Pet Insurance

CHAPTER I
Introduction

1.1 What is Pet Insurance?

Page 1
 Pet Insurance

1.1 WHAT IS PET INSURANCE?

Do you have a pet? For sure you are like other pet owners who sincerely and
generously love their pets. Thus, you need to secure a pet insurance. This
insurance product is not very common yet, but it surely is getting more and
more popular as years go by. In fact, many pet owners these days are
securing insurance for their pets. The market for pet insurance products is
rapidly and constantly expanding.
To begin with, a pet insurance is an insurance product that is bought to cover
for a pet’s overall health in case accidents or illnesses happen in the future.
The product is provided so that the pet owner could be able to pay for all the
veterinary expenses in case of possible sickness or accident. It is a fact that
veterinary costs are very high, often much more expensive than actual health
costs of pet owners. This is especially true when pets are of rare or
expensive breeds.
If you have your pet properly insured, you could always rest assured
whatever happens to it. You could shoulder veterinary bills and claim to
refund those expenses in the future. This is very helpful especially these
days when it just much harder to earn money because of the global financial
crisis. Filing for a claim is not very tedious and difficult. That is one of the
reasons why more pet owners are now deciding to insure their beloved
animal companions.
In the past years, insurance policies for pets have broadened to include
coverage for many other possible eventualities. Originally, such products
only cover pet hospitalization. Now, most insurance for pets cover x-rays
and surgery as well. Long-term treatments are also covered, though regular
veterinary checkups are still not. Many products also cover alternative or
complementary therapies. Some even go to the extent of offering advice
lines to the owner so that claims could even be possible in case the pet is
lost.
Thus, many observers note that pet insurance policies pose more advantage
to the pet owners. This is because the animal owners are the one responsible
in case the pets get injured or ill. They would be the ones paying for the
bills. And because as mentioned, veterinary costs are very high, it would be
much of a help for anyone if he would be spared from paying out hefty bills,
especially these trying times.
Veterinary professionals advise all pet owners to invest in pet insurance
policies. This is because doing so could help treat and care for the animal in
Page 2
 Pet Insurance

accordance to what is best for such companion animals. It is also ideal

because pet owners should make sure pets are given specific and necessary
treatment, not according to what is afforded. Thus, insurance for pets should
only cover circumstances that owners should be thinking about prior to or
during pet ownership.
What’s more? Several pet insurance policies even offer third-party coverage
so that you could even file for claims in case your animal companion incurs
injury to others or damage to other people’s properties, which should be
shouldered by the pet owner in most instances. Even pet boarding expenses
during hospitalization and even holiday cancellation bills are covered by
some products.
Most insurance policies cover pets in their lifetime, while some cover just a
few years.
Taking out a veterinary pet insurance for your cat or dog will help you to
make sure that your pet can and will be taken care of in the event of an
unexpected emergency requiring treatment by a vet. Pet health insurance
enables you to take an animal to the vet even when you might be in a
position where you might not have sufficient funds to afford it.

You can take out a pet insurance for any kind of cat or dog, and sometimes
even for other, smaller, animals such as birds, rats and hamsters.

www.petsalley.com

Page 3
 Pet Insurance

Chapter II
Why do you need Pet
Insurance?

2.1 Peace of Mind

2.2 Responsible Care
2.3 Financing your Pet’s Health
2.4 Avoiding Difficult Decision
2.5 Planning for the Future
2.6 Advantages n Disadvantages of Pet Insurance

Page 4
 Pet Insurance

WHY DO YOU NEED PET INSURANCE?

Did you know that the average costs of veterinary treatment have more than
doubled in the past ten years? And that costs for certain kinds of treatments,
including surgery, chemotherapy and even routine preventive procedures,
have risen even faster? The costs of keeping your pets healthy – or even
saving their lives – have never been higher.

