Term Life Insurance & Diabetes

Contents:
• Diabetes
• Best Classification
• Diabetics & the Underwriting Process
• Heavily Surcharged, Postponed or Rejected?
• About Internet Shopping
• 72 Hours Not 72 Days
• Action

Diabetes

When the pancreas secretes insufficient quantities of insulin, a chronic disease called diabetes may ensue. As such, the body's ability to absorb carbohydrates and breakdown fats is reduced. Sugars then build up in the blood and urine. When diabetes is present, secondary issues such as smoking or overweight may influence the insurance underwriting decision, the process that establishes the cost of insurance or acceptance of the diabetic. Age of onset is of particular concern as is the impact of diabetes on other vital organs, type of medication, family history and especially control.

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Best Classification

Insurance company underwriting decisions will vary significantly. Certain brand name companies may have little experience underwriting special risk applicants. Others may have the skill to underwrite but either elect not to or surcharge the special risk heavily. Use of a knowledgeable independent insurance agent/brokers skilled in placing special risks should result in the offer of most competitively priced policies.

Ask the all agent/brokers if their primarily business is working with special risks. The response should be an indication of their expertise and availability of markets. Re-shop any surcharged offer to confirm its appropriateness.

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Diabetics & the Underwriting Process

• Individuals with Diabetes will not receive a preferred classification with any company i.e. , their lowest premium. At best, highly controlled diabetics will be offered a "standard" premium. However, whatever the name of the classification, it's the cost per thousand dollars of insurance that is most relevant and the length of the premium guarantee.
  
• Some companies just do not want special risk applicants and surcharge heavily. They find high-risk applicants disruptive to their primary objective of underwriting individuals without major health issues. Underwriting time with companies in this category may be inordinately lengthy and the consequence can be an excessively high premium or rejection.
  
• Those classified as "uncontrolled diabetics" may find that only policies called "guaranteed issue" are available until the diabetes is under control (see: aboutguaranteedinsurance.com)
  
• Newly diagnosed diabetics typically will find that even special risk insurance companies will seek a initial postponement until tracking of the control of diabetes is available - typically 3 to 6 months after diagnosis.

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Heavily Surcharged, Postponed or Rejected?

• A rejection by one insurance company does not mean that all companies will take the same action. Diabetics who were declined or postponed may find that given good control of the diabetes selected other companies will provide insurance at more competitive premiums. So, more shopping can be most beneficial.
  
• Heavy surcharges imposed by one company may not be introduced by an insurance company with more extensive experience underwriting special risks - all companies are not created equal. And, premiums could vary as much as 100 - 200%. . . .

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About Internet Shopping

Online quotes from all companies cannot accurately classify the special risk, e.g. , the diabetic. It's because the decision-making model does not have the capacity to quantify all the variables that must be evaluated to quote a premium. Consequently, the incidence of misquotes - read low-ball quotes - is rampant for individuals in the special risk category.

Equally as damaging is the quote service that has a paperless process wherein the individual's health history is not reviewed by an underwriting specialist prior to submission of an application.

In either case, the special risk may be initially mislead into believing that they will be accepted at a low premium when, in fact, a higher premium or even a rejection will result when the automated process selects an inappropriate insurance company as a option.

Maybe, that's why a number of traditional Internet quote services out-source their special risk applicants to ChoiceQuote.

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72 Hours Not 72 Days

Since 1977, ChoiceQuote has researched and identified companies that have expertise underwriting Special Risks. Of over five hundred life insurance companies, we believe less than twenty offer competitive premiums for the special risk. We further assign each inquiry to an underwriter who has expertise in evaluating your health history and in company selection to find the lowest probable premium for you. This blend of hi-tech Internet and hi-touch service has produced the best buys for our applicants.

After confirmation of your classification based on you contact us by the Internet, email or the phone, CQ will advise you of the expected premium range. Data will be taken to complete an application, which will be forwarded to you along with financial information about the insurance company.

Underwriting typically takes six weeks after receipt of the application and insurance company-paid examination. When you have the final offer from the insurance company, you will have a no obligation 30-day free-look of to accept the offer or reject the offer. Further, within certain parameters you may modify the amount of insurance or the length of guarantee at that time. Our approach saves you time and money plus there is not a charge for these extra services.

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Action

Use ChoiceQuote, the independent broker, to find the best options for you. Phone visits are necessary to ensure that all the health variables are considered when quoting. Typically, it takes only a five-minute phone interview, to confirm your classification and to quote the expected premium.

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Need more information about Diabetes? WebMD - Diabetes Information http://www.webmd.com/diseases_and_conditions/diabetes.htm