If you have diabetes and you’ve been turned down for life insurance coverage in the past, you may feel like getting the protection that you need is impossible. But, the good news is that you can still obtain life insurance – you just need to know how and where to look. Being prepared when submitting your life insurance application for coverage is also important – and we can help you to do so.
What the Life Insurance Underwriters Will Need to Know About Your Condition
While life insurance for diabetics may be a bit more difficult to obtain, it is not impossible, provided that you are prepared with the information that the insurance underwriters will want to know from you.
Overall, life insurers are concerned with how risky an applicant will be in terms of potentially having to pay out a costly claim should the company accept the person for coverage. With that in mind, a carrier will need to know how, and how well, your body responds to any of the treatments that you receive for your diabetic condition.
According to the National Diabetes Information Clearinghouse, Type 2 diabetes affects approximately 90 to 95 percent of those who have diabetes in the United States. Over the past several years, this condition has actually become much more common than it was in the past.
However, Type 2 diabetes is also more responsive to both diet and exercise than Type 1 diabetes. In addition, this type of diabetes is also more responsive to oral medication and insulin. Therefore, there are a number of questions that the life insurance underwriters will ask you regarding your treatment.
Some of the questions about your condition that you will likely be asked will include the following:
- At what age were you diagnosed with diabetes?
- What type of diabetes do you have (Type 1 or Type 2)?
- What are your current glucose / blood sugar level readings?
- What, if any, medications have you been prescribed for your condition?
- Do you possess any additional risk factors?
In addition to specific condition related questions, the underwriters will also review the information on the life insurance application for coverage. This will include basic information regarding your:
- Height and weight
- Smoking status / tobacco usage
- Marital status
- Occupation and income
- Overall health and medical history
- Family health and medical history
You will also typically be required to take a medical exam as a part of the application process. This will entail you meeting with a paramedical professional who will take a heart rate and blood pressure reading. They will also obtain more in depth health information.
There will also be a blood and urine sample taken. These will be analyzed for additional types of health conditions that could pose other types of risk to the life insurance company. Once all of the information has been received by the underwriters, a decision can be made regarding coverage acceptance, as well as premium cost.
How Much Will Your Coverage Cost?
In many cases, life insurance for diabetics will cost more than that of an average policy holder who is in good health. However, the actual cost of your policy will ultimately depend on your overall health condition.
With most insurance companies, there are four primary rating classifications for policy holders. These classifications – or classes – will also have a bearing on the amount of premium that is paid by the policy holder. These include:
- Preferred Plus – Those who obtain a preferred plus rating are considered to be the healthiest. These policy holders are in excellent health, and will therefore pay the lowest amount of premium, as they pose the least amount of risk to the insurer.
- Preferred – Those who obtain a preferred rating are also considered to be very healthy, and will therefore also pay a low amount of premium. While they are not considered to be in as “excellent” of health as those in the Preferred Plus category, they are still considered to be above average.
- Standard – Standard policy holders are typically those who are considered to be of “average” health, height, and weight.
- Substandard – Those who fall into the Substandard classification usually have some type of adverse health condition. Because of this, they are considered to pose more risk to the insurer, and in order to compensate for that risk, they are charged a higher amount of premium. There are typically several levels of Substandard, depending on the severity of the condition or the amount of risk that the policy holder poses to the insurer.
For those who have diabetes, it is possible that if you have Type 2 diabetes that is well controlled, you could fall into the Standard rating category and therefore, pay an average amount of premium for your coverage. Those who have Type 1 diabetes, or those with Type 2 diabetes along with minor complications are more likely to fall into one of the Substandard categories.
If you are unable to qualify, even for any of the Substandard categories, in a traditionally underwritten policy, there are still options available to you. One such option is to look for a no medical exam life insurance policy. This type of coverage will not require you to undergo a medical examination in order to qualify. And, while the premium on this type of coverage is usually quite a bit more than for traditional coverage, it will allow you to obtain the protection that you need.
Tips for Locating Quality and Affordable Coverage
Those who are seeking coverage for diabetics can’t always depend on going to just one insurer and getting the best deal – or even being accepted for a policy. That is why it is typically your best course of action to work with a company that has access to a number of different insurers. That way, your choice of carriers – and premiums – will be expanded exponentially.
The truth is that not all life insurance carriers underwrite policies in the same way. What may constitute a decline for one insurance company may be acceptable to another. For this reason, it definitely pays to shop around and that is why we are so effective here at DiabetesLifeSolutions at getting the best rates for diabetic life insurance.
