How does pet insurance work?

Pet Insurance is currently 1 of the fastest growing insurance products in America. Pets are part of the family. They deserve the same love and attention as other family members. And the same goes for insurance, they deserve the same or at least adequate coverage. 

Pet health care is becoming more expensive due to advances in medical technology for pets. This creates increased cost for general veterinary care. Because of this, there are more people choosing to cover their pets with a policy. This protects them from expensive veterinary care.

How Does Pet Insurance Work?

Here’s a common list of what’s included in most pet health insurance plans;

1. Deductible: on a per incident or per year basis.
2. You select a reimbursement level or a co pay percentage.
3. Coverage is paid on a monthly basis.
4. Treatment with any licensed veterinarian.
5. The vet is paid directly.

How much is pet insurance?

There was a study done on the average cost of pet insurance. They looked at rates from 11 different pet insurance companies. What they came up with was an average of $47 per month to cover your dog, and $29 a month to cover your cat (Credit; Value Penguin). These policies will cover your pet in case of accident, illness, dental, cancer and more. 

Ranging from $25 to $70 per month for dogs and $10 to $40 for cats. 

How much does pet insurance cost? The cost of pet insurance can vary. Here are some of the more common reason for an adjustment in cost;

• Type / species of the animal
• Gender of the animal
• Age of the animal
• Breed of the animal
• Location of the animal

On average the cost of pet insurance for dogs is higher. Roughly 60% higher than cats for accident & illness policies. Animals up there in age & bigger animals encounter higher pet insurance rates. These animal groups usually have more health issues.

What does pet insurance cover?

Most of the time, pet insurance will cover medical costs if your dog or cat becomes unexpectedly sick or gets into an accident. Pet insurance is typically for dogs & cats. Although, there are some insurance companies that offer exotic pet insurance. These policies will cover for your gerbil, cockatiel, or frog etc.

Unlike health insurance for yourself, pet insurance doesn’t usually cover routine care. This includes checkups and rabies shots. It also will not cover any pre-existing conditions.

What type of pet insurance plan do you have?

There are four plan types for pet insurance:

1. Accident-Only Plans. This will cover incidents and injuries such as ingestion of foreign objects, poisoning, the pet was hit by a vehicle, or a ligament tears.
2. Accident and Illness Plans. The most common type of plan. It will cover accidents in addition to illnesses such as digestive issues, allergies, cancer, and infections.
3. Insurance With Embedded Wellness. Comprehensive plan that covers accidents and illness, and it could cover heart worm prevention, vaccinations, cremation and burial, dietary consultations, flea and tick medication, and dental care.
4. Endorsements. Sometimes referred to as riders, these will include cancer or wellness add-ons. Wellness plans are usually only bought as an add-on. Some carriers do offer it as an add-on “only”.

Are there any exclusions that apply to your pet?

You want to do your due diligence before filing a claim. Make sure that there aren’t any major surprises. You will want to know what different exclusions, restrictions, and requirements there are that apply to your pets policy.

Age limits

The majority of pets need to be at least 6 and 10 weeks to get coverage. (Age requirements are different for dogs and cats.)

Most pet insurance policies have an age cap on illness and accident plans. If you’re trying to insure an older pet, you may want to look into an accident-only insurance policy.

Pre-existing conditions

If your pet has a congenital disorder or hereditary condition that has been seen by a vet before you get coverage. Unfortunately most pet insurance companies will not cover medical expenses for that particular illness’.

Although, there are some companies that may cover a pre-existing condition. This is if it has been cured. Another example is if your pet has has not shown any symptoms in the last, six months to a year.

Do breed-specific conditions increase your costs?

More than likely, yes. I know, it seems unfair. Being the proud pet parent of a breed that is known to have certain breed-specific conditions, means they are at risk for specific genetic disorders, and are seen as an increased risk to insure.

Also, because most purebred animals have a higher chance of passing these genetic defects. For this reason, they may be more costly to insure.

Does pet insurance cover pet liability?

On average, no, it doesn’t. Pet liability & pet insurance are different. Pet insurance covers your pet’s health and wellness.

You might want to check if your homeowners insurance policy covers incidents like dogs bites. If it doesn’t, ask an agent about added insurance to get you coverage for these types of incidents.