Pet Insurance – The Pros and Cons
The emotional bond we share with our pets makes us want to do all we can for them. In exchange for all the love they give us, we want to ensure they live long, healthy lives.
Years ago, procedures like MRI’s, specialized therapy, and laser surgery were unheard of for pets. Now, these procedures are increasingly common as veterinary science continues to advance.
Veterinary Care Inflation and the Effect on Your Wallet
Veterinary science has seen remarkable breakthroughs in the past two decades, but just as in the human health sector, costs have risen. Many pet illnesses and diseases are being treated that often went undetected in the past.
While veterinary medical advances extend our pet’s quality of life, the financial impact for pet owners cannot be overlooked.
Recently, our neighbor’s German Shephard “Duke” suffered from hip dysplacia. Duke is now happily on the mend, but not before his owners paid over $2000 in vet bills. Another friend’s cat developed a stubborn kidney infection, requiring extensive diagnostic and follow up treatment. The $1400+ in costs left our friend juggling her finances to pay the vet bills.
What is Pet Insurance, and Does it Make Sense For You?
Pet insurance has been around for decades in Europe, but is relatively uncommon in the United States and Canada. Much like health insurance for us, pet insurance drastically reduces the risk of caring for your pet. Perhaps most importantly, it can eliminate the heart wrenching decision of euthanizing your pet vs. incurring a large financial hardship.
Just like health insurance companies, pet insurance companies differ in what they offer and cover. Some pet insurance policies will only pay for pets below a certain age. Others have numerous deductibles and restrictions, depending on multiple factors.
Anyone considering pet insurance should ask themselves this question: “Will I devote a reasonable amount of time and money to treat and heal my pet?”. If your answer is “yes”, you’re a good candidate for pet insurance. Sadly, many pet owners are forced to choose between finances and their pet’s health. Worse, other pet owners view their pets as disposable, and simply won’t treat the animal if it becomes too ill.
Pet Insurance Specifics
Pet insurance plans cost basically the same for cats and dogs. Most start at $10 per month, with a nominal deductible, usually $50. Senior pets, if insurable, cost somewhat more, typically $25-$35 per month. At this time, we only know of one company that accepts senior pets, normally defined as age 8 and above.
All pet insurance plans offer coverage for accidents and illness, while some offer coverage for routine expenses like annual check ups and flea preventative. Sometimes, pet insurance companies that offer routine care coverage are set up with contracted veterinarians, similar to a PPO or HMO health care arrangement. For policies that cover unplanned illnesses and injuries, you can use the veterinarian of your choice, and these plans may also offer some discount element for routine veterinary services.
The Story Of Two Pets
Another of our neighbors is a pet owner to both a dog and cat. His cat, a 6 year old tabby named Whiskers, incurred a respiratory infection late last year, with veterinary bills totalling almost $1600. Earlier in the year, his 12 year old border collie mix, Diamond, was found to have a small malignant tumor during a routine physical. Fortunately, Diamond was able to be treated and recovered well, but the veterinary bills were large – $1500+.
The veterinarian who treated both Diamond and Whiskers submitted each bill directly to the pet insurance company. Although they were obviously seperate instancest, the total vet bills amounted to roughly $3100. The pet insurance plan covered $2850, the difference being a $50 deductible for Whiskers (adult cat) and a $200 deductible for Diamond (senior dog). Total out-of-pocket costs to treat both pets was a very manageable $250.
Do Your Homework
There are a handful of pet insurers available to you. Do your homework and make sure the policy is right for you and your pet. For example, if you’re comfortable budgeting for routine annual expenses like check ups, shots, and flea preventative, there’s no need to pay a pet insurance company to cover routine expenses. Rather, look for a company that protects you from large, unplanned expenses.
If you determine pet insurance is right for you and your pet, here are some important factors to consider when choosing the right policy for you and your pet:
1. Look for Guaranteed Acceptance, no matter your pet’s age. 2. The ability to use the veterinarian of your choosing. 3. Fixed Premiums/Deductibles: Your premium shouldn’t increase as your pet ages. 4. Unlimited Accident Coverage: Accidents happen, particularly with pets.
Tags: Dogs