Guaranteed Issue Funeral Insurance for Diabetics

Last Updated: August 2, 2026 | Written by President of Term Life Online – AU, AAI, ARM

What is Guaranteed Issue Funeral Insurance?

Guaranteed issue funeral insurance is generally a type of permanent life insurance designed for people who may have difficulty qualifying for traditional coverage because of their age or health.

Unlike medically underwritten policies, guaranteed issue insurance typically does not require a medical examination or detailed health underwriting. For eligible applicants, acceptance is guaranteed regardless of certain health conditions.

That can make it particularly attractive to people living with diabetes, heart disease, COPD, or other chronic health conditions.

The coverage is commonly used as final expense insurance, meaning your beneficiaries can use the death benefit to help pay for expenses after your death.

These may include:

• Funeral and burial costs
• Cremation expenses
• Casket or urn expenses
• Cemetery costs
• Memorial services
• Outstanding medical bills
• Credit card or personal debts
• Other final expenses

The money is generally paid to your beneficiaries, who can use it according to the policy's terms.

Can Diabetics Get Guaranteed Issue Funeral Insurance?

Yes. Diabetes generally does not prevent an eligible person from obtaining guaranteed issue life insurance.

That is one of the primary reasons this type of coverage exists. Traditional life insurance can consider health conditions when determining eligibility and premiums, while guaranteed issue policies are specifically designed to provide coverage without traditional medical underwriting.

For example, someone with Type 2 diabetes who has been declined for conventional life insurance may still have guaranteed issue options available.

However, "guaranteed issue" does not mean every policy is available to every person. Age limits, state availability, coverage amounts, premiums, and policy provisions vary by insurer.

Some guaranteed issue policies are available only within a particular age range.

One current example from Mutual of Omaha offers guaranteed whole life coverage for ages 45–85, with different age limits in New York.

The easiest way to find out what is available to you is to request a free life insurance quote. You can compare your options without assuming that diabetes automatically disqualifies you.

Why Guaranteed Issue Insurance Can Make Sense for Diabetics

Diabetes can make shopping for life insurance more complicated, particularly when an applicant has other health conditions or has experienced complications.

Guaranteed issue coverage can remove much of that uncertainty.

1. No Medical Exam

Many guaranteed issue policies don't require a medical examination. Depending on the policy, you may also avoid detailed health questions.

That can be helpful if you're concerned about how your diabetes diagnosis could affect an application.

2. Diabetes May Not Prevent Acceptance

For qualifying applicants, guaranteed issue coverage is designed to provide acceptance regardless of health.

This can be especially valuable if you've previously been declined for traditional life insurance.

3. Lifetime Coverage

Guaranteed issue funeral insurance is generally permanent insurance. As long as you meet the policy's requirements and keep your premiums current, coverage can remain in force for life.

That makes it different from term insurance, which is designed to provide protection for a specific period.

4. Predictable Premiums

Some guaranteed whole life policies offer premiums that do not increase as you get older.

For example, Mutual of Omaha currently advertises guaranteed whole life coverage with premiums that don't increase and benefits that aren't reduced as a result of age or health.

Policy terms and availability vary by state.

5. Helps Protect Your Family

Funeral and final expenses can arrive at an emotionally difficult time. Having a life insurance benefit available can help prevent your loved ones from having to immediately shoulder those costs themselves.

Don't leave your family guessing about how they'll pay for your final expenses. Request a free life insurance quote and see what coverage may fit your budget.

How Much Funeral Insurance Do Diabetics Need?

There isn't one perfect amount for everyone.

A good starting point is to estimate the expenses your beneficiaries might need to handle.

Consider:

• Funeral or memorial service expenses
• Burial or cremation
• Cemetery or final resting place costs
• Transportation
• Headstone or marker
• Medical and other outstanding bills
• Credit card or personal debt
• Other financial obligations

Then compare that amount with the savings and existing life insurance you already have.

Guaranteed issue policies often have relatively modest death benefits compared with traditional term life insurance.

For example, Mutual of Omaha offers guaranteed whole life providing $2,000 to $25,000 in coverage, although amounts vary by state and product.

The goal isn't necessarily to purchase the largest policy available. It's to purchase enough coverage to address the expenses you want your family to handle without creating an unnecessary premium burden.

Is Guaranteed Issue Funeral Insurance Expensive for Diabetics?

Premiums depend on several factors, including age, sex, coverage amount, insurer, state, and the specific policy.

One advantage of guaranteed issue coverage is that your diabetes may not cause the same underwriting concerns it could with traditionally underwritten insurance.

However, guaranteed acceptance comes with a trade-off: premiums can be higher than those for medically underwritten policies for someone in comparable health.

That's why it can be smart to compare more than one type of policy before purchasing.

If your diabetes is well controlled and you otherwise have favorable health, you may qualify for a simplified issue or traditionally underwritten policy that provides more coverage at a competitive price.

Don't automatically choose guaranteed issue just because you have diabetes. Request a free life insurance quote and compare your available options first.

Guaranteed Issue vs. Traditional Life Insurance for Diabetics

The best policy depends on your health, age, financial situation, and coverage needs.

Burial Insurance vs. Traditional Life Insurance

 Feature                   Guaranteed Issue Insurance               Traditional Life Insurance

 Medical exam            Usually no                                               May be required

 Health questions        Often none                                              Usually required

 Diabetes considered   Generally no medical underwriting             Often considered

 Acceptance                Guaranteed if eligibility requirements met   Not guaranteed

 Coverage amount       Usually smaller                                         Can be much higher

 Premiums                  Can be higher                                           Often lower if healthy

 Coverage duration      Generally lifelong                                   Term or lifelong (based on policy)

 Best use                    Final expense or smaller needs                Larger financial protection

A diabetic applicant should not assume guaranteed issue is automatically the cheapest or best choice.

