66.20% (18,927) authorized for 3 grams per day
o 25.78% (7,372) authorized for over 3 grams per day
• Top 5 authorized conditions
o Chronic Pain (48.14%)
o PTSD (47.76%)
o Tinnitus (15.06%)
o Depressive Disorder (13.10%)
o Anxiety Disorder (10.36%)

Program Expenditures and Potential Savings
Expenditures (millions) Actual Forecast
2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29
CMP Status Quo $168 $192 $245 $312 $353 $408 $464
Budget Adjustment $88 $101 $110
Adjusted Forecast $312 $265 $307 $354