Fat has no effect on blood sugar. You can convert protein to glucose, called something I can't spell, but fat doesn't ever convert into sugar. This is good because it will either get converted to ketones and possibly peed out or used up, or it'll get stored (not so likely without a lot of insulin around)

One of the very, very beneficial things about this diet is that it doesn't make you produce insulin. There's a lot of scientific evidence we're starting to see that many of our diseases and obesity problems are due to producing too much insulin over the course of a life time.

I think in the next ten years, with the popularity of low carb what it is, the lazy researchers will get off their lazy insulin bloated asses and the studies are gonna show that eating fat is damn good for you!