Life Insurance Underwriting Strategies for Diabetes
Challenge
The term “diabetes” usually refers to diabetes mellitus, a group of metabolic disorders that increase blood sugar levels. Over time, this condition can cause medical complications, including:
- Eye damage (retinopathy)
- Kidney damage (nephropathy)
- Nerve damage (neuropathy)
- Heart disease
- Strokes
Life insurers charge extra premium to cover these risks. Our challenge is to match an applicant’s medical profile with insurers most willing to make competitive offers.
Carrier Selection is Key
Diabetics are routinely declined by conservative insurers. Some carriers find ways to insure most diabetics. Therefore, carrier selection is critical. But which carrier is best for your applicant?
Pre-underwriting enables us to match an applicant’s medical history with carriers most willing to make aggressive offers. You can provide your client with illustrations of what to expect and where to apply. You and they win by submitting a formal application to the insurer with the most favorable underwriting assessment.
Underwriting Variables
The following medical details are most relevant to carrier selection and policy pricing:
- Type of diabetes: Type 1, Type 2, or other form of diabetes
- Age at diagnosis
- Number of years since diagnosis
- Most recent A1c reading
- Range of A1c readings over the past 12 months
- If insulin is used, which type(s) and how are they administered
- List of prescription medications
- Complications (e.g. retinopathy, nephropathy, neuropathy)
- Current build (height / weight)
- Changes in weight over the past 12 months
- Other concurrent acute or chronic medical conditions
Our medical directors will use this information to negotiate for best possible offers. Thank you in advance for developing these details.
Expected Underwriting Outcomes
Type 1 Diabetics
One carrier now offers life insurance to well controlled Type 1 diabetics diagnosed as early as age 1, provided they are at least 20 years of age now. Expect a high table rating.
Type 1 diabetics diagnosed in their teens or later often qualify for more moderate table ratings.
Type 2 Diabetics
Well controlled Type 2 diabetics diagnosed in their late 60s and early 70s may qualify for preferred or standard rates.
Moderate ratings are common individuals diagnosed as young adults.
High ratings and declines are common for newly diagnosed diabetics and diabetics with A1c readings above 10.
MODY 2 & Other Forms of Diabetes
Applicants with one of the rarer forms of diabetes are often insurable. These are referred to MD for individual consideration.
Underwriting Strategy
Our team of medical underwriting directors know which carriers currently make the most aggressive offers to diabetic applicants. Let’s provide them with the details they need to fine tune carrier selection. Please obtain relevant facts as outlined above and then share it with us in one of the following ways:
- Call your marketing director and tell us about your applicant, with the details listed under variables above.
- If you have access to a recent paramedical exam with lab results from a prior application, please send those via secure email, along with a signed HIPAA; please send along underwriter comments from the previous application.
- You can also complete our diabetes questionnaire or submit the information via our online diabetic quote request form.
Exceptional Outcomes
Your client is in good hands with us! We have dozens of diabetics in underwriting at any given time. We’ll provide you with the most competitive solution in 24-48 business hours. Very large or complicated cases may require a couple additional days.
Should your client find the offer acceptable, we’ll make it easy for you to formalize the offer via application to the right insurer.
We look forward to getting your client covered – and you paid – as quickly as possible. Thank you for the opportunity.
