If you have diabetes, you might have wondered whether you can get a life insurance plan to secure your dear ones in case of your untimely demise. The answer is yes, but there are some things you need to know before you apply for one. Here, we will review the benefits, eligibility, features, and challenges of getting a life insurance policy for diabetics in India.
Why Do You Need A Life Insurance Policy As A Diabetic?
Let’s first understand life insurance meaning. Life insurance is a financial tool designed to provide financial security to your loved ones in your absence.
Diabetes is a lifelong condition that impacts your body’s strength to produce or use insulin, a hormone that regulates blood sugar levels. This ailment may lead to numerous complications, such as heart disease, stroke, kidney failure, nerve damage, eye problems, and infections. According to the World Health Organization (WHO), diabetes was the seventh leading cause of death in 2019.
As a person with diabetes, you face a higher risk of mortality and morbidity than a non-diabetic person. That means you have a greater chance of dying prematurely or suffering from a disability that affects your income and quality of life. Therefore, it is vital to have a life insurance plan that can provide monetary security to your dependents in case of your death or disability.
What Are The Types Of Life Insurance Policies Available For Diabetics?
Different types of life insurance policies are available in the market, such as term, endowment, whole life, and unit-linked insurance plans (ULIPs). However, not all are suitable or accessible for people with diabetes. Some insurance companies may reject your application outright if you have diabetes. Others may charge you a higher premium or impose specific exclusions or limitations on your coverage.
The most common and affordable type of life insurance policy for diabetics is term insurance. Term insurance coverage is a pure protection plan that offers coverage for a fixed period (called the policy term). If you die within the policy term, the sum assured is paid to your nominee. If you survive the policy term, there is no maturity benefit or surrender value.
Term insurance is ideal because it offers high coverage at low premiums compared to other policies. It also has no investment component or cash value, so you do not have to worry about market fluctuations or surrender charges.
What Are The Challenges Of Getting A Life Insurance Policy For Diabetics?
Getting a life insurance policy for diabetics is not impossible, but it is not easy either. You may face some challenges, such as:
- Rejection: Some insurance companies may reject your application if you have diabetes, notably type 1 diabetes, uncontrolled diabetes, or other co-morbidities, such as hypertension, obesity, heart disease, etc.
- Higher premium: Some insurance companies may charge you a higher premium if you have diabetes, depending on your age, duration of diabetes, type of diabetes, complications of diabetes, treatment of diabetes, etc. The higher premium is to compensate for the higher risk that the insurer takes by covering you.
- Medical test: Some insurance companies may require a pre-policy medical test to assess your health condition and determine your eligibility and premium. The medical test may include blood, urine, ECG, etc. You may have to bear the medical test cost, or it may be deducted from your premium.
- Exclusions: Some insurance companies may impose certain exclusions on your coverage if you have diabetes, such as death due to suicide within one year of policy inception, death due to non-disclosure or misrepresentation of facts, death due to pre-existing diseases within a specified period of policy inception, etc.
How To Overcome The Challenges Of Getting A Life Insurance Policy For Diabetics?
Despite the challenges, you can still get a life insurance policy for diabetics if you follow some tips, such as:
- Be honest and transparent about your medical history and current health status while filling out the application form and undergoing the medical test. Do not hide or falsify any information affecting your eligibility or premium. This will help you avoid any claim rejection or dispute in the future.
- Be proactive and take care of your health by adhering to a healthy diet, exercising daily, taking your medicines as prescribed, tracking your blood sugar levels, consulting your doctor regularly, etc. This will help you control your diabetes and prevent or delay its complications. This will also help you improve your chances of getting a lower premium or better coverage.
Diabetes is a severe condition that can affect your life expectancy and quality of life. However, it does not mean you cannot get a life insurance policy to protect your family in case of death or disability. You can get a life insurance policy for diabetics if you know the benefits, eligibility, features, and challenges of getting one. You can also overcome the challenges by being honest, proactive, and smart while applying for one.
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