Life Insurance for Diabetics: The Ultimate Guide | Options & Tips

 

If you have diabetes, you may wonder whether you can get life insurance and how much it will cost you. Diabetes is a chronic condition that affects how your body regulates blood sugar levels. It can lead to serious complications, such as heart disease, kidney failure, nerve damage, and vision loss.

According to the American Diabetes Association, more than 34 million Americans have diabetes, and another 88 million have prediabetes. Diabetes is also the seventh leading cause of death in the U.S. These statistics show how common and serious diabetes is in our society and why having life insurance is important for people who have it.

Life insurance is a contract between you and an insurer that pays out a lump sum of money to your beneficiaries when you die. The main benefit of having life insurance is that it provides financial protection for your loved ones in case something happens to you. Life insurance can help cover funeral costs, pay off debts, replace lost income, fund education, or leave a legacy.

However, getting life insurance with diabetes can be challenging and expensive. Insurers consider diabetics as high-risk applicants and may charge higher premiums, offer lower coverage amounts, or even deny coverage altogether. But this does not mean you have to give up on your life insurance goals. There are ways to find affordable and suitable life insurance products for diabetics.

The purpose of this article is to provide you with a comprehensive guide to life insurance for diabetics, including options, tips, and resources. We will explain how diabetes affects life insurance, how to shop for life insurance with diabetes, what types of policies are available for diabetics, how to save money on life insurance with diabetes, and what resources are available for diabetics seeking life insurance.

How Diabetes Affects Life Insurance

When you apply for life insurance, you will have to go through a process called underwriting. This is where the insurer evaluates your risk level based on your health history, lifestyle, family history, and other factors. The insurer will use this information to determine whether to approve or deny your application, how much coverage to offer you, and how much to charge you for it.

One of the main factors that influence underwriting decisions is your diabetes condition. The insurer will look at the type, severity, duration, and treatment of your diabetes to assess how it affects your mortality risk. For example, if you have type 1 diabetes that is well-controlled with insulin and diet, you may be considered less risky than someone who has type 2 diabetes that is poorly managed or has led to complications such as kidney failure or nerve damage.

The insurer will also consider other factors that may affect your risk level such as your age, gender, occupation, hobbies, smoking status, weight, and family history of diseases. These factors can either increase or decrease your risk depending on how they interact with your diabetes condition. For example, if you are a young, non-smoking, female office worker with type 1 diabetes, you may be considered less risky than an older, smoking, male construction worker with type 2 diabetes.

Based on your risk level, the insurer will assign you to a rate class that determines your premium and coverage amount. The rate classes are usually named as preferred, standard, or substandard, but they may vary among insurers. The higher the rate class, the lower the premium and the higher the coverage. The lower the rate class, the higher the premium and the lower the coverage. For example, if you are in the preferred class, you may pay $20 per month for a $500, 000 policy. If you are in the substandard class, you may pay $100 per month for a $100, 000 policy.

How to Shop for Life Insurance with Diabetes

If you have diabetes, you may think that getting life insurance is impossible or too expensive. However, this is not necessarily true. There are ways to find affordable and suitable life insurance products for diabetics. Here are some tips and strategies to help you shop for life insurance with diabetes:

• Compare quotes from multiple insurers. Not all insurers have the same underwriting criteria or rates for diabetics. Some insurers may specialize or be more flexible in covering certain types of diabetes than others. For example, some insurers may offer better rates for people with type 1 diabetes than others. By comparing quotes from different insurers, you can find the best deal for your situation.
• Work with an independent agent or broker. An independent agent or broker is someone who works with multiple insurers and can help you navigate the market and negotiate the best rates. An independent agent or broker can also advise you on what type of policy and coverage amount to choose based on your needs and budget. They can also help you prepare your application and answer any questions you may have along the way.
• Apply for life insurance as soon as possible. The sooner you apply for life insurance, the better your chances of getting approved and getting a lower rate. This is because your diabetes condition may worsen or lead to complications over time, which could increase your risk level and make it harder or more expensive to get coverage. Also, as you get older, your life insurance options may become more limited and costly.
• Improve your health and lifestyle. One of the best ways to lower your risk level and get better rates is to improve your health and lifestyle by following your doctor’s advice, taking your medications, monitoring your blood sugar levels, quitting smoking, losing weight, exercising regularly, eating healthy, etc. These actions can help you manage your diabetes better and prevent or reduce any complications that could affect your life expectancy or quality of life.
• Review your medical records and correct any errors or outdated information. Before you apply for life insurance, it is a good idea to review your medical records and make sure they are accurate and up to date. Any errors or outdated information in your records could affect your underwriting results and lead to higher rates or denial of coverage. For example, if your records show that you have high blood sugar levels but you have been taking medication and keeping them under control, you should update your records to reflect that.

