Maybe I can help clear up some diabetes info.
The FAA isn't concerned about what you call your diabetes. Their only concern is if insulin is required to keep your blood sugar levels under control. The new generally accepted definitions are "Insulin dependant" (formerly type 1) & "Non-insulin dependant" diabetes (formerly type 2). Some confusion exists when formerly "type 2" diabetics use minimal doses of insulin to help control their blood sugars.
To the best of my knowledge the FAA will only grant a 3rd class medical to any insulin dependant diabetic. And then only under very strict conditions.
Non-insulin dependant diabetics, i.e. those that control their blood sugar level with diet, exercise, and / or oral medications, MAY qualify for a 1st or 2nd class medical. The FAA only approves a few of the available oral meds.
If diagnosed with diabetes you are immediately disqualified from using your medical for any purpose. You can petition the FAA for a medical after a period of time, (60 days I think). If you can prove to the FAA that you can keep your blood sugar under control with no adverse side effects from your treatment plan the FAA will likely grant your medical. The unfortunate part is that the medical will have a statement saying "Not valid after xx/xx/xxxx", usually 6 months. If you wish to maintain your medical privileges you will have to go through the same process again and every 6 months there after.
If you are an ALPA member immediately contact their Aeromedical office for assistance in requalifying for your medical. Maybe AOPA has a similar office. If not you will need a good AME who is willing to put in the extra work to help you get your medical back.
Good luck,
NCFlyer
Non-insulin diabetic since 6/1998 with 1st class medical