Critical illness risk for type 2 diabetes

Applicants with diabetes mellitus are at higher risk for many of the events covered by critical illness insurance. The relative risk of cardiovascular disease has not been quantified from an insurance perspective.

A literature search is done to determine the relative risk of cardiovascular disease, followed by an actuarial analysis to estimate the morbidity ratio for newly diagnosed diabetics compared to nondiabetics.

Morbidity ratios are relatively similar in different studies, especially for ages 50 and older. Morbidity ratios are highest for ages 30-39 (300% to 500%), high for ages 40-49 (200% to 400%), and taper to 200% for older ages.

Morbidity ratios would be high in newly diagnosed diabetics who applied for critical illness insurance, ranging from a high of approximately 300% to 500% at ages 30-39 to a low of 200% at older ages.