Life Insurance Options While On Insulin: What You Need Know

Life insurance is generally available for people with diabetes, but the type of diabetes and how well it's managed will affect the policy and pricing options. For example, Type 2 diabetes is considered less risky and easier to manage via diet, exercise, good sleep, and stress reduction. Therefore, those with Type 2 diabetes may have an easier time obtaining life insurance and at a lower cost than those with Type 1 diabetes. Additionally, the timing of applying for life insurance matters; it is generally cheaper to get life insurance before developing diabetes or to wait until your diabetes is under control.

Life insurance for type 1 diabetics

If you have type 1 diabetes, you may be wondering if you can get life insurance and what your options are. Here's what you need to know:

Yes, individuals with type 1 diabetes can generally obtain life insurance, although it may be more challenging and expensive compared to those without diabetes. The availability and cost of life insurance for type 1 diabetics can vary depending on several factors.

Factors Affecting Life Insurance for Type 1 Diabetics:

• Type of Diabetes: Type 1 diabetes is considered harder to control and poses a higher risk for insurers. As a result, some carriers may not provide life insurance to people with Type 1 diabetes.
• Management of Diabetes: The timing of applying for life insurance matters. If your diabetes is well-managed and you can demonstrate good health and stable blood glucose and A1C levels, you may qualify for more competitive rates.
• Age and Health: Younger applicants with type 1 diabetes may see larger increases in life insurance quotes. As you get older, staying as healthy as possible and managing your diabetes effectively can help mitigate higher premiums.
• Policy Type: You may have options such as term life insurance, whole life insurance, universal life insurance, or final expense insurance. Term life insurance is typically more affordable but only provides coverage for a set number of years. Whole life and universal life insurance offer lifelong coverage but at higher premiums. Final expense insurance is intended to cover end-of-life costs and may be an option for individuals over 50.
• Insurance Company: Different insurance companies have varying rules and rates for life insurance for diabetics. Shopping around and comparing quotes can help you find the best option for your needs.

Recommended Insurance Companies for Type 1 Diabetics:

When choosing a life insurance provider, look for companies that offer affordable rates, multiple policy options, and living benefit riders. Here are some recommended companies:

• John Hancock Life Insurance: Offers the Aspire program tailored to diabetics, with potential discounts of up to 25% on policies.
• Banner by Legal & General: Provides competitive rates for diabetics and long-level term lengths of 35 and 40 years.
• Mutual of Omaha: Offers simplified and guaranteed issue no-medical-exam life insurance for individuals aged 45 and above.
• Pacific Life Insurance: Known for excellent customer service and a wide range of policy options, including term, whole, universal, and variable universal life insurance.

Life insurance for type 2 diabetics

If you have type 2 diabetes, you may be concerned about your eligibility for life insurance. While diabetes is a pre-existing condition, it is still possible for diabetics to obtain life insurance, especially if their diabetes is well-managed. However, it is important to note that life insurance for diabetics may come at a higher cost than for those without the condition.

Eligibility for Type 2 Diabetics

People with type 2 diabetes generally qualify for standard life insurance, although the specific terms and conditions may vary depending on the insurance provider. The timing of applying for life insurance also plays a crucial role in the eligibility and rates offered. Here are some factors to consider:

• Existing life insurance policy: If you already have a life insurance policy before being diagnosed with type 2 diabetes, your premiums will generally be lower than if you apply for a new policy after the diagnosis. However, it is important to disclose your diabetes diagnosis to your insurer, as failing to do so may be considered insurance fraud.
• Gestational diabetes: If you have developed gestational diabetes during pregnancy, it is advisable to wait until after your pregnancy to apply for life insurance. Gestational diabetes is often temporary, and resolving it before applying for insurance can result in more favourable rates.
• Managing your diabetes: Demonstrating that you are in good health and effectively managing your diabetes can help you obtain life insurance at more competitive rates. Maintaining stable blood glucose and A1C levels, as recommended by your doctor, can positively impact your medical exam results and increase your chances of obtaining coverage at lower prices.

Types of Life Insurance for Type 2 Diabetics

The types of life insurance available to type 2 diabetics may vary depending on the insurer and the individual's condition. Here are some options to consider:

• Term life insurance: If your diabetes is well-managed, you may qualify for traditional term life insurance policies with competitive rates. Term life insurance is more affordable and provides coverage for a set number of years.
• Permanent life insurance: Whole life and universal life insurance are examples of permanent life insurance policies that offer coverage regardless of when the insured person passes away. These policies tend to be more expensive than term life insurance but can provide lifelong protection.
• Final expense life insurance: Also known as burial insurance, these policies are intended to cover final medical bills, funeral expenses, and other end-of-life costs. Well-managed diabetes may qualify for such policies, which are typically purchased by individuals over 50.
• Simplified issue life insurance: If your medical exam results are limiting your standard life insurance options, a simplified issue policy allows you to apply by completing a health survey and answering medical questions without undergoing a full medical examination.
• Guaranteed issue life insurance: Guaranteed issue policies do not consider your health status and cannot be disqualified due to health reasons. However, these policies tend to be more expensive and offer lower coverage options.

