Have you thought about buying a pet insurance plan to cover you dog or cat? In many ways, buying a pet insurance policy is similar to buying a healthcare plan for yourself.
When you’re in good health, having to pay that healthcare premium month after month can seem like a total waste of money. If you get sick or are in a terrible accident, you will thank your lucky stars you have health insurance.
It is very much the same with pet insurance. The monthly premiums can seem like a waste of money until the day your dog or cat needs intestinal surgery at a cost of $1,000 or more.
Just like our health insurance, there are a number of pet insurance plans available. The five companies that sell the most pet insurance plans are PetCare Pet Insurance, VPI (Veterinary Pet Insurance), Embrace Pet Insurance, PetsHealth and Premier Pet. Each of these insurance companies offer a number of different plans making the choice of a pet insurance plan even more complex.
Pet Insurance Plan Deductibles, Co-Pays and Caps
Choosing between various pet insurance plans will depend on several factors, not the least of which is cost. As a general rule, those plans that have the lowest monthly premium usually have deductibles and co-pays.
Pet insurance plans often have a cap that limits the total amount of money the company will pay for the veterinary care in a given year or for a given incident. If your pet insurance plan caps annual coverage at $5,000 and the vet bills for your dog that year total $6,000, you will have to pay the extra $1,000 out of pocket.
Comparing Pet Insurance Plans
It’s tough to compare pet insurance plans side-by-side. Below is information on the least expensive pet insurance plan for the five major pet insurance companies for a five year old Australian Shepherd.
NOTE: The actual cost of the plans will vary depending on where you live and the dog’s age and breed
PetCare Pet Insurance – QuickCare Plus
Monthly premium: $29.95
Coverage: Accident benefits = 100% coverage to age 8, 80% coverage afterwards
Illness Benefits - 100% coverage to age 8, 80% coverage afterwards
Deductibles: $100 per year for dogs less than 5 years old; $150 for dogs age 5-10
Co-pays: 70% reimbursement of each covered claim up to the policy limits.
Multiple Pet Discount: Yes
VPI Pet Insurance – VPI Standard Plan
Monthly premium: $27.42
Coverage: Covers hundreds of accidents, illnesses and diseases for indoor and outdoor pets. Excludes pre-existing
conditions including congenital defects or diseases and hereditary disorders.
Deductibles: $50 per incident
Multiple Pet Discount: 5%
PetsHealth Care Plan Level 2, Basic accident and illness coverage
Monthly premium: $27.66
Coverage: 80% reimbursement of allowable covered charges. Use any licensed vet in the US or Canada
Deductibles: $100 annual deductible
Multiple Pet Discount: 10%
Embrace Pet Insurance – Budget Plan
Monthly premium: $21.76
Coverage: Up to 90% of all vet bills. Reimburses more because there is no benefit schedule. Use any veterinary
hospital in the country. Also covers genetic illnesses such as hip dysplasia but few pre-existing conditions.
Deductibles: $500 annually
Cap: $5,000 annual maximum
Multiple Pet Discount: 5%
Premier Pet – Level 2 Accident and Illness Coverage
Monthly premium: $27.66
Coverage: Accidents and illness coverage including hospitalizations, x-rays, and surgery.
Deductibles: $100 annually
Cap: $1500 per incident/$8000 yearly
Multiple Pet Discount: 10%
Exclusions
With the exception of Embrace, all of these pet insurance plans do not provide coverage for pre-existing conditions. Several of these pet insurance plans will not cover existing conditions, injuries, medical conditions and symptoms of concern that were evident prior to enrollment in the specific plan.
Each company tends to define pre-existing or existing conditions differently. For example, PetCare Insurance says this about pre-existing conditions, “Coverage will not be extended for existing conditions, injuries, medical conditions and symptoms of concern that were evident prior to enrolment or which occur during the 21 day waiting period for illness coverage. Exclusions may be temporary or permanent in nature.”
Premier Pet Insurance says this about pre-existing conditions, “Like all pet insurance providers, we have exclusions, which are treatments that are not covered. This helps us keep premiums lower and payouts higher.” This means that the only way you can truly understand how the company defines pre-existing conditions is to read the actual policy.
Questions To Ask Before Choosing A Pet Insurance Plan
The information shown above gives a general overview of the pet insurance plans offered. While this information may answer some of the questions you have, there are other questions you should ask before choosing a plan. This includes:
- Is there an age limit for coverage?
- Do you have to stay in network or are you free to choose your vet?
- Is the company registered with your state insurance regulators?
- How exactly are claims handled?
- Will the premiums increase, as your pet gets older?
Choosing the right pet insurance plan is not an easy task. There are a number of pet insurance plans available from which to choose and you should have no trouble finding a plan that would be just right for you and your pet.
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