Reviewed by Dr. Fiona Lee
Being a pet parent means your day-to-day life is full of little surprises, sometimes pleasant and other times not. When you first lock eyes with your future fur baby, you have no idea what expenses and veterinary visits might be part of your future. But the truth is, one out of three pet owners will face an unexpected expense that causes financial worry, according to the 2022 Lifetime of Care study by Synchrony.1 Since your pet is part of your family, you'll likely want to do whatever you can to help your pet live a long, happy and healthy life.
Investing in pet insurance gives you a safety net so you can afford to follow your veterinarian's recommended treatments for your beloved pet, without wiping you out financially. The right pet insurance plan can also help you stay up-to-date on preventive care, which can help your cat or dog stay healthier longer. Pet insurance truly can make a difference.
Here's a closer look at six benefits that pet insurance coverage can bring to you and your furry loved one.
1. A cushion to budget for unexpected veterinary costs, granting more financial stability
The cost of veterinary care is rising, in part because pets are part of our families and we tend to want only the best care for them.2 Veterinarians seek to provide a gold standard of care for fur babies, but they may struggle to offer discounts to clients because of their own financial burdens (like student loans,3 the cost of equipment, facilities and more).4 This, coupled with inflation and a boom in pet adoptions, has led to the rise in veterinary costs.2
Unfortunately, these costs can catch pet parents by surprise. One year of basic pet care can cost up to $2,487 for cat owners and up to $2,803 for dog owners. And that doesn't even include emergency illnesses and accidents. For one out of every four pet owners, just $250 or less in unexpected expenses can be enough to cause financial issues.1
But the costs can end up being much higher than that, leaving uninsured pet parents debating if they should use their whole life savings to help their pet. According to the 2023 State of the Industry Report by the North American Pet Health Insurance Association (NAPHIA), one of the largest claims paid by insurance in 2022 was $60,882 for a male 2-year-old flat-coated retriever who had pneumonia.5
With pet insurance, it can help you focus on your pet's health instead of the cost, especially if you have a plan with no annual maximum. With comprehensive coverage, your pet insurance can cover surgeries, medications and diagnostic tests for unexpected accidents and illnesses.2 In addition, the younger your pet is when you enroll them in a pet insurance plan, typically the fewer pre-existing conditions they may face that are excluded from coverage.4
Because of this, pet owners may find they have more financial stability by budgeting the cost of pet care over a small monthly premium, rather than having to come up with the money to cover a big surprise expense all at once.6 In 2022, the premium costs for accident and illness insurance averaged out to:5
- Cats: $387.01 a year (about $32.25/month)
- Dogs: $640.04 a year (about $53.34/month)
Even if the deductible is $500, the costs could still come out to a lot less than an emergency vet visit, and can be easier to budget for.
2. Comprehensive coverage for accidents and illnesses
Just like human children, pet children can get sick at a moment's notice. Common symptoms like vomiting and diarrhea can happen for small reasons or be signs of something more serious. Dogs and cats can also develop chronic illnesses like diabetes or cancer or have unexpected accidents like breaking a bone. These can end up costing lots of money, between the vet visits, surgeries, medications and tests.
Unfortunately, 45% of dog owners and 38% of cat owners aren't financially ready for these unexpected costs.1 But they'll likely have to face them at some point.
Here's a closer look at how pet insurance can help you.
According to NAPHIA's 2023 State of the Industry Report, these were some of the top dog and cat insurance claims paid in 2022.5
| Pet | Condition | Total claim paid in 2022 |
| Male 4-year-old mixed breed dog | Wound | $51,922 |
| Female 3-year-old English Bulldog | Pneumonia | $60,215 |
| Male 5-year-old domestic medium-hair cat | Foreign body ingestion | $21,941 |
| Female 12-year-old domestic short-hair cat | Renal failure | $20,154 |
Insurance covered these expenses, which might have been very difficult for pet owners to pay for otherwise.
3. Preventive care and routine veterinary visits
Keeping your pet healthy isn't just about those emergency moments. A vital part of your pet's health involves routine veterinary visits, vaccinations and preventive care.7
Preventive medicine for heartworms, fleas and ticks can guard your pet from more expensive diseases, while vaccinations can save your pet's life. And regular wellness exams can catch diseases early, when they're easier to treat.7
But wellness isn't cheap. Without dental coverage, a dental cleaning can cost an average of $361 for a cat or dog, but may go as high as $1,000. A spay or neuter might run from about $250 to $550. Rabies vaccines are just $25 on average, but all those puppy or kitten vaccines can add up.2
Some pet insurance plans cover vaccines, spays and neuters and other wellness visits too. But to get this, you'll need more than the standard accident and illness plan. You'll need a routine care or wellness plan that's offered as either a stand-alone plan or an add-on to the plan you already have, with an additional cost.8
Pets Best, for example, offers two tiers of wellness plans for cats and dogs that cover:
- Vaccinations
- Preventive medication (flea and tick prevention)
- Teeth cleaning
- Spays and neuters
- Microchipping
- Wellness exams
- Diagnostic panels
4. Tailored coverage to meet your pet's unique needs
Another benefit is that many pet insurance companies let you tailor your coverage based on your pet's breed, age and pre-existing conditions.
