Term Insurance for Diabetics

People suffering from diabetes face a lot of difficulties in life and one out of which is finding a suitable Term Life Insurance cover. Getting a good term insurance cover is important for all as it protects one’s family and loved ones in case of his/her untimely demise.

So, if the question arises whether a diabetic person can avail of term insurance or not, the answer would be a definite yes!

What Is Term Insurance for Diabetics?

Term insurance plans for people with diabetes are insurance plans that provide financial coverage to diabetic individuals and their families during unfortunate situations. These plans offer death benefits in case of the demise of the policyholder during the tenure of the policy. 

Term insurance for people with diabetes is highly recommended as it offers insurance coverage to the insurer right from day one of the policy purchase. Unlike some other insurance policies, there is no waiting period.

Key features Of Term Insurance for Diabetics 

*Disclaimer: These are the generic key features of a Term Insurance plan for Diabetics. Different insurance providers may have different features. Please see the policy documents for more clarification on policy features. 

Eligibility For Buying Term Insurance For Diabetics

In general, the eligibility criteria for diabetic people vary from insurer to insurer. General criteria that every insurance company follows before selling their policy to a diabetic person are:

• Diabetes type that the person is suffering from
• Age of the diabetic and when it was detected first
• Complete health profile
• Major or minor complications from diabetes
• Ongoing diabetic treatment
• A1C level
• Frequency of doctor check-ups
• The current condition of the diabetic
• The degree of the control from the past 6 to 12 months is estimated
  • Medical records
  • Height
  • Weight, etc.
• Family medical history of diabetic
• Whether having any harmful health habits or addictions

The eligibility criteria to buy a term insurance plan is as follows:

Disclaimer: The aforementioned eligibility criteria are generic and may vary with the insurer. Please check with your insurer about the exact eligibility criteria for its term insurance plan.

Reasons to Buy Term Insurance For Diabetic People

The primary reasons to buy a term insurance plan for diabetic people are stated below:

1. Life Insurance Coverage

   A diabetic person has a high risk of life with less life expectancy. The life coverage option will be the best option for the insured who is a diabetic.

2. Choice of Critical Illness Rider

    Limb amputation due to high diabetes and diabetic retinopathy are some of the common critical issues that a diabetic person may face. Most of the term insurance for diabetic plans provides riders or additional covers for such complications due to diabetes. One can enhance the coverage of his/her term insurance policy by adding these covers. However, one has to pay additional premiums for adding any rider benefit to the base plan. 

3. Tax Benefits

   The policyholders can avail of the tax under section 80C of the Income Tax Act, 1961, but this benefit is available for a maximum of 1,50,000 rupees per year. Moreover, the nominee can also avail of the tax benefits under section 10D of the IT Act, upon receiving the death benefits. 

   *Tax benefits are subject to change as per the prevailing tax laws. Standard T&C apply

4. Affordable Plan

   A term plan is much cheaper than your one-time fancy restaurant bill. Believe it or not but it is true. As there are no high investment components involved, term insurance is available at very affordable premium rates as per your annual income, diabetic condition, and age. A term insurance plan for people with diabetes is affordable as compared to other life insurance products.  

How To Choose Right Term Insurance Plan for Diabetics?

With so many companies selling term insurance policies with different coverages and benefits, it is important to choose the policy best suited for you and your family.

To make a good decision, it is important to keep a check on the following points before buying a term insurance plan:

1. Comparing The Term Policies

   It is important to compare different term plans in the market before buying one. Different insurance companies come up with different insurance plans for people with diabetes. The person needs to deeply analyze and compare every feature and premium and opt for the one which is suitable for them.

2. Choose The Affordable Plan

   Depending upon the health condition of the insured, different insurance companies sell term insurance policies for people with diabetes. Even though term insurance plans involving diabetics are a little costlier, there are many best affordable plans for diabetics available in the market as well. The person must need to go for the affordable term policy.

