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 when the pet dies, or if 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.

Pets today need insurance as the cost of medical treatments are very high and in breeding and other problems have made pets more susceptible to diseases and other problems. Pet insurance can cost anywhere between USD 2000-6000 over the life of a pet and the amount of premium to be paid would depend on many variables like breed, age, and more.

The first pet insurance policy was written in 1890 by Claes Virgin. Virgin was the founder of Lansforsakrings Alliance, at that time he focused on horses and livestock. In 1947 the first pet insurance policy was sold in Britain. In 1980 the first pet insurance company in the United States was founded by Dr Jack Stephens, DVM. Dr. Stephens' intention was to help put an end to the "economic euthanasia" of pets.

Many pet owners believe pet insurance is a variation of human health insurance; however, pet insurance is actually a form of property insurance. As such, pet insurance reimburses the owner after the pet has received care and the owner submits a claim to the insurance company.

UK Policies usually pay 100% of vets fees. Policies in the USA usually offer to pay 80-90% of the costs minus a deductible depending on the company and the specific policy. 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. Most U.S. policies require the pet owner to submit a request for fees incurred.

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 and US are offering routine care coverage, or some times called comprehensive coverage.

In addition, companies often limit coverage for pre-existing conditions in order to eliminate fraudulent consumers, 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.

Some UK policies for dogs also include third party liability insurance. Thus, for example, if a dog causes a car accident that damages a vehicle, the insurer will pay to rectify the damage for which the owner is responsible under the Animals Act 1971.

The smart consumer will always check the details before signing up for a policy which may not cover your animal's condition. Some pet insurance companies will use a benefit schedule covering only what they think a given procedure is worth. Other companies will not cover hereditary conditions. Finally, some companies will not renew your policy at the end of a given term or will consider a condition pre-existing after renewing your yearly contract and then refuse to cover the illness. Despite these set-backs, pet insurance can provide financial support enabling the dedicated pet owner to not factor in economic considerations while life-saving care is needed.

Pet insurance can be bought online or offline from leaders like: PetCare; Veterinary Pet Insurance (VPI); Pets Best Pet Insurance; and ASPCA Pet Health Insurance. The best way to insure a pet is to ask your vet for advice. Pet insurance at affordable rates can be purchased online from websites devoted to pet insurance and pet care. The premium to be paid depends on age of pet, general health of pet, breed of pet, potential risks for susceptible diseases and so on.

Generally pet insurance companies provide a variety of policies from the basic through to premium plans that provide cover for every aspect of your pet’s medical care. You need to decide what level of care is right for your pet and then pick a plan that closely matches your requirements. As with other insurance policies, the higher the premium, the more cover that is provided.

It is important to look out for the following main points to see if they are covered in the pet insurance policy:

• Cover for life or fixed term
• Vet Fees
• Death from illness
• Accidental Damage
• The policy excess
• Dental treatment?
• Third Party Liability & legal expenses
• Death from accident, theft or straying
• How much of the vet bills are covered, 70 100%
• Emergency treatments, X-rays, lab fees etc

If you own a pet, you've probably encountered several instances where your vet bill was much higher than you had anticipated. If this has been the case on more than several occasions, it may be wise to look into insurance for your pet. Insuring your pet will allow you to manage the expenses involved with good quality treatment.

Below is a list of common and not-so-common ailments, followed by their estimated medical bills for visits and treatment.

This figures show the potential price range you could encounter:

• Motor Vehicle Accident: $0 - $4,000 (depending on the severity of injuries)
• Cancer Treatment: $500 - $3,800
• Pet Eats Foreign Object: $50 - $2,500 (depending upon the object ingested)
• Various Infections: $100 - $1,000
• Broken Extremity: $1,000 - $2,500

THINGS TO REMEMBER

• Some pet insurance policy providers will award a multi-pet discount. Insure Fido and Felix, experience peace of mind, as well as a discounted rate.
• Watch out for pet insurance providers that may add an additional charge, based upon your zip code (postal code), and/or the breed of your pet. Some breeds of animals are considered high risk animals due to genetics.
• Some providers offer accidental death insurance. If your pet was to accidentally die (other than by natural causes), they would pay you the original purchase price of the pet.
• Special coverage can be applied, depending upon the provider. This can range from coverage for older animals, indoor pets, outdoor pets, and by specific breed. One branch of coverage might have the coverage of another. Examine your situation closely to determine which program will benefit both you and your pet.

Here are a few reasons why pet insurance is to be considered:

1. A pet is a family member and death due to accident or illness can upset children. Insurance coverage could save the life of the pet.
2. Pet insurance gives peace of mind and owners can stop worrying about unpaid bills or pets crossing roads.
3. Pet insurance ensures longer life spans of pets.
4. Insurance offers preventive health care, which means diseases can be detected in pets at early stages when treatments can offer cures.
5. Pet insurance covers expensive diagnostics and hospitalization expenses for pets.
6. Pet insurance can save the life of the pet as it covers treatments like radiation therapy and kidney replacements.
7. Pet insurance releases the burden of having to pay when the family is going through lean times such as being “laid off” or having a personal illness to deal with.
8. Pet insurance can help you get a deductible which is cost saving and the insurance will protect the pet.
9. Pet insurance offers regular health checks, shots, elective and non elective surgeries, and sometimes extended stays at a pet boarding house.
10. In general pet insurance can cost as little as USD 20-40 a month and this brings good health and cheer to the pet, very much a family member.

Pet insurance could save the life of a dear one without straining your wallet.

• Benefit schedule - a document created by a pet insurance company that lists allowances paid for a given diagnosis and treatment.
• Deductible - an amount that must be paid by the policy holder in a pet insurance policy for covered veterinary services. Higher deductibles usually translate to lower policy premiums.
• Exclusion - a condition that is excluded, or not covered under a pet insurance policy.
• Policy Limits - there can be several types of policy limits applied to a pet insurance policy. When a policy limit is reached the policy will normally no longer pay applicable claims. Typical policy limits are lifetime, annual and per-incident.
• Pre-certification - when a pet owner to submits a requested treatment to their pet insurance company to see if the treatment will be covered, and at what benefit level.
• Pre-existing condition - an injury or illness that occurred before the pet insurance policy became effective. Some pre-existing conditions are eligible for coverage after being cured and a specified period of time elapses. Other conditions cannot ever be covered regardless of time elapsed.
• Coinsurance - the percentage of your claim for which you are liable before any applicable deductible is applied.