What is Pet Insurance?

Pet insurance or pet health insurance helps pay the cost of medical expenses if your pet becomes ill or has an accident.

Some pet insurance plans also offer routine and wellness coverage (reimbursement for vaccinations, healthy annual exams, spaying/neutering, etc) as well.

Pet Insurance should not be thought of as a way to save money. It should be thought of as a way to soften an unexpected economic hit.

Similar to human health insurance, pet insurance has premiums, deductibles, co-pay, and maximum payouts.

The Premium is the amount you pay monthly or annually for your pet insurance policy.

The Deductible is the amount of the veterinary bill you must pay before the insurance company starts paying.

The Co-pay is the percentage of covered expenses that you must pay after the deductible is met. The insurance company pays the remaining percentage of covered expenses. So...if your co-pay is 20%, the insurance company pays 80%.

Maximum Payout is the maximum amount of money the insurance company will give you.

Each insurance company offers a different combination of premiums, deductibles, co-pay and maximum payouts, based on your pets age, breed, and level of coverage selected.

Top Things to Know

1. Insurers differ

All pet insurance is not the same. Some insurance plans cover accidents to your pet, but not illnesses. Some plans cover treatment for cancer, some don't. It can be confusing, so you will need to do some research.

2. Don't just look at the price

A low price is no bargain if your insurance company denies your pet's claim. Cheaper policies tend to provide less coverage. Will the cheapest pet policy cover your dog's cancer treatment? Probably not.


3. You can use any veterinarian you want

 Don't worry, this is not an issue. All pet insurance companies will allow claims from any licensed veterinarian.


4. You have to pay the veterinary bill out of your own pocket

With human health insurance, your doctor invoices your insurance company and you may never even see the bill. However, with pet insurance, you have to pay your veterinary bill and then submit your claim to your insurance company for reimbursement. (This is because pet insurance is considered a form of property insurance.)


5. Pre-existing conditions are not covered

 Think of it this way: if you got into a car accident and then tried to buy auto insurance the next day, do you think it would be fair to expect the insurance company to pay for your accident? If you want to be covered, you need to have insurance before the accident!


6. Is pet insurance worth it?

Pet insurance protects you from large, unexpected vet bills. If you are the type of owner who does not want to choose between going into debt or putting your pet down, pet insurance is for you.

There are a few websites that help you compare the benefits of different plans and help you to understands the in's and outs of pet insurance.

www.petinsurancereview.com

www.petinsuranceuniversity.com

Questions to help you choose

a pet insurance provider

It can be tough to sift through the legal jargon included in many pet insurance informational packets. After you do some research online and find a few companies you might like to work with, it's time to dig a little deeper. Use this list of questions to find the levelof care that?s just right for you and your pet.

1. Is the company licensed in your state? Which of their policies are available in your state?

2. Does the company have a good reputation? What do the Better Business Bureau or other independent organizations have to say about it? How long has the company been around?

3. Are the policies and information provided reasonably easy to understand? Are the people you talk to knowledgeable and helpful?

4. Does the company offer customer service during reasonable hours?

5. Have premiums increased over the past few years? If so, by how much?

6. What happens to coverage and premiums as your pet gets older?

7. Are there any reasons you wouldn?t be able to renew your policy?

8. What type of coverage and co-insurance does the policy require?

9. Is there a ?usual and customary charges? clause? How are those limits determined?

10. What kinds of care are excluded or limited? Are congenital or hereditary diseases covered? What about cancer? Is dental care covered?

11. Are conditions diagnosed within one year excluded as preexisting conditions the next?

12. Are benefits available for wellness or preventive care for your pet?

13. Can you choose a deductible? Can you change the deductible from year to year? Is the deductible annual or is it applied to each medical incident?

14. Are the waiting periods before coverage begins reasonable?

15. Is there a maximum age for enrollment?

16. Are there limits per incident, per year, per lifetime, or per body system? What are those limits?

17. Is a physical examination required for enrollment or renewal?

18. How quickly are claims processed and paid?

19. Are there any billing fees or discounts?

Taken from www.petinsurancereview.com