Can People With Type 2 Diabetes Buy A Life Insurance Policy
Yes, people with Type 2 diabetes can buy a life insurance policy. Life insurance companies look at various factors to determine how much youll pay for life insurance for Type 2 diabetes. Your age at onset, how well its controlled and the treatment plan in place are key factors used to determine eligibility and pricing.
What Kind Of Coverage Is Available
Most companies offer term or whole-life, also called permanent life insurance. Term policies last a specific number of years, such as a 10-year or 25-year period. If the policyholder doesnt die during the policy term, it expires, and there is no money paid out.
Permanent policies tend to cost more as they last until someone dies. It may be possible to withdraw or borrow against the value of your policy while youre alive.
What Is Term Insurance
Term insurance is the purest and cheapest form of life insurance. Its prime benefit is that of a large sum assured offered to policyholders at affordable premium rates. However, a diabetic may wonder whether or not they are eligible for the purchase of term insurance and if yes, do they stand to be rejected on medical grounds? The good news is that you can still buy a term plan as a diabetic at reasonable rates, provided you fulfill certain conditions.
Here are a few things to keep in mind for diabetic patients when purchasing a :
All the parameters above will be taken into account to determine how much of a risk you pose to the insurer before an applicable term insurance policy is offered to you. Do bear in mind that the premium to be paid might be higher as compared to that offered to an otherwise healthy individual. However, those that put constant effort into keeping their diabetes levels in check and maintain a healthier lifestyle, in general, will usually be rewarded with lower premium rates.
You may or may not have to go through a medical test depending on the insurance company chosen. However, make sure to declare your condition clearly and honestly in the detailed questionnaire provided at the time of policy purchase.
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How Often Do You Visit Your Doctor
Like mentioned above, the most important consideration for an insurer reviewing the application of a diabetic patient is whether or not the patient is able to keep the disease in check. In addition to your treatment and medication effects, it is equally important for the insurer to know that you are visiting your physician regularly. If you are visiting twice a year, it may work in your favour. If youre visiting every quarter, then it indicates that you are actively involved in keeping the disease in check.
Choosing The Amount And Length Of Cover
Ideally, the amount of cover known as the sum insured should be big enough to cover the remaining balance on your mortgage.
Then, there should be enough left over on top to make it easier for your family to cover some of their other expenses when youre gone.
Think carefully about how the situation might change if you werent around. For example, if you work part-time so you can look after your children, what would your partner do if you werent around anymore? They might need to pay for childcare, or they might need to work less. Either way, it would affect their financial situation.
The term of your life insurance policy should also be at least as long as your mortgage. This will make sure the payout covers the remaining balance on your mortgage.
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Life Insurance Cost For Type 1 Diabetes
Someone with Type 1 diabetes will likely find it tough to qualify for life insurance, much less find inexpensive coverage, says life insurance and wealth consultant Guy Baker, founder and managing director of the Wealth Teams Alliance wealth advisory firm. In part, thats because someone with Type 1 diabetes must always control the disease with shots or pills.
Your life insurance cost will depend on your age, blood sugar levels, diet, exercise, medication and whether your diabetes is affecting other organs, among other factors.
What Do Providers Consider When Assessing Life Insurance For Diabetics
As with any insurance policy, life insurance premiums are assessed based on the risk that the provider is taking on. The insurer may ask questions about the individual and their circumstances at the time of the application. Life insurance for diabetics is no different, the insurer has to assess you as an individual who happens to have diabetes. Therefore, insurers may need to take an in-depth look at your individual case and health record. So the assessment will be based on a range of health related and treatment factors, specific to the condition. Below are some of the questions you may be asked:
- The type of diabetes you have
- The date you were diagnosed
- Your age
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What Other Health Problems Are Linked To Diabetes
- Diabetes increases the risk of stroke and heart disease. In fact, about 80 percent of people with diabetes will die from stroke and heart disease. People with diabetes are over three times more likely to be hospitalized with cardiovascular disease.
- Diabetes is also the top cause of non-traumatic amputation, kidney failure, and blindness. People with diabetes are more than 12 times more likely to be hospitalized with end-stage renal disease, and almost 20 times more likely to be hospitalized with non-traumatic lower limb amputations. Diabetes was found to be the primary cause of over 30 percent of new cases of end-stage renal disease.
- 36.5 percent of Canadians with diabetes have two or more other serious chronic conditions such as arthritis, chronic obstructive pulmonary disease, heart disease, hypertension, and/or mood disorder, and 12.5 percent have three or more.
