diff --git a/controllers/helpers_test.go b/controllers/helpers_test.go
index b975a7e7..380c23f1 100644
--- a/controllers/helpers_test.go
+++ b/controllers/helpers_test.go
@@ -176,6 +176,17 @@ func createASGInstance(instanceID string, launchConfigName string) *autoscaling.
 	}
 }
 
+func createASGInstanceWithLaunchTemplate(instanceID string, launchTemplateName string) *autoscaling.Instance {
+	return &autoscaling.Instance{
+		InstanceId: &instanceID,
+		LaunchTemplate: &autoscaling.LaunchTemplateSpecification{
+			LaunchTemplateName: &launchTemplateName,
+		},
+		AvailabilityZone: aws.String("az-1"),
+		LifecycleState:   aws.String("InService"),
+	}
+}
+
 func createEc2Instances() []*ec2.Instance {
 	return []*ec2.Instance{
 		&ec2.Instance{
@@ -203,6 +214,40 @@ func createASG(asgName string, launchConfigName string) *autoscaling.Group {
 	}
 }
 
+func createASGWithLaunchTemplate(asgName string, launchTemplate string) *autoscaling.Group {
+	return &autoscaling.Group{
+		AutoScalingGroupName: &asgName,
+		LaunchTemplate: &autoscaling.LaunchTemplateSpecification{
+			LaunchTemplateName: &asgName,
+		},
+		Instances: []*autoscaling.Instance{
+			createASGInstance("mock-instance-1", launchTemplate),
+			createASGInstance("mock-instance-2", launchTemplate),
+			createASGInstance("mock-instance-3", launchTemplate),
+		},
+		DesiredCapacity: func(x int) *int64 { i := int64(x); return &i }(3),
+	}
+}
+
+func createASGWithMixedInstanceLaunchTemplate(asgName string, launchTemplate string) *autoscaling.Group {
+	return &autoscaling.Group{
+		AutoScalingGroupName: &asgName,
+		MixedInstancesPolicy: &autoscaling.MixedInstancesPolicy{
+			LaunchTemplate: &autoscaling.LaunchTemplate{
+				LaunchTemplateSpecification: &autoscaling.LaunchTemplateSpecification{
+					LaunchTemplateName: &asgName,
+				},
+			},
+		},
+		Instances: []*autoscaling.Instance{
+			createASGInstance("mock-instance-1", launchTemplate),
+			createASGInstance("mock-instance-2", launchTemplate),
+			createASGInstance("mock-instance-3", launchTemplate),
+		},
+		DesiredCapacity: func(x int) *int64 { i := int64(x); return &i }(3),
+	}
+}
+
 func createDriftedASG(asgName string, launchConfigName string) *autoscaling.Group {
 	return &autoscaling.Group{
 		AutoScalingGroupName:    &asgName,
@@ -221,6 +266,8 @@ func createASGs() []*autoscaling.Group {
 		createASG("mock-asg-1", "mock-launch-config-1"),
 		createDriftedASG("mock-asg-2", "mock-launch-config-2"),
 		createASG("mock-asg-3", "mock-launch-config-3"),
+		createASGWithLaunchTemplate("mock-asg-4", "mock-launch-template-4"),
+		createASGWithMixedInstanceLaunchTemplate("mock-asg-5", "mock-launch-template-5"),
 	}
 }
 
diff --git a/controllers/upgrade.go b/controllers/upgrade.go
index ade49b48..cc1612e0 100644
--- a/controllers/upgrade.go
+++ b/controllers/upgrade.go
@@ -503,7 +503,7 @@ func (r *RollingUpgradeContext) IsInstanceDrifted(instance *autoscaling.Instance
 			launchTemplateName      = aws.StringValue(scalingGroup.MixedInstancesPolicy.LaunchTemplate.LaunchTemplateSpecification.LaunchTemplateName)
 			instanceTemplateName    = aws.StringValue(instance.LaunchTemplate.LaunchTemplateName)
 			instanceTemplateVersion = aws.StringValue(instance.LaunchTemplate.Version)
-			templateVersion         = aws.StringValue(scalingGroup.LaunchTemplate.Version)
+			templateVersion         = aws.StringValue(scalingGroup.MixedInstancesPolicy.LaunchTemplate.LaunchTemplateSpecification.Version)
 		)
 
 		// replace latest string with latest version number
diff --git a/controllers/upgrade_test.go b/controllers/upgrade_test.go
index 948fd999..35d8e718 100644
--- a/controllers/upgrade_test.go
+++ b/controllers/upgrade_test.go
@@ -176,30 +176,49 @@ func TestIsInstanceDrifted(t *testing.T) {
 		TestDescription string
 		Reconciler      *RollingUpgradeReconciler
 		Instance        *autoscaling.Instance
+		AsgName         *string
 		ExpectedValue   bool
 	}{
 		{
 			"Instance has the same launch config as the ASG, expect false from IsInstanceDrifted",
 			createRollingUpgradeReconciler(t),
 			createASGInstance("mock-instance-1", "mock-launch-config-1"),
+			aws.String("mock-asg-1"),
 			false,
 		},
 		{
 			"Instance has different launch config from the ASG, expect true from IsInstanceDrifted",
 			createRollingUpgradeReconciler(t),
 			createASGInstance("mock-instance-1", "different-launch-config"),
+			aws.String("mock-asg-1"),
 			true,
 		},
 		{
 			"Instance has no launch config, expect true from IsInstanceDrifted",
 			createRollingUpgradeReconciler(t),
 			createASGInstance("mock-instance-1", ""),
+			aws.String("mock-asg-1"),
+			true,
+		},
+		{
+			"Instance has launch template, expect true from IsInstanceDrifted",
+			createRollingUpgradeReconciler(t),
+			createASGInstanceWithLaunchTemplate("mock-instance-1", "mock-launch-template-4"),
+			aws.String("mock-asg-4"),
+			true,
+		},
+		{
+			"Instance has mixed instances launch template, expect true from IsInstanceDrifted",
+			createRollingUpgradeReconciler(t),
+			createASGInstanceWithLaunchTemplate("mock-instance-1", "mock-launch-template-5"),
+			aws.String("mock-asg-5"),
 			true,
 		},
 	}
 	for _, test := range tests {
 		rollupCtx := createRollingUpgradeContext(test.Reconciler)
 		rollupCtx.Cloud.ScalingGroups = createASGs()
+		rollupCtx.RollingUpgrade.Spec.AsgName = *test.AsgName
 		actualValue := rollupCtx.IsInstanceDrifted(test.Instance)
 		if actualValue != test.ExpectedValue {
 			t.Errorf("Test Description: %s \n expected value: %v, actual value: %v", test.TestDescription, test.ExpectedValue, actualValue)