According to Diabetes Australia 65-80 percent of people with diabetes will die of coronary heart disease, and by 2010 DA estimates that the number of people affected by diabetes is expected to reach 1.8 million.  This is scary stuff because a quick calculation suggests that potentially there is anything from about 1.17 million to 1.44 million heart attacks in Australian just waiting happen – just when it will happen is anyone’s guess.   

Diabetes also causes other health problems such as blindness, kidney problems and circulation problems, often resulting in amputation.  Diabetes 2 is the big concern for health officials because it is a fast growing problem linked to obesity and is considered to be a lifestyle disease. 

Too much food and too little exercise is expanding people’s waistlines and bumping them into the land of diabetes 2.  What’s a major concern for officials is that while diabetes 2 was once considered an older person’s disease, they are seeing more and more younger people, including children as young as six, being diagnosed with the disease. 

While many may be quick to dismiss the lifestyle impact of diabetes by assuming lifestyle changes will fix up the problem, diabetes is with you for life.  It’s irreversible and once you’ve got it, you’ve got to manage it forever.  Indications are that children diagnosed with diabetes can expect to experience major health problems in their teens and onwards.

So what does diabetes have to do with a financial planner’s blog site?

We’re not just in the business of wealth creation, we’re also in the business of wealth preservation, and that is achieved by putting into place insurances that will protect you and your family in the event of the diagnosis of a major disease or tragedies such as death or disablement making it impossible for you to work. 

And while there been a bit of hype in the media lately about diabetes and its growing impact on Australia’s health system and on a person’s quality of life, not much mention has been made about the flow on impact in other areas, such as insurance.  People diagnosed with diabetes for example will struggle to obtain insurance to protect themselves and their loved ones. 

Very few insurance companies will provide income protection insurance or trauma insurance to people suffering diabetes because of the strong likelihood of them requiring time off work due to illness arising from their condition.  At best, you may be lucky enough to get life insurance but you will pay a higher premium for the privilege.

This may not concern you now.  Perhaps you already had the right insurance in place before you were diagnosed, or perhaps you have been fortunate enough to work long enough to get some assets and some cash in the bank that may cushion the financial trauma of being diagnosed with diabetes.  

But if it’s your kids who have been diagnosed with type 2 diabetes, not only will they face an uphill battle in obtaining a job because of potential health problems related to their condition, not only is their working life likely to be disrupted because of their diabetes, but they will not be able to protect themselves or the future family from the financial fallout of not being able to work because in all likelihood they will be uninsurable.

Now that’s food for thought.

Please Note:

This publication has been prepared to provide you with general information only. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information. In preparing this information, we did not take into account the investment objectives, financial situation or particular needs of any particular person. Before making an investment decision, you need to consider (with or without the assistance of an adviser) whether this information is appropriate to your needs, objectives and circumstances. This information is provided for persons in Australia only and is not provided for the use of any person who is in any other country.

Popularity: 100% [?]