If you're relatively young, have well-controlled diabetes, and need substantial income replacement or mortgage protection, traditional term life insurance may provide more coverage for your money.

If you're older or have significant health concerns and primarily want money available for funeral and final expenses, guaranteed issue coverage may be worth considering.

Does Type 1 or Type 2 Diabetes Matter?

Both Type 1 and Type 2 diabetes can affect life insurance underwriting when a policy requires medical underwriting.

However, guaranteed issue policies generally don't use traditional health underwriting to determine whether an eligible applicant can obtain coverage.

For traditional policies, insurers may consider factors such as:

• Type of diabetes
• Age at diagnosis
• Current treatment
• Medication
• Blood glucose control
• A1C levels
• Complications
• Related cardiovascular or kidney conditions
• Height and weight
• Other medical conditions

That's why it is important not to assume that diabetes automatically means you need guaranteed issue insurance.

A free quote can help you determine whether you have options beyond guaranteed issue coverage.

Does Guaranteed Issue Insurance Have a Waiting Period?

It can.

This is one of the most important details to understand before purchasing a guaranteed issue policy.

Some policies use a graded or limited death benefit during the first few years. If the insured dies from natural causes during that period, the beneficiary may receive a return of premiums plus interest or another limited benefit rather than the full death benefit.

The exact provisions depend on the policy.

This is why you should read the policy carefully and ask specifically:

• Is there a waiting period?
• When does the full death benefit become payable?
• What happens if death occurs during the initial period?
• Does accidental death receive different treatment?
• Are there exclusions?
• What happens if premiums aren't paid?

Don't buy based on the phrase "guaranteed issue" alone. Request a free quote and review the actual policy terms before making a decision.

What Happens If a Diabetic Is Declined for Traditional Life Insurance?

Being declined doesn't necessarily mean you have no options.

You may still be able to consider:

1. Another traditionally underwritten policy from a different insurer
2. Simplified issue life insurance
3. No-exam life insurance
4. Guaranteed issue life insurance
5. Final expense insurance

Insurance companies have different underwriting guidelines. One insurer's decision doesn't necessarily predict what another insurer will offer.

That's why comparing quotes can be worthwhile.

How to Apply for Guaranteed Issue Funeral Insurance

The process can be relatively simple.

Step 1: Determine Your Coverage Need

Estimate your funeral, burial, cremation, debt, and other final expenses.

Step 2: Check Your Eligibility

Age requirements and state availability differ between insurers.

Step 3: Compare Quotes

Look at premiums, coverage amounts, policy provisions, and benefit structures—not just the monthly payment.

Step 4: Review the Waiting Period

Understand exactly what your beneficiaries receive if you die during the initial period.

Step 5: Choose Your Beneficiary

The death benefit is generally paid to the beneficiary named in your policy, subject to the policy's terms.

Step 6: Keep Your Policy Active

Pay premiums on time so the policy remains in force.

Frequently Asked Questions

1. Can I get funeral insurance if I have diabetes?

Yes. Guaranteed issue funeral insurance is specifically designed to make life insurance available to many people who might have difficulty qualifying for medically underwritten coverage. Eligibility requirements still apply.

2. Do I need a medical exam?

Many guaranteed issue policies do not require a medical exam. Some also don't ask health questions. Always verify the requirements of the specific policy you're considering.

3. Will diabetes increase my guaranteed issue premium?

Guaranteed issue policies generally don't use traditional medical underwriting to determine eligibility. However, premiums vary based on factors such as age, coverage amount, insurer, and state.

4. Can I use the policy for funeral expenses?

Yes. Life insurance proceeds can generally be used by beneficiaries for funeral and other final expenses. The beneficiary typically receives the death benefit and can use it according to the policy's terms.

5. How much guaranteed issue funeral insurance can I buy?

Coverage limits vary. Some guaranteed issue products offer relatively small death benefits designed primarily for final expenses. For example, one current Mutual of Omaha product offers $2,000 to $25,000, depending on state and product availability.

6. Is guaranteed issue insurance worth it for diabetics?

It can be, especially for someone who has difficulty qualifying for traditional life insurance and primarily needs final expense protection. But it isn't automatically the best choice. Comparing guaranteed issue, simplified issue, and traditionally underwritten options can help you find the appropriate balance between coverage and cost.

Get a Free Life Insurance Quote

Having diabetes doesn't mean you have to leave your family unprotected.

Guaranteed issue funeral insurance can offer a practical way to create a financial cushion for funeral and final expenses, particularly when traditional life insurance isn't readily available.

But don't settle for the first policy you find.

Request a free life insurance quote today to compare available options based on your age, coverage needs, and circumstances. You may have more choices than you realize—and finding the right policy now can give you and your family greater financial peace of mind later.

Compare Guaranteed Issue Life Insurance Quotes

Top Pick – Mutual of Omaha

Mutual of Omaha offers guaranteed acceptance whole life insurance for people age 45 to 85. Choose $2,000 up to $25,000 of coverage. Rates start as low as $8.84 per month. There’s no medical exam and no health questions. You cannot be turned down. You can get a quote and apply online now. Start Here to get a FREE Quote. 

• Your life insurance policy comes with a 30 day Risk-Free, Money-Back Guarantee

Resources:

• Learn More About Guaranteed Acceptance Life Insurance
• Tips for Buying Guaranteed Issue Life Insurance
• Guaranteed Issue Life Insurance with No Waiting Period
• A.M. Best Company: Compare financial strength ratings of life insurance companies
• Life Happens.org: Learn about life insurance and review facts.

About Our Methodology

Reviewed By: President of Term Life Online – AU, AAI, ARM

• 30+ years of experience in insurance planning

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