For many years, diabetics shied away from applying for no medical life insurance because underwriters saw them as too much of a risk. Diabetics see underwriters rejecting their application that makes it very difficult to apply again in the future, or a rated policy with very high premiums.
Now, things have changed.
Can Diabetics Get Life Insurance?
Learning that you are a diabetic can be scary at first. No doubt you’ve heard stories of limb loss or insulin shock that have you wondering about the difficulty of the road ahead. The good news is, diabetes, especially Type 2, is manageable with a combination of clean eating, exercise, insulin and medical intervention. While diabetes requires some proactivity on your part, it does not have to significantly interrupt your life.
A few years ago, you may have started to see commercials for “no medical life insurance.” This is a new product that does not require a medical exam as a part of the application process. No medical life insurance was specifically created for people whose health conditions had excluded them from obtaining life insurance.
That’s not all! The good news just keeps on coming for diabetics that need life insurance. The entire insurance industry is undergoing a refresh. Many people with health conditions, like diabetes, are very proactive about their health. This prompted underwriters to take a look at whether the conditions they considered risky in the past were actually impacting longevity. Now, many insurers offer traditional life insurance to those who are managing their conditions and maintaining good health.
Can diabetics get life insurance? Yes!
What Factors Determine Your Ideal Policy?
Your broker will look at several different factors when assessing which policy has higher chances of approval. Underwriters also take this information into account when determining your premium.
- Age: Usually your age works against you when it comes to getting the lowest insurance rate for diabetics, but in this case, the longer you live with diabetes, the longer you can demonstrate that you have it under control.
- Blood sugar: Your doctor can give you a glycohemoglobin test to show how well you are controlling your blood sugar. Favourable results usually mean lower premiums.
- Smoking: Whether or not you are a diabetic, smoking increases your rate. Smokers can pay double – if not more – the rates of non-smokers.
- Coverage: The higher the dollar figure you apply for, and the longer the term, the higher your rate. Again, this applies to all applicants, not just those with diabetes.
- Insulin injections: Some forms of diabetes can be controlled through diet and exercise to the point where insulin injections are not necessary. If you are not insulin dependent, you may get a better rate.
No Medical Life Insurance Diabetics
While some insurers will offer a traditional policy, or a rated traditional policy, to diabetics whose conditions are under control, some diabetes cases are simply too risky for standard underwriting. This is where simplified or guaranteed issue comes in.
If your broker recommends simplified issue insurance, it means:
- A short medical questionnaire (no medical exam)
- Premiums higher than traditional insurance but lower than guaranteed issue insurance
- The upper coverage limit is typically $300,000
If your broker recommends simplified issue insurance, it means:
- No medical exam and no medical questions. Guaranteed acceptance
- Premium is higher than standard or simplified issue insurance
- The upper coverage limit is typically $25,000
Remember, the goal of life insurance is not to make the beneficiary wealthy upon the passing of the life insured, but to ease the financial transition and to help with the funeral costs. If your loved one were to pass away tomorrow and has guaranteed issue life insurance, that $25,000 can stand between being able to carry on financially and falling into financial hardship. At NoMedicalLifeInsurance.ca, folks specialize in helping people insure their health conditions, and accordingly, advise them about the best health insurance policies.
How to Get Life Insurance if you Have Diabetes
Your broker will assess your case and advise you on traditional, simplified or guaranteed issue insurance. Remember, any application denial makes it harder to get insurance in the future. You don’t want to apply for standard, denied insurance, and then have to apply again. It makes it necessary for you to speak with a broker if you need insurance but have diabetes. Unlike an agent, a broker can access all the top underwriters in Canada. He can shop the market for you and gives you a greater range of options.
Article submitted by Community Writer.
