7 Pet Insurance Myths Answered

According to a 2015 survey conducted by the American Pet Products Association (APPA), 79.7 million households include one pet; and of those, 83% consider their pets to be family. As our love for our pets has grown, so has demand for their medical care. Large veterinarian hospitals and specialty clinics provide a range of advanced treatment options—everything from neurological services to orthopedic surgery—and it comes at a steep price.

Each year 33% of pets require emergency medical treatment—many of which require treatment for unexpected accidents, injuries and illnesses. For example, a common orthopedic injury in dogs is a torn anterior cruciate ligament (ACL). The costs associated with treating this type of injury—which may involve surgery and physical therapy—can reach $4,000 or more.

The advancement in pet medical care and the rising demand for treatment, poses a financial challenge for loving pet parents. Enter pet insurance. Pet insurance covers unexpected accidents, injuries and illnesses making treatment affordable. For a small monthly premium, pet parents have the option of covering (up to) 100% of veterinary medical costs, avoiding difficult and painful decisions based solely on if the pet parent can afford treatment.

As pet insurance has grown in recognition, a mixture of information—customer reviews, reports, etc.—is available online. In our research, we uncovered 7 common myths about pet insurance.

1. It’s too expensive.

More pets are being saved by advanced healthcare treatments, and that care can be quite costly. For example: The average cost of care for a dog with hip dysplasia is $7,000. Pet insurance reimburses you for out-of-pocket costs related to unexpected pet injuries and illnesses. Interactive calculators allow you to estimate how much you would pay out-of-pocket for common pet medical issues with and without insurance.

2. It doesn’t cover wellness or preventative medicine.

Most companies do not cover wellness or preventative care in their core insurance product without charging extra. Wellness plans generally cost an extra $20 (or more) per month, and the total payout is usually capped. (In some instances, the cap is set at $260.) Wellness and preventative care can easily be budgeted each year, while pet insurance is meant to mitigate the costs for unexpected accidents and illnesses.

3. The claims process is cumbersome.

The ease of submitting claims depends on the pet insurance company. Some companies require your veterinarian to fill out a claim form, while others provide self-serve options, like paperless claim submission via mobile device. Regardless, it’s worth researching to match your claim filing expectations before choosing the right pet insurer.

4. My dog is young and healthy. He doesn’t need insurance.

Young pets have the most unexpected accidents! They eat dangerous things and run around inside and out. Many claims over $1,000 are the result of young pets injuring themselves (ex. eating socks, jumping off furniture, etc.). Insuring your pet while they are young is the perfect time! They are the least likely to have pre-existing conditions, so any unexpected accidents and injuries would be covered.

5. Access to veterinarians is limited.

Some companies may limit your access to veterinarians or may require treatment be performed at specific hospitals, so this is important to know before making your decision. However, most pet insurance companies do not offer coverage based on a network of providers, allowing you to take your pet to any licensed veterinarian, emergency or specialty hospital of your choice. Some insurers may even extend their coverage to cover licensed veterinarians in other countries, making travel with your pet less worrisome.

6. I can save money for emergency care. (I can self-insure.)

Most people don’t know they need pet insurance until their pet becomes ill or injured, and the last thing you want to worry about when your pet has an emergency is, “How much money will this cost?” Self-insuring is risky because you need enough time to save and build up a pet fund—but what happens if your pet gets sick before then? For example, your new puppy may eat a sock next month, requiring $3,000 in veterinary care. The unexpected nature of such injuries and illnesses may find you with little-to-no savings to cover necessary treatment expenses.

7. There aren’t many options for pets with pre-existing conditions.

If your pet is already sick, the illness would be considered a pre-existing condition. As mentioned earlier, pet insurers do not cover pre-existing conditions. This being said, any new conditions that may arise in the future—broken limb, cancer, etc.—may be covered, so you could still benefit from purchasing a policy. Not all prior conditions are considered chronic, and many pet insurance companies have a time-frame after which curable conditions may be covered again. If your pet is or has been sick or injured previously, and you are looking for pet insurance coverage, ask whether there is a time-frame for previous, non-chronic conditions.

Taking the next step.

Be sure to research all pet insurance products—including customer reviews—before making a decision. Keep in mind, some pet review websites accept membership fees from providers in exchange for placement on their site. Also, it is important to read the contract terms thoroughly. epetsure.co offers a useful guide to understanding pet insurance contract language.

Often dissatisfaction with pet insurance stems from misaligned expectations or misunderstanding of contract language, so it’s important to do your research.

Post by: Stephanie N. Blahut, epetsure guest blogger

Stephanie N. Blahut is the Director of Marketing for Figo Pet Insurance. Figo is committed to helping pets and their families enjoy their lives together by fusing innovative technology–the first-of-its-kind Figo Pet Cloud–and the industry’s most transparent pet insurance plans. Stephanie oversees all marketing programs—focusing on digital and inbound marketing strategy, as well as marketing technology. You can follow her on Twitter or connect with her on LinkedIn.