A diabetes diagnosis doesn’t automatically mean you’ll be ineligible for life insurance.
In this guide, we explain what life insurance companies look for when considering applications from people with diabetes, what lab results to have ready to prevent delays, what’s involved in getting a fully underwritten policy, how simplified options differ, and what to do if your application is delayed or declined. Our team researched Diabetes Canada’s resources for diabetes definitions and glycemic control recommendations, as well as consumer guides published by the Financial Consumer Agency of Canada and FSRA.
Can You Get Life Insurance if You Have Diabetes?
This may vary from insurer to insurer. Underwriters will take into account the applicant’s age, other medical conditions, length of diagnosis, control of the condition, complications, lifestyle, smoking, occupation, leisure activities and the amount of coverage being requested. People with type 2 diabetes are not automatically accepted at standard terms.
Whether you use insulin is not the sole determining factor in deciding whether to accept an application, increase premiums, offer an alternative policy, defer a decision, reduce the level of coverage available or decline coverage. Each insurance company has its own underwriting criteria when looking at your general health.
Life Insurance and Diabetes
Diabetes affects how your body makes or uses insulin. Diabetes Canada provides more information about type 1, type 2 and gestational diabetes and the possible complications involving the kidneys, eyes, nerves and heart. Underwriters are interested in how long you’ve had the condition, your current test results and any complications.
This guide does not provide advice about diabetes or its treatment. Follow the treatment plan outlined by your clinician and answer the diabetes-related questions asked by your insurer.
How Diabetes May Affect Underwriting and Premiums
| Factor | Information an insurer may request |
|---|---|
| Type and age at diagnosis | Diabetes history, including type, date of diagnosis and duration |
| Control over time | Most recent A1C and glucose values, previous lab values and any significant changes |
| Treatment | Names and doses of medications, including insulin; pump or monitoring equipment used; and changes to medications |
| Follow-up | Doctors, clinics, visit frequency, tests and pending referrals |
| Complications | Past complications involving the kidneys, eyes, nerves, heart or feet, and any hypoglycemia |
| Other risks | Blood pressure, lipids, weight, smoking, alcohol, other conditions, work and activities |
Read More: See How Life Insurance Underwriting Works
Records to Gather Before You Apply
Insurers have broad discretion over what documentation they require. They may also require exams or an Attending Physician Statement. Contact your agent to confirm what records you’ll need before completing more than one application.
Be sure to have the following:
- Type of diabetes and date of diagnosis;
- Name and contact information of the physician managing the condition;
- Diabetes-related tests, exams, medications and treatments, including eye, kidney, cardiovascular, nerve and foot exams;
- Insulin regimen, most recent change in dose and how you monitor your condition;
- Dates of severe low-blood-sugar episodes, complications, absences from work, hospitalizations and referrals;
- A1C and other lab results, including past results if possible;
- A complete list of other medical conditions and medications;
- Smoking history; and
- Family medical history.
Read More: Learn How an Attending Physician Statement Works
How Insurers May Consider A1C
Diabetes Canada stresses that A1C targets for people with diabetes should be individualized, noting that the benefits and risks of treatment vary by situation.
If your latest lab work is unusual or your medical file is out of date, speak with your health-care professional before applying. Don’t put off necessary medical attention, ignore prescription changes or alter your diet and exercise habits to affect the outcome of your application.
An insurer’s A1C rating range is an underwriting guideline and may not coincide with your own treatment goals. Talk with your insurer about the best time to apply.
Which Life Insurance Options May Be Available?
| Application path | What it may offer | Trade-offs to compare |
|---|---|---|
| Fully underwritten | Other terms and prices may be available, subject to detailed evaluation | May require proof of health, medical information or exams, and may be deferred |
| Simplified issue | Fewer questions or no exam for some products | Coverage limits, premiums, exclusions and waiting periods may vary by policy. All medical questions apply |
| Guaranteed issue | Medical questions are not required for eligible applicants under the product guidelines | Early death benefits may be graded or limited. Coverage limits are usually lower and costs are higher |
| Group coverage | Coverage through a job, professional association, trade association or other eligible group | Benefits may be limited. Changes in employment or membership may end the coverage |
Don’t automatically opt for guaranteed-issue insurance simply because you have diabetes. Compare the insurance you’re eligible for, including the benefits, application questions, price, waiting periods and maximum coverage.
Read More: Explore No-Medical Life Insurance Options
What Happens if You Take Out a Term Life Insurance Policy and Then Develop Diabetes?
Generally, a new diagnosis won’t trigger new medical underwriting for your individual insurance contract.
Do not ignore symptoms or delay testing while applying for coverage. Review your contract to learn whether you have disclosure requirements when requesting a change to your insurance. If in doubt, contact the insurer for clarification in writing.
My Life Insurance Application Has Been Denied Due to Diabetes. What Are My Options?
If the outcome is less than favourable, such as a decline, postponement, or product limit, ask the agent or insurer why they made the decision to decline your coverage.
Check your application and medical records for factual errors. Use the insurer’s or health-record provider’s complaint process to correct any errors.
Ask whether you can make a preliminary inquiry before applying again, since applying several times does not necessarily change the outcome. If the decision is temporary, ask what proof the insurer requires and how long you’ll have to wait.
Read More: Read How to Seek Life Insurance After a Coverage Denial