Consider these facts about pet health care:

 There are roughly 6 million new cancer diagnoses made in dogs and a
similar number in cats made each year.
 88% of dog owners and 63% of cat owners took their pet to the
veterinarian at least once in the past 12 months.
 The average number of visits to the veterinarian each year is 2.8 for
dogs and 2.3 for cats.
 The most common reason for veterinary visits for dogs and cats is
routine care, which includes physical exams, vaccines, dental work
and other related services. These routine visits, on average, cost dog
owners $211 each year and cat owners $179 each year.
 In addition to routine care, dog and cat owners spend an average of
$574 and $334 each year, respectively, on surgical veterinary visits
for various illnesses and injuries.

Unfortunately, you never know when your pets may experience an injury or
illness. But with a Pets health Care Plan, you won’t have to put a price tag
on their life. You can even choose a plan that reimburses you for routine
preventive treatments like dental cleanings and vaccinations.

2.1 Peace of Mind

No one plans on their pet getting sick or being in an accident. With Pet plan,
you don't have to worry about being faced with unexpected medical bills.
You will be able to provide the best possible care for your pet when the
unexpected happens.

Page 5
 Pet Insurance

2.2 Responsible Care

In many European countries - like the UK and Sweden - insuring your pet is
just as common as insuring your home or car. It's second nature. Today,
responsible pet ownership about more than loves them - it means being able
to provide the right environment, stimulation, lifestyle, exercise and activity
levels, nutrition and health care for your pet.

2.3 Financing Your Pet's Health

We all have the best intentions when it comes to saving money for
emergencies, however it seems like something always comes up and we're
back to square one.

Our Cover for Life plans for dogs and cats are like an emergency fund that
never runs out!

Pet insurance is a way to budget and control the cost of keeping your pet
healthy. You'll always know your monthly costs so you won't be caught
unprepared in the case of an emergency. You'll be free to provide your pet
with your love and attention in times of need.

2.4 Avoiding Difficult Decisions

Did you know that many pets do not receive potentially life-saving
treatments because the cost is too great for the owners to bear?

Pet insurance allows you to provide your pet with the best possible care.
Decisions regarding treatment are no longer complicated by financial
restrictions. Treatments that may otherwise be unattainable can be provided
without a second thought. Your primary concern becomes the health of your
pet, not the cost of care.

Page 6
 Pet Insurance

2.5 Planning for the Future

When you insure your pets before they develop health problems, you are
completely covered if they develop anything in the future.

With Pet plan, your pets will be covered for any conditions that do not exist
before enrolling or that arise after the waiting period.

Don't be caught unprotected. Insure your pets before anything happens.

Protection from the Unexpected

When people choose their dog or cat, they often plan for how compatible
that species or breed will be with their lifestyle.
However, few people budget for the common illnesses and medical
problems associated with their pet's type or breed, or for the additional
accidents or mishaps that occur over the course of an average pet's life;
things like ear infections, fights with other pets and swallowing foreign
objects.
Pet insurance is your way of preparing for the costs of these unexpected
occurrences, so you can go on with your life as quickly and easily as
possible

2.6 Advantages and Disadvantages of Pet Insurance

There are many reasons to insure a pet, depending on the reason why you
decided to get a pet and possibly opt for a pet medical insurance in the first
place.
Advantages to Insuring Your Pet
1. You always have the security of being able to provide your pet with
proper medical care and you will be avoid to get and pay for treatment.

2. When other people are looking after your dog they don’t have to hesitate
to take the animal to the vet if they think that something might be wrong
with the animals.

3. You won’t have to fork out a huge sum of money if your pet has an
accident and needs medical assistance or surgery.

Page 7
 Pet Insurance

Disadvantages to Insuring Your Pet

1. You have to pay a monthly fee, even if you don’t need to take your pet to
see the vet.

2. A pet insurance company will hardly ever reimburse you with 100% of
the total amount that needs to be paid for your pet’s treatment. Usually
companies only pay out 80%.

