How To Buy Pet Insurance (Complete Guide)

1. Research Pet Insurance Companies Early

With so many pet insurance companies in the market and with the number of pet insurance plans that vary so widely, it’s important to spend time researching your options. Take a look at our top eight pet insurance provider recommendations and compare them side by side.

When doing your research on pet insurance companies, consider what will affect your budget: premiums, deductibles, reimbursements rate, plus your pet’s health history and eligibility requirements.

By doing your homework on insurers and their plans based on cost and coverage benefits, you can make a confident investment in your pet’s future health.

2. Get at Least Three Quotes

Premiums, deductibles and reimbursement rates vary by provider, so get quotes from multiple companies to compare coverage options and prices. Getting multiple quotes allows you to see different add-ons and ensures you get the best value for your money. You may even find a company that offers unique coverage that suits your pet’s needs within a comfortable price range.

Check to see if you’re eligible for any discounts. Most pet insurance companies have discounts for multi-pet coverage and individuals such as teachers, first responders, veterans, active military, AARP members and people who own support and therapy animals.

3. Think About Your Coverage Needs

Some pet insurance providers limit coverage for high-risk breeds, hereditary disorders, costly treatments and chronic health issues, while others put claim limits on specific conditions. When thinking about the coverage your pet needs, consider your pet’s age, breed-related risks, known medical history, pre-existing conditions, lifestyle and any other factors that determine your pet’s monthly premium.

• Age: Younger pets are less prone to costly illnesses, and they will have lower rates. Older pets will have higher rates because of the likelihood of age-related ailments.


• Health: Pre-existing conditions (i.e., any health-related disorders that have been diagnosed before the pet’s health insurance coverage takes effect) are not covered by insurance. But don’t let this deter you from insuring your pet. Even with a preexisting condition, your pet can get coverage for non-related injuries and future illnesses. Pre-existing conditions may include:
  
  
  
  • Chronic conditions: Maladies that are likely to recur during your pet’s life, such as allergies, urinary tract issues and arthritis.
  
  
  • Bilateral conditions: A bilateral condition occurs on both sides of the body, such as hip and elbow dysplasia, cruciate ligament issues, cataracts and luxating patellas.
  
  
  • Intervertebral disc conditions: Often caused by degeneration or trauma, Intervertebral disc conditions affect the spinal cord.
  
  
  
  


• Breed: Some breeds are more likely to develop health issues, which increases the monthly cost.


• Species: Dogs cost more to insure than cats.


• Location: Veterinary care costs can vary significantly by location. Care costs more in densely populated metropolitan areas, which means higher insurance rates. Veterinary costs and insurance rates are typically lower in rural areas.


• Coverage: The most significant factor determining pet insurance cost depends on the coverage you choose. For example, a comprehensive policy that covers veterinary expenses related to illnesses, wellness care and hereditary conditions costs more than accident-only coverage.

4. Compare Plans and Pricing

Coverage varies based on the plan you choose, ranging from accident-only to more robust options. Most plans offer an accident-only coverage plan and an accident and illness plan with add-on options for each.

• Accident-only coverage: This covers only injuries or conditions considered accidental (e.g., broken bones, foreign-object ingestion). Accident-only policies are usually the least expensive, but they don’t cover chronic medications, vaccinations or routine examinations. However, emergency trauma care can be expensive, and this option ensures your plan covers the costs of the care your pet needs in an emergency.


• Accident and illness coverage: While more costly than accident-only coverage, this plan type covers more. In addition to accidental injuries, it usually covers the cost of diagnosis and treatment for conditions such as cancer, endocrine disorders and some orthopedic injuries.


• Wellness plans: Most plans don’t cover basic services like annual vaccinations, spaying, neutering and dental cleaning. But you can often add a wellness rider for an additional cost.

When looking for a pet insurance plan, evaluate each coverage as it compares to your budget and the health needs of your pet. Contact the insurance company directly if you have specific policy questions.

5. Consider Deductibles, Reimbursement Rates and Annual Limits

Most pet insurance providers let you customize your annual coverage limit, deductible and reimbursement rate. Make sure you understand these terms and how they apply to the overall cost of a specific policy.

• Deductible: The deductible is the portion of the veterinary bill you’re responsible for before your plan’s reimbursement kicks in. Most policies have an annual deductible, while some offer a per-incident deductible.


• Reimbursement rate: This is the portion a pet insurance company pays for after you meet the deductible. Most companies let you pick from multiple reimbursement options, such as 70%, 80%, or 90% of the cost of care.


• Payout limit: A plan’s payout limit is the maximum amount of money the insurance company will reimburse you.


• Annual limits: Annual limits cap how much you can be reimbursed within a 12-month period. Once you reach your annual limit, you’re responsible for paying the rest of the cost of your pet’s veterinary expenses until the coverage resets.


• Per-incident limits: Per-incident limits cap how much you can get reimbursed for a single illness or accident.

6. Purchase a Pet Insurance Plan

Once you pick the pet insurance company and plan that meets your pet’s needs and your budget, complete the enrollment process online.

Waiting Period

When you purchase a pet insurance policy, coverage doesn’t begin for a certain time period — no pet insurance policy provides immediate coverage. An insurance policy is meant to help cover treatment for a pet’s future accident or illness — not to be purchased after a pet’s accident, and then canceled after the insurance company covers treatment. Waiting periods prevent pet owners from purchasing a policy to help cover conditions they know exist. The waiting period begins as soon as you purchase a policy. Waiting periods vary between insurance companies, and also differ according to policy type.

Reimbursement Process

Pet insurance companies use two main methods of claims payment:

• Direct payment: Some insurance companies make full or partial payments directly to the veterinarian, which means you don’t need to wait for reimbursement.


• Reimbursement: Other pet insurance companies require policyholders to pay their provider in full and file a claim for reimbursement. Once your claim forms are submitted and approved, the amount that falls under your coverage plan is transferred to you via direct deposit or check.

In most cases, you’ll pay the vet bill and submit your receipt to the insurance company for reimbursement. Most insurers process claims in 10 working days. To expedite the process, submit all necessary documentation when filing your claim. Most pet insurance companies have an online platform for uploading documents and filing claims. If you have questions about your policy or the claims and reimbursement process, reach out to your pet insurance provider for help.