The Case for Pet Health Insurance

A cat arrives at the emergency veterinary clinic.  He hasn't urinated in 24 hours and is howling in severe pain.  He has a urinary tract blockage and will die unless the blockage is relieved very soon. The good news in this scenario is that this is a treatable condition.  The bad news?  The cost of treatment can easily exceed $1,000.   

This type of scenario plays itself out in vet clinics across the country every single day.  Animals arrive with serious and life threatening (but treatable) conditions.  Sadly, some are not treated due to financial considerations.   It's a nightmare situation that many pet guardians have to deal with.   But it doesn't have to come down to deciding whether to have your companion animal treated for a serious illness/injury or paying your rent or mortgage.  Planning is the key.

Every animal, at some point during his or her life, will become sick or injured.  It's a fact.  Rather than deny this fact, pet guardians would be best advised to plan for it.  And that's where pet insurance comes in.   Back in the early 80s, health insurance policies for animals began to pop up. Companies realized that more people considered their companion animals to be members of their families and were willing to pay to insure their health.   The number of companies offering pet insurance has grown over the last three decades...there are now dozens that exist solely by insuring dogs and cats.

The types of polices that are offered vary.  You can purchase very basic policies for as little as $10-$15/month in some cases.  These policies tend to exclude preventative and "routine" care and focus more on medical emergencies.  Other policies are much more comprehensive and cover checkups, vaccines, spay/neuter costs, dental cleanings, etc. In my experience, the key is to know what your goals are and then make sure the policy you're signing up for meets those goals.

Always read the fine print!  Know what is and isn't covered.   One important difference between pet insurance and human health insurance is that with pet insurance, you are required to pay your bill in full and then submit paperwork to your insurance company.  The insurance underwriters will then compare your policy to the itemized bill provided by your vet and determine if the illness/injury is covered under the terms of your plan.   If it is, you will be sent a reimbursement check.  Keep in mind, that if you disagree with your insurance company’s decision, you have the right to appeal.  This means the insurance company must reexamine your claim to determine if any errors were made.  And errors do occur! I have experienced numerous errors in the processing of claims for my cats.

I believe pet health insurance is a good idea.  It has saved me thousands of dollars over the years.  It's best to enroll your animal companion early in their life.  Getting insurance on a two month old, healthy kitten is easy.  Getting insurance on a 15 year old cat with a myriad of medical issues is next to impossible.  My point here is that by getting your dog or cat enrolled at an early age and keeping that enrollment continuous means you can't be denied coverage as the animal ages and begins to develop diseases that are part and parcel of the aging process.

Another strategy that I use to combat the high cost of veterinary care is the use of a savings account specifically for veterinary expenses.  I put money aside each week for my cats.  It's done via automated withdraws from my paycheck.  I never even see the money, nor do I miss it.  This technique requires a lot of personal discipline.  You have to resist the temptation to dip into this account to cover other expenditures.  But just think:  if you put a mere ten dollars a week into a pet savings account, after a year you would have over $500.  After ten years (right about the time your animal companion may start to show signs of diseases that are common in senior dogs and cats), you would have over five thousand dollars!

Unfortunately, none of us can prevent disease or injury from striking our beloved animal companions.  But, by planning for it, we can manage it and finance it more effectively.  You and your animal friend will be glad that you that you had the presence of mind to think ahead.

Article by David Truitt, Adoptions Counselor at the Humane Society of Harford County