3. An insurance repaying annual checkups visits and surgery and other

medical care can be expensive.

www.petinsuranceplans.com

Page 8
 Pet Insurance

CHAPTER III
How Does Pet Insurance
Works?

3.1 Step 1: Get a Policy

3.2 Step 2: The Waiting Period
3.3 Step 3: Making a Claim
3.4 Step 4: You Receive Your Claim Check

Page 9
 Pet Insurance

How Does Pet Insurance Work?

Pet insurance is actually quite flexible. All pet insurance companies in the
United States permit you to visit any veterinarian in the country including
emergency veterinarians and specialists. Some pet insurance companies,
including Embrace, will even cover you in Canada, Mexico, and other parts
of the world when you are on vacation.

Pet insurance is what is known as a indemnity insurance where you pay the
claim up front and the company reimburses you after applying your
deductible and co-pay, until you reach your policy's annual or lifetime
maximum.

3.1 Step 1: Get a Policy

Most pet insurance companies will issue a new policy to pets aged 8 weeks
to up to 8 or even 10 years old, sometimes older if your pet undergoes a
medical exam. Usually there is a waiting period and some pre-existing
conditions may be excluded temporarily or permanently from your policy.

3.2 Step 2: The Waiting Period

The waiting period is the time between when you first sign up for pet
insurance and when your full coverage kicks in. For example, if you sign up
and begin coverage on March 1st then your waiting period for accidents may
be two or three days after, say March 3rd, and for illnesses as long as 4
weeks later, say March 31st.

Most pet insurance companies have a waiting period of 48 hours for

accidents and between 14 and 30 days for illnesses. The waiting period is
there so that no one takes out insurance immediately after an accident or
illness.

The waiting period only applies in your first policy year, after that there is
no waiting period on your pet insurance.

Page 10
 Pet Insurance

3.3 Step 3: Making a Claim

Once you've gone to the veterinarian, you pay the bill and fill out a claim
form that your veterinarian signs. You fax or mail this form in to the pet
insurance company along with your paid and itemized veterinary bill.

Some pet parents wonder why the pet insurance company can't reimburse
the veterinarian directly like in human health insurance.

The main reason is that pet insurance is a very, very small industry
compared to human health insurance. The computer systems aren't in place
that would allow direct reimbursement to the veterinarian and these
networks are incredibly expensive to build. However many companies,
including Embrace, can and do make exceptions to this but these must be
arranged between you, your veterinarian, and the pet insurance company on
a case-by-case basis.

3.4 Step 4: You Receive Your Claim Check

Once you've sent in your claim form, it is assessed and you usually receive a
check or direct deposit back into your account minus any deductible or co-
pay that apply to your policy, until you reach your policy's annual
maximum.

If you paid for additional coverage’s like routine care or prescription drugs
then these will be reimbursed on your claim too according to your pet
insurance plan's limits.

Page 11
 Pet Insurance

www.infiniteadvice.com

CHAPTER IV
How Did Pet Insurance
Companies Get Started?

Page 12
 Pet Insurance

4.1 How Did Pet Health Insurance Companies Get Started?

Pet health insurance companies got their start in 1982 when a company
called Veterinary Pet Insurance sold a policy to help protect the health and
welfare of one of the world’s most famous pets, Lassie. Pet health insurance
companies actually started as a response to the notion that good people were
forced to put pets to sleep over curable conditions because those curable
conditions cost too much money to get treated. It just seemed natural to the
700 veterinarians that helped to start that first pet health insurance company
Veterinary Pet Insurance. People have people insurance companies so why
can’t pets have pet health insurance companies? The idea of pet health
insurance companies blossomed from there.

Pet health insurance companies found the initial year’s rough going as pet
owners just did not see the need to invest in pet insurance for their pets’
health. The idea of pet health insurance companies actually did cross the big
pond and make its way to England and it grew to the point where now the
United States and England go hand in hand with offering pet health
insurance for pets. But in the early days customers just did not see the
importance. The idea initially caught on with some larger insurance
companies like Firemen’s Fund who tried to sell pet insurance but closed
their pet insurance division in 1994 because they had sold less than 10,000
policies in 3 years. The only surviving pet health insurance company was
Veterinary Pet Insurance and they somehow managed to make it through a
time when other pet health insurance companies were opening and then
closing within a twelve-month period.

