The invention provides silkworm pupa oil, an extracting method and an application thereof. The silkworm pupa oil consists of the following components with the weight percentage of 0.2 percent of hexadecanoic acid, 1.0 percent of palmitoleic acid, 27.2 percent of oleic acid, 10.7 percent of linoleic acid, 54.6 percent of alpha-linolenic acid and 6.3 percent of other unsaturated acids. The extracting method of the silkworm pupa oil extracts unsaturated fatty acid in the silkworm pupas by a method which combines a microwave extracting technology and urea clathration. The application of the silkworm pupa oil is that the silkworm pupa oil is applied to effectively reducing the blood sugar and the level of diabetic and is especially used for preventing and curing the diabetes. The silkworm pupa oil has the advantages of shortening extracting time, reducing energy consumption, reducing solvent dosage, improving the content of necessary fatty acid and especially the content of the alpha-linolenic acid in the silkworm pupa which benefit human body, reducing the oxidative damage to the unsaturated fatty acid, protecting a double-health structure, economic and simple extracting method, being grasped easily, being convenient for realizing industrialized mass production, the more outstanding pharmacological action of the silkworm pupa oil represented in the aspect of reducing blood sugar, etc.