Contributed by Angie Lewis, President of Alaska Animal Advocates
The number of companies offering pet insurance has dramatically increased in the last few years. Some employers are even starting to offer pet insurance as a benefit to employees. Bear in mind that most of these employers do not provide matching funding. Veterinary costs have skyrocketed, making the idea of having medical insurance for your pet more appealing.
When making this decision, it is vital that you do your homework and research each insurance coverage, focusing on limitations and exclusions. Navigating through the world of pet insurance is as complex as auto, health, or home insurance. A common problem is that you may pay premiums for years and then when an emergency or illness arises, you find that the insurance does not cover the cost. This leaves you having paid expensive premiums and still paying for the medical costs. In this scenario, it ends up being very costly – years of premiums and the cost of surgery or long-term health care for your pet.
Insurance providers take advantage of the fact that you love your pets like family, but in fact, the coverage that these companies provide is often not equivalent to human health insurance. Let’s look at some of the pros and cons of health insurance plans for pets.
Pros:
If your pet is young and healthy, premiums are typically low.
Pet plans are typically straight-forward, and quotes are easy to obtain.
Compared to human insurance deductibles, pet deductibles are reasonable.
You can pick your vet, without concerns for “out of network” providers.
Cons:
If your pet is older or has a pre-existing condition, your premiums can be fairly high. Also, premiums usually increase on a yearly basis.
Procedures must be paid up front – there is no insurance billing.
Pet insurance does not cover everything. Routine vet check-ups are not covered, nor are hereditary conditions.
Some policies will not cover pre-existing issues, even if the pet only went to the vet one time for a related issue.
Some plans have “Payment caps” – either yearly or lifetime caps, so that you are left paying the difference.
If you have multiple pets, purchasing insurance for each critter can become very expensive.
If you decide that pet insurance is not the way to go, think about planning for medical costs and emergencies. Put aside money for your pet’s care – wellness check-ups, dental care, unexpected illness or accidents, food, and grooming.