Tips for Type 2 Diabetics Seeking Life Insurance

To maximize your chances of approval and obtain the best rates for life insurance as a type 2 diabetic, consider the following:

• Manage your diabetes: Follow healthy habits, including regular exercise, a healthy diet, avoiding smoking, taking prescribed medication, and regular doctor visits. This can help improve your overall health and demonstrate to insurers that you are committed to managing your diabetes effectively.
• Shop around and compare policies: Different insurance companies have varying rates and policies for diabetics. By shopping around and comparing quotes, you can find the most suitable coverage at a competitive rate.
• Consider no-medical-exam policies: If your diabetes is advanced or you prefer to avoid a detailed medical examination, consider simplified-issue or guaranteed-issue policies, which do not require a full medical exam for approval.
• Look for companies with wellness programs: Some insurers offer wellness programs that encourage policyholders to engage in healthy activities and behaviours. These programs often provide financial incentives, such as discounts on premiums or rewards, for participating in qualifying activities.

Life insurance costs for diabetics

If you have diabetes, you can generally get life insurance, possibly even at a competitive rate. However, the cost of your life insurance will depend on several factors, including the type of diabetes you have, the type of policy you're interested in, how long you've had diabetes, and how well you're managing it.

Type 1 vs Type 2 Diabetes

People with Type 1 diabetes will likely find it challenging to qualify for life insurance and will probably have to pay higher rates than those with Type 2 diabetes. This is because Type 1 diabetes is harder to control and considered a higher risk. Type 2 diabetes is typically diagnosed later in life and can be more easily managed with lifestyle changes, such as weight loss and medication.

Timing of Application

The timing of applying for life insurance with diabetes can also impact your policy options and rates. If you already have a life insurance policy before being diagnosed with diabetes, your premiums will generally be lower than if you apply after developing diabetes. For those with gestational diabetes, waiting until after pregnancy to apply for life insurance may result in more options at lower prices, as gestational diabetes often resolves after giving birth.

Managing Your Diabetes

Demonstrating that you are in good health and effectively managing your diabetes can help you secure lower life insurance rates. Maintaining stable blood glucose and A1C levels within the range recommended by your doctor can improve your medical exam results and lead to more favourable rates from insurers.

Types of Life Insurance Policies for Diabetics

There are several types of life insurance policies available to people with diabetes:

• Term life insurance: This type of policy lasts for a set number of years (typically 10, 20, or 30 years) and is more affordable than permanent life insurance. If you outlive the policy term, you must renew or get a new one.
• Whole life insurance: Whole life insurance covers you for life as long as you continue to pay premiums. Premiums are higher than term life insurance due to lifelong coverage and a cash value growth component.
• Universal life insurance: Similar to whole life insurance, universal life insurance offers lifelong coverage and a cash value component. However, you can adjust the death benefit and premiums.
• Final expense insurance: This is a small whole life policy intended to cover medical bills, funeral costs, and other end-of-life expenses. Premiums are lower, and a medical exam may not be required.

Tips for Getting Life Insurance with Diabetes

To maximize your chances of approval and minimize potential premiums, consider the following:

• Manage your diabetes and overall health: Following healthy habits, taking medication, and regularly visiting your doctor can help improve your medical exam results and demonstrate to insurers that you are committed to managing your diabetes.
• Compare life insurance policies: Shop around and compare quotes from different insurers to find the best rate for the coverage you need.
• Consider no-medical-exam policies: If your diabetes is advanced, consider policies that do not require a medical exam, such as final expense insurance, guaranteed-issue life insurance, or simplified-issue life insurance.
• Look for insurance companies with wellness programs: Some insurers offer financial incentives for policyholders who engage in healthy activities and behaviours, which can help lower your premiums.

Insulin pump costs

Insulin pumps are small, computerized devices that help deliver insulin 24 hours a day through a small tube called a catheter placed under the skin. The cost of an insulin pump varies depending on the features, software, brand, and size of the pump.

Without insurance, a new insulin pump costs about $6,000 out of pocket, plus another $3,000 to $6,000 annually for ongoing supplies, like batteries and sensors. This means that the total cost of using an insulin pump without insurance can be extremely high, as you also have to pay separately for the insulin delivered via the device.

In some countries, such as Australia, insulin pumps are covered by health insurance. For example, in Australia, eligible patients can access an insulin pump that is fully covered by their health insurer through the Prostheses List legislation. Additionally, the Australian Government's National Diabetes Services Scheme (NDSS) provides subsidized insulin pump consumables, such as reservoirs and infusion sets.

It is important to note that the cost of an insulin pump is just one factor to consider when deciding on a device for insulin delivery. Other factors include how much your blood sugar fluctuates each day, your lifestyle, and your personal preferences.

Managing diabetes

Type 1 diabetes is considered harder to control and, therefore, a higher risk. It is believed to be caused by an autoimmune reaction, with the immune system attacking the body's insulin-producing cells. As a result, people with Type 1 diabetes must manage their condition with insulin injections or an insulin pump.

On the other hand, Type 2 diabetes is often considered less risky and more manageable through diet, exercise, good sleep, and stress reduction. People with Type 2 diabetes may be able to produce some insulin, but their bodies are unable to use it effectively.

If you are seeking life insurance, it is important to demonstrate that your diabetes is well-managed. This can be done by maintaining stable blood glucose and A1C levels as recommended by your doctor. The timing of your application also matters; applying before you develop diabetes or waiting until your diabetes is under control can result in more options at lower prices.

Additionally, choosing the right provider is crucial. Some companies offer policies specifically tailored to people with diabetes, providing benefits such as discounts on diabetes management tools and access to virtual diabetes clinics.

By managing your diabetes effectively and selecting the most suitable provider, you can increase your chances of obtaining life insurance at competitive rates.

Frequently asked questions