Pet insurance underscores financial security
The North American Pet Health Insurance Association reports that the total premium volume for pet insurance in the U.S. is $3.2 billion.
Few situations can be as unsettling for pet parents as an animal injury or illness.
Pet insurance is key to making such tough situations more manageable, according to the American Animal Hospital Association, the organization charged with animal-hospital accreditation in the U.S. and Canada.
“Pet insurance helps ensure that you are able to say ‘Yes’ to veterinary care without the stress and anxiety that can come with vet bills,” the AAHA says. The organization, which partners with the independent pet insurance comparison service Pawlicy Advisor, also wants consumers to know that pet insurance is not a one-size-fits-all product, which is why it may behoove compassionate insurance agents and brokers to also serve as a resource and reference for their pet-loving clients.
There are several coverage features the AAHA advises pet parents to look at when selecting and pet-insurance carrier. These policy features include:
- Coverage options;
- Exclusions and limitations;
- Cost (including premium, deductible, copays, discounts and the like);
- Term flexibility;
- Customer service; and
- Additional benefits.
“Pet insurance is designed to provide financial protection for the cost of unexpected veterinary bills,” the AAHA says. “This ensures that the cost of care never stands in the way of your pet receiving the medical attention they need whenever they are sick or injured.”
Pet insurance generally covers accidents, illnesses, diagnostic tests, surgeries, medications, hospitalizations and many diseases. Some carriers also might offer additional coverage for preventive care, wellness visits, dental procedures, behavioral therapy, and alternative therapies like acupuncture or chiropractic treatments, according to the AAHA. Generally, insurers expect policyholders to cover these expenses up-front and then file a claim for reimbursement. However, some pet insurance carriers may pay veterinarians directly.
The North American Pet Health Insurance Association reports that the total premium volume for pet insurance in the U.S. is about $3.2 billion with roughly 4.8 million insured animals.
The average accident and illness premium for dogs is $640 a year, according to the Insurance Information Institute. The average accident and illness premium for cats was $387. Roughly seven out of 10 U.S. households are home to at least one pet.
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