- Almost 40 percent of Canadian adults with diabetes rated their health as fair or poor, but only about one-tenth of the adult population without diabetes did so .
- Diabetes itself does not usually lead directly to death, but its complications do.
- For every age group, people with diabetes experienced mortality rates at least two times higher than those without.
- More than one in ten deaths in Canadian adults would be prevented if there were no cases of diabetes.
The Severity Of Your Diabetes
To judge the severity of your diabetes, insurers will assess your average blood sugar levels using a blood test called A1C. If the reading indicates your diabetes is under control, youll be looked upon more favorably than someone with a higher reading.
In some cases, an insurer may consider results from a glucose tolerance test instead of an A1C. The closer you are to a normal blood sugar level, the better it is for your life insurance application.
Tests aside, insurers will also ask about any diabetes-related complications, such as neuropathy or retinopathy . You wont be automatically penalized for having these conditions, but if its clear that youre not managing them well, youll face higher premiums.
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Example Savings Of Preferred Vs Standard Health Rating
Just to give you an idea of what the difference in price is if you get a standard health rating vs. sub-standard.
Lets say you are a 50 year old non-smoking male shopping for a $500,000 20 year term policy and you have an a1c of 8.0 This would put you into a substandard rate class. Your premium may be around $4600 per year.
If you have an a1c of 6.5, the company offers you a standard rate of $2270 per year.
That is a savings of $2,330 per year. After 20 years, you will have saved $46,600! Thats a huge savings! This example shows the difference between standard and substandard rates, so just imagine how much you can save if you have type 2 diabetes and get a preferred rate. This is possible with one company, as long as you meet certain strict requirements.
Best For Qualifying Easily: Brighthouse Financial
Brighthouse Financial life insurance is the best option for those that want to qualify easily for a term life policy. They wont require you to take a medical exam or provide lab results and they provide an expedited response, usually within 24 hours.
Affordable term life insurance premiums
No-medical exams for SimplySelect term life
A limited number of term length options
SimplySelect option available only through Policygenius
No-exam life insurance available only for ages 25 to 49.5
Those who want to skip the medical exam and get approved easily will have the best chance of finding coverage through Brighthouse Financials life insurance.
Founded in 1863, Brighthouse Financial has had over 2 million customers throughout its history. With an AM Best rating of A, they are also part of the Fortune 500 list, proving their stability and financial strength.
Brighthouse Financial offers different types of products throughout the United States. However, products and features as well as their availability may vary by state.
Read the full Brighthouse Financial review
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Best For Medicare Advantage: Cigna
Medicare Advantage plans offer coordinated care to Medicare beneficiaries. You receive your care through the plan network and you may have access to other benefits like vision screenings. Cigna offers a special needs Medicare Advantage plan for people with diabetes. This plan provides you with an individualized care plan based on your health needs.
An interdisciplinary care team supports your plan, and your team includes a primary care doctor and specialists. It may also include a nurse care manager, pharmacist and social worker. Your care plan helps keep all your providers on the same page and ensures that you receive high-quality care.
# of Healthcare Providers
Can Diabetics Get Life Insurance
Diabetics in Canada have many options when it comes to getting a life insurance policy. Diabetics who are in good health, with consistent medication levels, and who keep their blood sugar levels in control can qualify for standard, medically underwritten life insurance coverage. In medically underwritten life insurance, the life insurance company will arrange for a blood test and likely request for a physicians report to evaluate and screen for a pre-existing condition and grant approval for a life insurance policy. This process may provide more monetary coverage for a lower premium, than no medical life insurance.
Much like anyone with a pre-existing health condition, no medical life insurance is another choice for diabetics. No medical life insurance is a policy that is issued without the insured having to undergo a medical exam. It usually has the added advantage of a simpler and faster issuance process that doesnt require details for every medical condition one may have.
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Is There Any Type Of Specialized Life Insurance For Diabetics
Most life insurance companies will sell policies to people with diabetes. Still, premiums and coverage levels may depend on the answers to your application questions and your medical exam results. If your condition is advanced, you may want to consider policies that do not require a medical exam or guaranteed issue policies.
How To Get Better Life Insurance Rates As A Diabetic
Life insurance companies want to see that you have managed your condition well which is why they want to see that:
- you regularly visit your doctor
- you are working hard to remain in control of your condition
- you are not dependent on insulin or other pills
- you take advantage of things like dietary changes to accomplish all of this
Low A1C levels on a regular basis and no other diabetic related conditions means that you are working hard to keep your blood sugar levels low. This could mean the difference between a preferred class level and a standard class leveland that difference could be a few hundred dollars versus a few thousand.
