Life insurance is important for most people to have. If family members depend on you for your income or services, and you do not have a large nest egg built up, you should have some life insurance. Even stay at home mothers should be insured, because mothers provide economic value to their family with their child care, cleaning, cooking, and other services. It is important to get insured before you get ill, but if you discover that you have diabetes, all is not lost. You can still get life insurance.
The Doctor Says Diabetes, Now What?
If your doctor diagnoses you with diabetes, it may be more difficult to get insured. Your rate may be higher, but if your diabetes is well managed, you are still insurable. If your A1Cs are low, your blood sugar levels are kept under control, you life a healthy lifestyle, and there have been no complications due to diabetes, you will probably still be able to find reasonable rates.
An insurance agent that is experienced in clients with “impaired risk” will be able to tell you which companies will be more willing to work with diabetic clients. You’ll want to look for a company that will look at your overall health, not just what illnesses you have.
Whether you have diabetes or not, it is important to look around at different companies to find the best rate. Look for quotes on the internet, at companies that are listed in the yellow pages, and ask your family and friends who they use (especially if they have diabetes). If one company denies you, you can always try another one.
There are different classifications of life insurance that are offered. Most companies offer preferred plus, preferred, and standard insurance classifications. Some companies also offer substandard insurance. Some companies offer life insurance to smokers, but that can double your premiums, so try to quit smoking if you smoke. Many diabetics can get standard life insurance, especially if their diabetes is under control.
How Much and What Kind?
Term life insurance is usually the best kind to get. It costs less than whole life insurance. You will need to stay insured primarily when you have a family and people that depend on you. When you are elderly, you are not likely to have children that depend on your income, and you hopefully will have built up a nest egg, so you should not o remain insured. Avoid guaranteed issue insurance if you can. Guaranteed issue policies are more expensive than regular policies.
To calculate how much life insurance you need, figure out how much income you will want to replace. You may be eligible for survivor’s benefits from the Social Security Administration, so keep that in mind. You may want to also provide for your children’s college funds or pay off your mortgage, you could include that in your calculations. Bankrate.com recommends that you only use about 5% of your money a year to replace your income, so you will need about 20 times the amount of income you want to replace in life insurance. There are calculators available online to make things simpler.
Everyone that does not have a nest egg built up and has family depending on their income or services should have life insurance. If you have been diagnosed with diabetes, you still need to be insured, but you might have to search a little harder to get a good policy.
Sources:
“Diabetic Life Insurance”. Diabetic Live. http://www.diabeticlive.com/pages/Diabetic-Life-Insurance.html
“How Much Life Insurance Do You Really Need?” Bankrate.com. http://www.bankrate.com/brm/green/insurance/basics1-1a.asp?caret=1