What Types of Life Insurance are Available for Diabetics

There are different types of life insurance products that are suitable or available for diabetics. Each type has its own pros and cons that you should weigh carefully before making a decision. Here are some of the most common types of life insurance products for diabetics:

• Term life insurance: This is the simplest and most affordable type of life insurance. It provides coverage for a fixed period of time, usually 10 to 30 years. If you die within the term, your beneficiaries will receive the face value of the policy. If you outlive the term, the policy will expire and you will receive nothing. Term life insurance is typically easier to qualify for than permanent life insurance because it has less risk for the insurer. However, it does not offer any cash value or benefits after the term expires.
• Permanent life insurance: This is a more complex and expensive type of life insurance. It provides coverage for your entire life, as long as you pay the premiums. It also accumulates cash value that can be accessed or borrowed against during your lifetime. Permanent life insurance is usually harder to qualify for than term life insurance because it has more risk for the insurer. However, it offers more flexibility and security because it does not expire and it can provide additional benefits such as dividends or riders.
• Guaranteed issue life insurance: This is a type of permanent life insurance that provides coverage without requiring any medical exam or questions. It is usually limited in coverage amount (usually $25,000 or less) and has a graded death benefit that pays out only a portion of the face value in the first few years (usually two to three years). Guaranteed issue life insurance is very expensive and should be considered as a last resort for people who cannot get any other type of coverage.

How to Save Money on Life Insurance with Diabetes

Life insurance for diabetics can cost two to four times as much as coverage for a healthy person, according to Policygenius. However, there are ways to reduce the cost of life insurance for diabetics and make it more affordable. Here are some of them:

• Choose a shorter term or a lower coverage amount. The longer the term or the higher the coverage amount, the more you will pay for your life insurance policy. If you don’t need a long-term or a large amount of coverage, you can opt for a shorter term or a lower coverage amount that fits your needs and budget.
• Opt for a policy with a higher deductible or a lower death benefit. Some life insurance policies offer the option to choose a higher deductible or a lower death benefit in exchange for a lower premium. A deductible is the amount you have to pay out of pocket before the policy pays out. A death benefit is the amount your beneficiaries will receive when you die. For example, you may choose a policy with a $10,000 deductible and a $100,000 death benefit instead of a policy with no deductible and a $150,000 death benefit.
• Take advantage of discounts or rewards programs offered by some insurers. Some life insurance companies offer discounts or rewards programs for diabetics who demonstrate good health habits and diabetes management. For example, John Hancock’s Aspire program offers up to 25% off premiums and other benefits for diabetics who use a glucose monitor and meet certain health goals.
• Shop around for policies during open enrollment periods or special events. Some life insurance companies offer special rates or promotions for diabetics during certain times of the year or events. For example, some insurers may offer lower rates for diabetics during November, which is National Diabetes Awareness Month. Some insurers may also offer lower rates for diabetics who participate in charity walks or fundraisers related to diabetes.
• Bundle life insurance with other types of insurance from the same insurer. Some life insurance companies offer discounts or benefits for customers who buy multiple types of insurance from them, such as auto, home, or health insurance. By bundling your life insurance with other types of insurance from the same insurer, you may be able to save money and simplify your payments.

Resources for Diabetics Seeking Life Insurance

If you are looking for more information and advice on life insurance for diabetics, there are many useful resources available online and offline that can help you. Here are some of them:

• Websites or blogs that offer information and advice on life insurance for diabetics. There are many websites or blogs that provide helpful articles, guides, reviews, tips, and tools on life insurance for diabetics. Some examples are Diabetes Life Solutions, Diabetes 365, Diabetic Connect, and Diabetes Strong.
• Organizations or associations that support diabetics and advocate for their rights and interests. There are many organizations or associations that offer support, education, research, advocacy, and resources for diabetics and their families. Some examples are American Diabetes Association, Juvenile Diabetes Research Foundation, Diabetes Action Network, and Diabetes Advocacy Alliance.
• Online tools or calculators that help diabetics compare quotes and policies from different insurers. There are many online tools or calculators that allow diabetics to enter their personal and medical information and get instant quotes and comparisons from different life insurance companies. Some examples are Policygenius, NerdWallet, Insure.com, and Quotacy.

Conclusion

Diabetes is a common and serious condition that affects millions of Americans and their life insurance options. However, having diabetes does not mean you cannot get life insurance or that you have to pay exorbitant rates for it. There are ways to find affordable and suitable life insurance products for diabetics.

The purpose of this article was to provide you with a comprehensive guide to life insurance for diabetics, including options, tips, and resources. We explained how diabetes affects life insurance underwriting and rates, how to shop for life insurance with diabetes, what types of policies are available for diabetics, how to save money on life insurance with diabetes, and what resources are available for diabetics seeking life insurance.

If you are interested in buying life insurance with diabetes, here are some steps you can take to find the best policy for your needs:

• Do some research on your diabetes condition and how it affects your life insurance options.
• Shop around for quotes from different insurers and compare their rates and benefits.
• Seek professional advice from an agent or broker who can guide you through the process and find you the best deal.
• Apply for life insurance sooner rather than later, before your diabetes worsens or leads to complications.
• Maintain a healthy lifestyle and follow your doctor’s orders to manage your diabetes better.

Life insurance is an important financial tool that can provide protection and peace of mind for you and your loved ones. Whether you have type 1 or type 2 diabetes, you deserve to have life insurance that suits your needs and budget.