Correct. High amounts of Adipose Tissues (fat) can lead to the secretion of Inflammation molecules that may contribute to Insulin not working properly. This is called Insulin Resistance and is another arm of the ominous eight of Type 2 Diabetes.
This is why weight loss through healthy diet and exercise can help reduce and even return sugar levels to normal (for some)! If blood sugar levels remain high after weight loss, diet, and exercise it could be that other arms of the Ominous Eight are disrupting blood sugar levels!