3. Age Factor

   Age plays a significant role in getting a reasonable term plan for diabetics in India. The costs of premiums are less when one is diagnosed with diabetes at a later age of his/her life, that is after 40 years, as compared to for those who are diagnosed with diabetes at an early age like before 40.

4. Choose A Plan with Extensive Coverage

   One should always avail term insurance plan which offers extensive coverage. Critical illness coverage and other benefits should be checked before choosing a suitable plan.

5. Check The Ideal Coverage Online and Offline

   Before buying the term plan for people with diabetes, one can check online or offline.  One can visit the insurance company’s website, compare the existing plan options and buy. If not online, one can also visit a branch office to enquire about various plans.

6. Keep A Constant Eye On Health

   To get a suitable term insurance plan for diabetics, individuals must keep a good health condition. The insurance companies always look for this aspect. The better is a person’s health, the greater are his/her chances of getting better benefits and coverage for his/her family after the untimely demise.

7. Policy Term

   A person should look for the policy tenure at the time of purchasing term insurance. The higher the tenure, the more time one has to create a good corpus for their family.

Term Insurance for Diabetics Premium Payment Options

As per the payouts, the amount of premium may differ. If you go with increasing sum assured, the amount of premium increases over a period when we compare it to the level sum assured. There are three premium payout options available under term insurance plans:

1. Regular Pay

   In this, insured is needed to pay premiums in regular interval for the complete policy period. You can choose half-yearly, yearly, or monthly options to pay premiums. 

2. Limited Pay

   Assured can make recurring payments for a pre-decided limited time. In this, the premium payment term is less than the policy term.

3. Single Pay

   This option allows assured to pay the complete premium amount at once during the time of policy purchase.

Some Diabetic Term Insurance Plans in India

1. Star Health Insurance

   Criteria	Specification
   Entry age (minimum)	18 years
   Entry age (maximum)	65 years
   Eligibility	For both having diabetic mellitus or even at the risk of having it
   Sum assured (minimum)	Rs.3,00,000
   Sum assured (maximum)	Rs.10,00,000
   Availability criteria	Individual basis floater basis
   Flexibility	Plans cannot be switched in the middle of the policy tenure
   Hospitalization expenses	Pre expenses taken care up to 30 days before hospitalization post expenses taken care up to 60 days after discharge
   Tax benefit	Tax is exempted under section 80d of income tax act, 1961
   Coverage	Diabetic complication coverage from day 1 of policy purchase

2. Apollo Munich Energy for Diabetes Plan

   Criteria	Specification
   Entry age (minimum)	18 years
   Entry age (maximum)	65 years
   Eligibility	Patients suffering from type 2 diabetes, IFG, ITG, or hypertension
   Sum assured (minimum)	Rs.2,00,000
   Sum assured (maximum)	Rs.10,00,000
   Flexibility	This plan is flexible and allows portability.
   Hospitalization expenses	Pre expenses taken care up to 30 days before hospitalization post expenses taken care up to 60 days after discharge
   Medical expense	Covers 144 days of care procedure. Organ transplantation is also covered under medical expenses.
   Tax benefit	Tax is exempted under section 80d of income tax act, 1961
   Coverage	Diabetic complication coverage from day 1 of policy purchase
   Premium payment	If diabetes is under control after policy purchase, up to 25% of premium is reduced.

3. ICICI Prudential Diabetes Care Plan

   Criteria	Specification
   Entry age (minimum)	26 years
   Entry age (maximum)	60 years
   Eligibility	Patients suffering from type 2 diabetes or pre-diabetes
   Sum assured options	Rs.3,00,000, Rs.5,00,000 and Rs.10,00,000
   Policy term	5 years
   Sum assured amount	Diagnosis of diabetes after 1 year of purchase - 100% of sum assured Diagnosis between 6 to 12 months of purchase - 50% of sum assured Diagnosed before 6 months of purchase - premiums paid till date
   Claims	Claim is payable only if the patient survives 28 days after diagnosis
   Rider benefit	10 % of basic sum assured under diabetes enhanced rider benefit
   Premium payment	If diabetes is under control after policy purchase, premium is reduced.

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