Today, diagnostic decisions about pre-diabetes or diabetes are made using static threshold rules for the measured plasma glucose. In order to develop an alternative diagnostic approach, dynamic models as the Minimal Model may be deployed. We present a novel method to analyze the identifiability of model parameters based on the interpretation of the empirical observability Gramian. This allows a unifying view of both, the observability of the system's states (with dynamics) and the identifiability of the system's parameters (without dynamics). We give an iterative algorithm, in order to find an optimized set of states and parameters to be estimated. For this set, estimation results using an Unscented Kalman Filter (UKF) are presented. Two parameters are of special interest for diagnostic purposes: the glucose effectiveness S(G) characterizes the ability of plasma glucose clearance, and the insulin sensitivity S(I) quantifies the impact from the plasma insulin to the interstitial insulin subsystem. Applying the identifiability analysis to the trajectories of the insulin glucose system during an intravenous glucose tolerance test (IVGTT) shows the following result: (1) if only plasma glucose G(t) is measured, plasma insulin I(t) and S(G) can be estimated, but not S(I). (2) If plasma insulin I(t) is captured additionally, identifiability is improved significantly such that up to four model parameters can be estimated including S(I). (3) The situation of the first case can be improved, if a controlled external dosage of insulin is applied. Then, parameters of the insulin subsystem can be identified approximately from measurement of plasma glucose G(t) only.