What is pet insurance?
Pet Insurance pays the veterinary costs if one’s pet becomes ill or is injured in an accident. Some policies will also pay out if the pet dies, is lost or stolen.
The purpose of pet insurance is to mitigate the risk of incurring significant expense to treat ill or injured pets.
As veterinary medicine is increasingly employing expensive medical techniques and drugs, and owners have higher expectations for their pets’ health care and standard of living than previously, the market for pet insurance has increased.
UK Policies usually pay 100% of vets fees.
There are two types of cover:
- life-long – it will pay out for specific conditions for the life of your pet; and
- time-limited – it will pay out only for 12 months per condition.
Policies vary, but as well as an agreed maximum payout for vets’ bills and medication, some will pay for you to advertise if your pet has been lost, or for kennel or cattery fees if you suddenly have to go into hospital. In some cases it will also cover the cost of making good damage caused by your pet.
It does not generally cover routine upkeep items such as annual vaccinations, boosters, nail clipping, spaying and neutering.
Check – as with your health insurance, always make sure you disclose any key relevant information.
How does it work?
The owner will usually pay the amount due to the Vet, and then send in the claim form and receive reimbursement, which some companies and policies limit according to their own schedule of necessary and usual charges. In the event of a very high bill, some veterinarians will allow the owner to put off payment until the insurance claim is processed. Some insurers pay veterinarians directly on behalf of customers.
Traditionally, most pet insurance plans did not pay for preventative care (such as vaccinations) or elective procedures (such as neutering). Recently however, some companies in the UK are offering routine care coverage.
In addition, companies often limit coverage for pre-existing medical conditions, thus giving owners an incentive to insure even very young animals who are not expected to incur high veterinary costs while they are still healthy.
Some insurers offer options not directly related to pet health, including covering boarding costs for animals whose owners are hospitalized, or costs (such as rewards or posters) associated with retrieving lost animals. Some policies also include travel cancellation coverage if owners must remain with pets who need urgent treatment or are dying.
