Life insurance for people with diabetes

If you have diabetes you probably know how difficult is to get or renew affordable life insurance.

You need to inform your insurance company of a diabetes diagnosis when you apply for coverage. The Insurance Act specifically requires an applicant for insurance to disclose every fact within the person’s knowledge that is relevant to an application for insurance. A failure to disclose your diabetes could render the contract voidable by the insurer.

Once life or disability insurance has been issued, you do not need to report any subsequent changes in health unless you apply for increased policy benefits. Generally, employee health insurance plans will provide coverage for your pre-existing condition. A pre-existing condition refers to any medical condition that you had before applying for insurance.

The healthier you are when you purchase an insurance policy, the lower your premium will be. People with diabetes typically believe that their chronic disease makes them too expensive to insure or not insurable at all. However, in most cases, you can still get life insurance if you have diabetes and often at better rates than you might think. The best life insurance companies for diabetics provide affordable coverage to customers with varying conditions that are different ages and income levels. Whether you’ve been diagnosed with Type 1 or Type 2 diabetes, there are plenty of providers who should be able to offer you a great deal on insurance.

A no medical life insurance policy could be the answer for people with diabetes.

No medical exam life insurance for people with diabetes

There are a few no medical exam and simplified issue term and permanent life insurance (whole life insurance) providers in Canada. A variety of plans are designed to make it easier for everyone, including hard-to-insure people, to get the life insurance coverage up to $500K when it’s least expected.

Those plans can provide accessible, full-spectrum coverage regardless of your health condition, health history, age, or income; whether you are in good health or hard-to-insure. Often, it’s the only way to get life insurance for the elders, because when a person gets older, the health usually deteriorates. You can apply for coverage even if you have heart disease, diabetes, or other health issues. It could be a great option for smokers too!

Benefits of no medical exam and simplified issue life insurance

• No medical exams required: It’s a major advantage. If you are a Canadian resident between 18 and 80 you can apply and your application will be accepted. Even people with pre-existing conditions such as cancer, diabetes, HIV, hepatitis, depression, heart disease, kidney disease or stroke cannot be denied. No medical exam is required. No hassle with medical tests. All you have to do is answer a few questions to qualify.
• No denial due to diabetes or smoking: If you are a Canadian resident between the ages of 50 and 75, you will be instantly approved for coverage ranging from $5,000 to $25,000 – regardless of your current health or medical history. You can get covered even if you have been turned down before, or you are a smoker, or overweight, or just afraid of needles. It doesn’t matter what your current health is or if you have a medical condition. There are no health questions and no medical tests when you apply.
• Lifelong coverage: It is protection for a lifetime. As long as you make your regular payments, your coverage will never be cancelled. There’s no end date.
• Guaranteed premiums: Your premiums will not go up and your coverage will not go down. When you reach age 100, you won’t pay anything.
• Tax-free lump sum: Your coverage will be paid directly to your beneficiary – tax free. No questions asked. Your beneficiary can use the lump-sum payment towards funeral costs, outstanding debts and loans, living expenses… The choice will be theirs.
• Compassionate advance living benefit: Once your coverage has been active for 2 years, you can choose to take 50% of the death benefit in advance if you’re diagnosed with a terminal illness. The remaining 50% is paid directly to your beneficiary when you pass away.
• Accidental death benefit: In the case of accidental death before age 85, your benefit amount will increase 5X if you’ve been covered for over 2 years. That means your beneficiary could receive up to $125,000.
• Easy to apply: You can apply online, by phone or in person in minutes and you can get approved for coverage with no medical exam required.
• You can get your policy in days, not weeks

Coverage and benefits may vary and might include:

• Usually, from $5,000 to $25,000 – tax free death benefit; however, you can now get covered up to $500,000 with no medical tests if you fall within certain age brackets (generally under 65 years old) and health parameters.
• Accidental death benefits with the face amount of 5X
• Terminal illness benefit up to 50% of face amount
• Transportation benefit up to $2,000 at a maximum of $2.00 per kilometer
• Child term benefit

The main disadvantage of no medical exam and simplified issue life insurance – it’s more expensive. In the case of a no medical life insurance plan, the insurance company cannot completely assess your risk level. So they are taking on more risk to cover you and they compensate for it by raising your premium.