How to Choose Pet Insurance

1. Clarify your pet’s needs and insurance priorities

Factors to consider when determining your pet insurance needs are your pet’s age, breed and current health. You’ll also want to set a budget you are comfortable with so you can get the best insurance for a price you’re willing to pay.

If your pet is young, it may make more sense to focus on coverage for accidents and routine check-ups than chronic conditions that are more common in older animals. For example, arthritis is common in older animals, but rare in younger ones.

Do some research on common health issues that affect your pet’s specific breed. Make sure that the policy you choose will cover the issues you’re likely to face.

Next, make note of your pet’s current health. If they already have health issues, you’ll want to ensure your policy covers their preexisting conditions, as some policies do, while others don’t.

Lastly, review your budget and determine what you are comfortable paying. On average, pet insurance costs between $9.17 a month for accident-only insurance for a cat and $62.44 a month for accident and illness coverage for a dog. But of course, this can vary based on the type of policy you get, the company you choose and your location.

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2. Review insurance policy types, coverage and exclusions

There are three main types of pet insurance plans: accident-only, accident and illness, and comprehensive plans.

Accident-only plans cover accidents and injuries. However, these plans do not cover routine vet appointments or illness. For example, if your dog is injured in a fight, your insurance would cover treatment, but it likely won’t cover treatment for allergies. This type of plan is the least expensive and could be the best option if your pet is young and healthy.

However, even if your pet is healthy, you may still want to consider a plan that covers illness and disease. Most companies don’t cover preexisting conditions, so getting insurance before those issues come up will ensure that you’ll have coverage when you need it.

Accident and Illness plans cover both accidents and illnesses. This plan is appropriate for most pets. Note that while this type of plan covers much of what your pet will need, it doesn’t typically cover routine appointments, such as check-ups or vaccinations.

Lastly, there are comprehensive plans. These plans cover accidents, illnesses and routine care. This is the most expensive level of pet insurance plans, but you also get the most coverage. These plans may cover vaccinations, flea and tick prevention, and more.

3. Compare pet insurance providers and plan features

When you know your needs, budget and type of plan, you can start comparing individual companies and policies. Some factors to consider are deductible, reimbursement percentage and annual limits. You’ll also want to ensure that the plan meets your needs. If your breed of animal is prone to specific health challenges, you’ll want to ensure those are covered by your policy.

“Realize, too, that vet costs continue to rise,” said Janice Costa, owner of Canine Camp Getaway. “So if you are not getting unlimited coverage, you want to be sure you plan enough coverage for major emergencies … but [also] considering what prices may be in 10 to 12 years when your pet is older and may need more care.”

Features to know when comparing pet insurance companies:

Get free quotes from several pet insurance providers to compare features and prices. You’ll provide specific information about you and your pet, like the breed, age and health status. You’ll also be asked your ZIP code since your location can affect your monthly premium. Keep these features in mind when reviewing quotes:

• Claims filing: You’ll want to know how easy it is to file a claim and whether the company pays the vet directly or reimburses you for payments. Some companies will pay the vet bill directly, while with others, you need to pay the bill and then submit for reimbursement.
• Deductible: This is the amount you’ll have to pay out of pocket before the insurance begins covering treatment. Typically, the higher the deductible, the lower the premium will be, but choose a policy with an amount you would be comfortable covering in an emergency.
• Reimbursement percentage: This is how much insurance will pay for a vet bill. The higher the percentage, the more expensive the plan will be.
• Annual limits: The maximum reimbursement you can receive in one year. The higher this limit, the higher the premium will be.

4. Enroll and avoid gaps in your pet's insurance coverage

Once you’ve made your selection, you can enroll in the insurance plan. It’s important to understand the policy’s waiting period.

If you’re switching providers, don’t cancel your existing plan until your waiting periods are over. Also, if your pet has a preexisting condition, make sure the policy covers it. If you aren’t sure, contact customer service and check. You don’t want to cancel your existing coverage and then find out the most important health issues aren’t covered.

Also, read the full policy before you sign up. Go over the details and make sure that the items that are most important to you are covered.

“You want to know if they cover all health issues, or are there restrictions, i.e. not covering ‘conditions common to the breed,’ not covering ‘certain types’ of cancer, not covering common medications, etc,” Costa said. “If you value holistic care, you want to know if they cover things like acupuncture, laser, hydrotherapy, nutritional counseling …”

5. Manage your pet insurance policy and claims

Once you’ve enrolled in your plan, set a reminder to revisit it once per year. Your pet’s needs may change and the insurance company may change the features of your policy over time, or offer new plans with updated features. It’s a good idea to keep an eye on it so your policy continues to meet your needs.

When you sign up, make sure you understand how to submit claims and follow any rules surrounding this process. Many insurance companies have online portals to assist with claim submission. Keep copies of any receipts you have submitted for reimbursement, and follow up to ensure you have received the expected amount.