What Is Pet Insurance?
If you are like most pet owners, you would do anything for your pet when it is sick. But vet bills can add up quickly, especially if your pet needs emergency care or treatment for a chronic illness. One way to plan for these costs is to purchase pet insurance. It's not cheap, but it can pay off only if your animal companion ends up needing expensive care.
Pet insurance is medical insurance for your pet. It can help cover vet bills when your pet becomes ill or injured, and the most comprehensive plans include preventive care. Pet insurance is aimed at cats and dogs, so coverage is less common for other types of animals.
How does pet insurance work?
There are two types of coverage that pet insurance plans offer: accident only or accident and illness. Most pet owners prefer the latter. This is different from pet liability coverage in home and renter insurance, which covers legal expenses, personal injury to third parties, and property damage caused by your pet.
Like human health plans, pet insurance plans have deductibles, copays, lifetime and annual maximum payments, and waiting periods. Coverage exclusions for pets under 8 weeks and over 12 weeks, as well as pets with pre-existing conditions, are also common.
Coverage and exact limits vary by insurer. For example, some plans have no annual or lifetime limits, while others allow you to choose lower limits for a more affordable premium. Some insurers also allow you to select vets and clinics of your choice, while others require the use of in-network clinics.
You typically pay for vet visits out of pocket and then submit a covered claim for reimbursement. Some pet insurers may pay your vet directly, but there may be upfront work involved on your part or the vet, and there may be limitations on when the service can be used. It is best to ask your pet's insurer about payment options.
What does pet insurance cover?
Accident-only policies cover accidents and unexpected injuries such as sprains, ingestion of toxins, and lacerations. An accident and illness policy extends coverage to diagnostic illnesses, illnesses, and treatments and can include:
- Congenital or inherited conditions
- Cancer treatment
- Dental procedures
- Cost of prescription foods
- Medical advice
- Medical equipment
- Physiotherapy
- Prescription drugs
- Supplements
- Surgical procedures
Depending on the insurer, annual deductibles generally range from $ 0 to $ 1,000, and annual limits can be as low as $ 2,500 or unlimited. Deductibles are the pet health expenses you must pay before insurance coverage begins, while annual limits are the maximum annual reimbursement amounts from your pet's insurer.
Some insurers also offer preventive and wellness coverage, often in addition to an additional premium. They can include services such as:
- Blood test
- Dental cleaning
- Deworming
- Preventive medications against fleas and heartworm disease
- Genetic certification
- Heartworm tests
- Tablet
- X-rays
- Screens
- Neutering or spaying
- Urine analysis
- Vaccines
- Wellness exams
What does pet insurance not cover?
Most pet insurers do not cover pre-existing conditions, and some may even exclude certain conditions when you renew your policy if they were treated or diagnosed in a previous coverage period.
Plus, much of what you'll find in optional wellness and preventive coverages is generally excluded from basic pet insurance, plus:
- Boarding or accommodation
- Conditions or accidents derived from waiting periods
- Non-standard experimental or investigational treatments
- Over-the-counter food and supplies
- Transport
It is common for there to be a waiting period after signing up for pet insurance of about two weeks for accidents and illnesses. Problems that arise during this period are generally treated as pre-existing and excluded from coverage.
Some pet insurers do not fully cover bilateral conditions (medical problems that occur on both sides of the body). For example, if your pet has hip dysplasia on one side as a pre-existing condition and it develops on the other side while insured, your pet's insurance may not cover treatment for the side that most recently developed dysplasia. Even when both parties develop the condition while insured, your insurer may only pay part for the treatment.
Excluded treatments may also vary by breed. This is especially true for breed-specific inherited conditions. Be sure to read the fine print on the policy and ask questions before applying so you know you have the coverage you expect.
Is Pet Insurance Worth It?
Based on average expenses, a pet emergency room visit that includes an initial consultation, general blood work, X-rays, and surgery can cost up to $ 3,600 for cats and $ 5,600 for dogs. Cancer treatments can cost more than $ 10,000.6 But an accident and illness policy can cover some or all of these costs at a fraction of the price. Here's an idea of how much insurance can cost with popular pet insurers:
| Pet Insurance Premium (Monthly) | ||||
|---|---|---|---|---|
| Company | 2-Year-Old Dog | 8-Year-Old Dog | 2-Year-Old Cat | 8-Year-Old Cat |
| ASPCA Pet Health Insurance | $45.82 | $91.64 | $19.74 | $32.90 |
| Nationwide | $35.34 | $98.61 | $17.16 | $37.40 |
| Petplan | $42.28 | $137.05 | $20.16 | $38.90 |
| Pets Best Insurance | $27.61 | $65.80 | $11.52 | $27.47 |
| Figo Pet Insurance | $30.63 | $78.37 | $16.73 | $33.19 |
Its price may vary depending on factors such as your pet's:
- Age
- Raise
- Coverages, deductibles and limits
- Sex
- Geographic location
- Species
You can save on discounted policies like multiple pets, military, employee benefits, spay / neuter, predictive testing, and full pay.
Should I buy pet insurance?
Pet insurance is a great option for pet parents who prefer a monthly premium over large out-of-pocket expenses, for those with multiple pets, and for owners who aren't prepared to pay unexpected vet bills.
But the prizes can increase. For an older dog, our research shows that he can pay more than $ 1,600 a year. For those who are unwilling or unable to afford pet insurance, alternatives such as credit financing, creating a pet savings fund, financial assistance programs, and discount programs (such as Pet Assure) can add to the expense. are more acceptable to veterinarians.
Methodology
We use Labrador Retrievers and Ragdolls as our dummy pets in the comparison. The basic accident and illness policies we compared were from Illinois and had annual deductibles of $ 500, annual limits of $ 5,000, and reimbursement levels of 80%.
Enjoy Watching This Video About Insurances
Source: The Birch Family
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