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What If You Were Diagnosed With Diabetes After Buying Life Insurance
Once you’ve purchased life insurance and the policy is issued, the insurer can’t cancel the policy or alter your rates if you’re diagnosed with diabetes later on. If you purchased a permanent life insurance policy, your premiums and coverage will stay the same even if you become diabetic. There are only three situations in which it would be problematic to become diabetic after buying life insurance, but you have options in each case:
How Type 2 Diabetes Impacts Life Insurance Rates & Premiums
Type 2 diabetes is much more common than Type 1 diabetes, is usually milder and is typically diagnosed at a later age.
These factors mean that premiums for someone with well-controlled Type 2 diabetes will usually be lower than premiums would be for a Type 1 diabetes patient. However, a person with Type 2 diabetes will still typically pay higher premiums than someone at the same age who doesnât have diabetes.
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What Is Your Fasting Blood Sugar Level
Although the ideal blood sugar level to have is 140, most insurance providers will allow individuals with a blood sugar level of up to 180 to purchase life insurance plans. Also, certain insurance providers might also consider the prospective policy buyers fructosamine levels during the application process.
Can You Get Life Insurance As A Diabetic
People with preexisting conditions often have a harder time getting a life insurance policy. However, many medical conditions, including diabetes, do not automatically disqualify a person for insurance coverage. In most cases, people with diabetes can still get life insurance they may have to pay more than a person without a preexisting condition. How much more? It depends on the type of life insurance policy and the type of diabetes, among other factors. In this article, we’ll help explain:
Is The Medication/treatment Working
One of the most important things which the insurer will want to know is whether or not the treatment or medication that youre taking for diabetes is working or not. If youve got the diabetes in check, it is viewed favourably. Insurers will determine that by asking for your A1c level , your fasting blood glucose level . These two determinants, along with the age at which you were diagnosed, are some of the most important factors influencing the approval or rejection of your life insurance application.
Choosing The Best Life Insurance Policy With Diabetes
When choosing the best life insurance policy for yourself, diabetics need to determine:
- The type of policy
- Level of underwriting
- The amount of coverage needed
We recommend first reviewing your finances and goals to determine how much coverage you may need and how long it will need to remain in force.
These factors will directly influence which policies to consider and the amount of underwriting required to qualify. If you later realize that you want more coverage than you originally purchased, you’ll likely need to undergo additional underwriting. Given you may experience side effects or complications related to your diabetes over time, you risk either not qualifying for additional coverage later on or paying significantly higher rates.
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Is It Easy To Qualify For Life Insurance As A Diabetic
Insurance companies offering life insurance to people with diabetes use specific criteria to decide if they will cover someone and at what price. Some carriers do not require a medical examination and offer a set amount of coverage. If a physical exam is needed, it may be more comprehensive than a healthy individuals medical exam.
How easy it is to qualify depends on the insurance company and your health status, among other factors such as age, smoking status, gender, and others. A provider may have an upper age limit, typically 65 for diabetics, or may refuse to insure you if diagnosed before a particular age.
Some companies offer almost standard prices and ease of qualification to people who control their diabetes well and have no other health issues others will disqualify you based on your diabetic status.
Get A Free Life Insurance Quote From 20+ Canadian Insurers
A diabetes diagnosis can be frightening. Some common thoughts are: Will I have to inject insulin? Do I have to give up all sugars? How will the disease affect my quality of life? While your doctor will help you navigate through steps you must take to live a rich, full life with diabetes, there is one question he or she cannot answer: Is there life insurance for people with diabetes? We will answer that question for you.
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Is Life Insurance More Expensive For Diabetics
Your life insurance premiums could be more expensive if you have diabetes according to data from MoneySuperMarket, the average cost of insurance is £17.65 a month for diabetics, and £14.85 overall, or 19% higher*
*Life-only, single, level premium for customers aged 30-39 who purchased through MoneySuperMarket in 2019.
Life insurance is more expensive because insurers believe that diabetes poses an added health risk, and increases the chances of a claim being made on your policy. However, the cost of life insurance for diabetics will depend on the precise details of your condition.
If youre able to show that your condition is under control, and you dont have any other pre existing health conditions, its likely that youll be able to get a better deal on cover.
What Do Life Insurance Companies Consider When You’re Applying With Diabetes
The cost of life insurance varies depending on your age, your lifestyle, how much life insurance coverage youre getting, and your health. If you have diabetes, the insurance company will want to know more details about your diagnosis, including blood sugar levels, any medications youre taking, and how long youve been in treatment.
Insurers will look closely at the following factors when setting your rates:
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