How does this customization work? Pets Best, for example, lets you tailor your plan by choosing your deductible, reimbursement level and annual maximum limit. Typically, the higher the maximum limit and the lower the deductible, the higher your monthly premium. This means that you can get a plan that fits within your budget, helping you afford emergency veterinary care no matter where you are financially.
Another example revolves around pre-existing conditions and hereditary conditions, which many plans don't cover. (This is why getting insurance when your pet is younger is such a good idea!) Some plans, however, may have optional riders that cover "curable" pre-existing conditions. For example, if your pet was diagnosed with a respiratory infection, related conditions might be covered after your pet is symptom-free for a year.9
5. More treatment options and plenty of veterinarian choices
With pet insurance, you'll potentially have more treatment options.2 This is because with insurance covering much of the financial liability, you might not have to go for the lowest-cost option to stay within a budget. And pet insurance plans help you worry less about using up all your savings to pay for a sick pet's care. In fact, on average, pet owners with pet insurance can give their pets hundreds of dollars more in veterinary care every year than pet parents without insurance.10
Most pet insurance plans don't require you to visit an in-network veterinarian.4 This means you can choose the veterinarian you want and even go to a specialist if that's your preference. Most plans will reimburse your claim after you pay it, but some will pay your veterinarian directly.11 You'll need to read the fine print to find out how your plan works.
6. Protection against the unexpected
These days, most people have health insurance, car insurance and homeowner's insurance to protect them financially against the unexpected. Pet insurance is no different. Life is unpredictable and pet owners can face challenges: from a cat whose benign cough turns into asthma to a dog who's playing fetch and unexpectedly tears a knee.
But did you know that the unexpected events that pet insurance covers can go beyond accidents and illnesses? An advantage of pet insurance is that it can even cover things like advertising if you lose your pet, boarding fees, pet emergencies requiring vacation cancellation or cremations or burials.9
Pets Best, for example, offers a 24/7 hotline for policyholders, where you can talk to a veterinary expert on the phone if you have a question about your pet's health and aren't sure what to do.
Pet insurance is a wise investment
Investing in pet insurance is a smart way to help proactively safeguard your pet's health and well-being—and help ensure your own peace of mind. You can go for a simple plan that prepares you for unexpected emergencies, or get a wellness add-on that covers preventive care too. Before choosing, explore the different pet insurance options available and find a plan that aligns with your pet's unique needs.
Pets Best can help you keep your dog or cat healthy
Investing in pet insurance can help you to prioritize your pets health, and protect you financially in the long run. At Pets Best, our dog insurance plans and cat insurance plans can be customized for your pet's unique needs. In addition, Pets Best policyholders can speak to a veterinary expert anytime through a 24/7 Pet Helpline.
Sources/Citations
1. "Lifetime of Care Study," (1/2022), Synchrony, http://petlifetimeofcare.com, accessed December 27, 2023.
2. "Veterinary Costs Are Rising: Pet Insurance May Be the Answer," Ashley Kilroy (8/2023), Forbes Advisor, https://www.forbes.com/advisor/pet-insurance/veterinarian-costs-rising/, accessed December 27, 2023.
3. "Most Americans Have Pets. Almost One Third Can't Afford Their Vet Care," Carol Mithers (11/2021), TalkPoverty.org, https://talkpoverty.org/2021/11/12/low-income-veterinary-care-affordability/index.html, accessed December 27, 2023.
4. "Do You Need Pet Insurance?" American Veterinary Medical Association, https://www.avma.org/resources-tools/pet-owners/petcare/do-you-need-pet-insurance, accessed January 10, 2024.
5. "State of the Industry Report: 2023 Highlights," (5/2023), North American Pet Health Insurance Association, https://naphia.org/industry-data/, accessed January 10, 2024.
6. "Is Pet Insurance Worth It?" Brian Vines (8/2023), Consumer Reports, https://www.consumerreports.org/pet-insurance/should-you-buy-pet-insurance-a5630109982/, accessed December 27, 2023.
7. "Why Routine Preventative Care for Your Pet Is Essential," Animal Humane Society, https://www.animalhumanesociety.org/resource/why-routine-preventative-care-your-pet-essential, accessed December 27, 2023.
8. “What Is Pet Insurance and How Does It Work?" Mandy Sleight (7/2023), U.S. News & World Report, https://www.usnews.com/insurance/pet-insurance/what-is-pet-insurance, accessed December 27, 2023.
9. "7 Pet Insurance Perks to Know," Jessica Walrack (2/2023), CBS News, https://www.cbsnews.com/news/pet-insurance-perks-to-know/, accessed December 27, 2023.
10. "Does Pet Health Insurance Make Sense for Clients?" (7/2021), American Veterinary Medical Association, https://www.avma.org/blog/does-pet-health-insurance-make-sense-clients, accessed January 10, 2024.
11. "Do All Vets Take Pet Insurance?" (1/2024), MarketWatch, https://www.marketwatch.com/guides/pet-insurance/do-all-vets-take-pet-insurance/, accessed January 10, 2024.