Preparing for when you Apply for Life Insurance
When you have diabetes the underwriters will take extra time to see the extent of your condition. Whether you have type II diabetes or are a type I diabetic, getting all your medical information in order ahead of time will make a big difference in how quickly and how affordably you can get your term life insurance policy in place. Since anyone who has any type of health condition is going to be rated on a case-by-case basis you should follow these tips:
- Have the name, address, and phone number for all your doctors.
- Check with your physician to make sure they have all the documentation for your treatments, as well as any followup reports.
- Keep a current list of all medications and the dosage for each one.
- Be careful not to skip any doctors appointments leading up to the application for your life insurance plan.
Having all of these items up to date and in line will make finding affordable life insurance with diabetes much simpler.
No Medical Exam Policies for People with Diabetes
No matter what type of policy you choose the most important thing is that you find the proper amount of coverage with a life insurance premium that is an affordable rate. When you get a life insurance quote from most agencies they are going to tell you that the only way to get approved is with a “graded death benefit” or a guarantee issue policy. Both are expensive and the first has a two year waiting period.
Life insurance agents who do not work with diabetes cases make this mistake all the time. The truth is that you can get a no exam policy, but you have to know which companies specialize in life insurance policies for people with diabetes. Since we specialize in working with clients who have diabetes we know exactly which companies to work with. We can break them down into the two types of diabetes.
No Exam Policies with Type II Diabetes
With any policy that does not require a medical exam you are going to pay a higher premium. That doesn’t mean when you see the life insurance quotes they should make you faint from sticker shock. Two companies do an amazing job at offering term life insurance policies for people with a pre-existing condition like diabetes.
Along with the normal no exam questionnaire, Americo will require that you fill out an additional questionnaire for diabetic life insurance. The processing takes about two weeks, but we are seeing a VERY high success rate for diabetics securing life insurance with them. Those with gestational diabetes are getting approved at almost 100% when that is their only pre-existing condition.
If you fall between the ages of 40 and 65 then you can get a policy for up to $399,000 of coverage. They have a little stricter requirements. You cannot be taking injected insulin and you have to have been diagnosed after age 40 (oral medications are OK). You do have to have your A1C levels in the “under control” range and you cannot have any complications from your diabetes.
By targeting reasonably healthy people with adult-onset diabetes, they are able to give you a decision in less than 24 hours. Many people can get an instant decision. If you qualify, Sagicor is the fastest and easiest company to work with if you are looking for life insurance with diabetes.
No Exam Policies for Type I Diabetics
Since type I diabetes is treated very differently by the underwriters it is necessary to highlight the two companies that treat the disease with the most understanding. Since there is no cure for type I diabetes, these policies will tend to be more expensive, but you can still get policies that will meet your needs at reasonable prices.
United Home Life
The quickest policies for those with type I diabetes come from United Home Life. You can get up to $50,000 of coverage on a 20 year term. You do have to be between the ages of 20 and 60 and have not other major medical conditions.
ANICO offers the largest policies for type 1 diabetics. You can get up to $250,000 of coverage on terms of 10, 15, 20, or 30 years, and that is with no medical examination. They do take longer because they will review your medical records. This means it will take four to six weeks to finish the process. They do have a very quick e-signature process. This means there is not paperwork and you can sign from home.
Graded Death Benefit Policies
Since most agents will bring up a graded death benefit policy, it is important that you understand how these policies work. The policies themselves act just like other life insurance policies with one caveat, you have a two year waiting period before you have actual coverage. During that time you pay your premiums and if you were to pass away, your loved ones would receive the premium payments you had made and nothing else.
Where to Find the Best Policy
When searching for the best life insurance for diabetics, we can help. We work with many of the top rated life insurance companies in the marketplace today – and we can work with you in comparing policy benefits and premium prices so that you can find the coverage that best fits in with your specific needs and budget.
It’s easy to obtain all of the important information that you need – right from the comfort and convenience of your computer – without ever having to meet in person with an insurance agent. And, you can have the details that you require within seconds, not days or weeks. In order to get the process started, all you need to do is just simply use the form on this page.
If you do happen to have any questions at all about how to go about finding the best life insurance coverage for diabetics, or about how to compare premium prices, please feel free to contact us. We have experts who can answer any of your questions or concerns so that you feel comfortable moving forward. You can reach us toll-free by calling 800-470-4122.
The purchase of life insurance is a big decision. Yet, not having this coverage can leave those you love without essential financial protection in the event of the unexpected. Don’t leave your loved ones vulnerable – obtaining the coverage you need is possible, and more affordable than you may think.