Buying Individual Insurance for Diabetics

Not many are lucky enough to be insured either by the company they work for or through public programs like Medicare, which is why they resort to buying individual insurance coverage. However, not all insurance companies are willing to provide coverage for chronic diseases like diabetes. But there are ways to be able to purchase health insurance despite the obstacles being faced by diabetics.

In the case of the United States, it is the states that regulate the individual health insurance market. Each state has its own set of laws as to who can purchase and what is included in the insurance coverage. Many states, however, let individual insurers decide whether to sell coverage based on the health status, prior medical history, age, gender, and other characteristics of applicants. This practice, called "medical underwriting," is where a lot of people get rejected either from chronic diseases like diabetes and HIV to even common ailments like acne.

Some states, meanwhile, consider medical underwriting as an illegal activity. All individual health insurance policies in these states must be sold on a "guaranteed issue" basis with a single "community rate" as premium. This means that insurance companies must never turn down any application for insurance, as well as charge premiums, based on their health status.

In other states, only a certain number of residents who have fulfilled a set of criteria (such as having continuous insurance coverage) are allowed to have guarantee-issued individual health insurance. Meanwhile, a few other states designate one or more insurance companies as an "insurer of last resort," who must provide guarantee-issued coverage.

To know the laws concerning the individual health insurance in your state and where you can look to obtain coverage, contact the office of your state insurance commissioner. You may also want to check out the health insurance coverage guide by Georgetown University.

Source: American Diabetes Association

High-Risk Pool Insurance for Diabetics

Many diabetics across America are deprived of health insurance simply because insurers do not cover diabetes in their insurance policies. However, diabetic people can still avail for a health insurance through the "high-risk pool" program.

Thirty states has established high-risk pools that offer health insurance coverage to residents who are "uninsurable" because private insurers might turn down their applications due to their health status. This includes people who suffer from chronic diseases such as diabetes.

High-risk pools usually offer coverage that is similar to those sold by private insurers. However, in some states, high-risk pool benefits are limited. For instance, high-risk pools impose high deductibles or limit coverage for certain services like mental health care or maternity care. And like private insurance companies, high-risk pools have a waiting period between 6 and 12 months.

The down part about high-risk pools is that they are more expensive than individual insurance. Premiums are 1.5 to 2 times higher than those charged by private insurance companies. And like insurance from private companies, premiums are higher for older people.

If you are interested to apply for a high-risk pool, you need to make sure that you are eligible to be part of this government program. Those who have been rejected, or had their benefits reduced, from a health insurer because of a qualifying condition are more likely to be accepted into program. However, you need to apply as soon as possible because some states limit the number of enrollees in the high-risk pool based on the availability of funds. To find out if your state offers a high-risk pool, check out the health insurance consumer guide by Georgetown University, as well as on Diabetes.org.