Getting Some Big Names Involved Helped

In the late 1990’s Procter & Gamble finally started to get involved with pet
health insurance companies through their pet food division, Iams, and soon
other pet insurance providers started to break through and make a stand in
the industry. In 1997 Rhona Sutter established the Pet Protect Company and
Russell Smith III started the Hartville Group. Both companies were started
by people with extensive experience in the insurance industry and both
started with very low key marketing plans and relied more on the push being
offered by pet supplies companies than trying to over do any marketing plan.

Page 13
 Pet Insurance

The idea was working and started catching on with people all throughout the
United States and England.

In 2006 Pet Protect had to close their doors but the Hartville Group and
Veterinary Pet Insurance are still going strong. There have been very few
companies that have tried to sell pet insurance in the past thirty years with
only about seven companies opening and closing since 1982. But more
companies are starting to make a go of it in the pet insurance field and the
hope is that people will see that there is more support for the idea of pet
insurance and they will get on board with it.

Page 14
 Pet Insurance

www.infiniteadvice.com

CHAPTER V
Types of Pet Insurance

5.1 Pet Health Insurance

5.2 Pet Liability Insurance

Page 15
 Pet Insurance

TYPES OF PET INSURANCE

To many families a pet can bring love, companionship and security to a
home.  And with this relationship comes a responsibility on behalf of the pet
owner to provide for their pet's proper veterinary care - whether it's a routine
check up or emergency care.  That's where pet insurance comes into play.
In fact, we're going to talk about two types of pet insurance that all pet
owners should seriously consider - pet health insurance and pet liability
insurance.  We're also going to discuss each of these two types of pet
insurance separately and for a very practical reason.  Pet liability insurance
is often included as part of your homeowner's insurance policy and pet
health care insurance carriers specialize in the medical care / veterinarian
segment of the insurance industry.

5.1 Pet Health Insurance

Regardless of whether you've purchased your pet from an expert breeder or
adopted from a local center, all pets should see a veterinarian for an initial
examination.  These initial visits can run anywhere from $50 to $250
depending on where you live and the extent of the medical services
provided.
Most pets will then require regularly scheduled follow up visits to a
veterinarian as part of a well-care program that includes vaccinations,
immunizations as well as routine medical examinations.  The point here is
that the costs of providing routine pet health care can add up.  If you add to
this the unplanned costs that can occur from accidents and illnesses you
quickly realize why there is a steady and growing demand for health
insurance that covers pets.
Pet Health Care Coverage
To protect themselves from the high cost of pet care, many owners are
turning to pet health insurance plans or pet health care coverage.  These
insurance plans cover both the costs of routine health care as well as the
costs for medical care administered due to illness.

Page 16
 Pet Insurance

Typical health care coverage for your pet included in this type of insurance
includes:

 Routine and emergency veterinarian office visits

 Pet hospitalization
 Prescription medications
 Diagnostic medical tests
 X-ray examinations
 Surgeries
 Heartworm Protection
 Spaying and Neutering
 Laboratory fees
 Vaccines and immunizations
Selecting Pet Insurance
Whenever you're considering buying insurance you need to make sure you
read all the fine print when comparing policies.  As is the case with other
types of insurance, pet health care insurance policies typically include:
 Annual Spending Caps - while some heath care policies carry
lifetime maximums or caps on payments made, pet insurance often carries
annual spending caps.
 Deductibles and Co payments - you'll find that pet insurance
typically comes with deductibles or copayments that are higher than you
might be used to seeing with an HMO.  For example, pet heath care
insurance carriers may charge deductibles in the area of $50 per visit.
You'll find that the best pet insurance carriers will clearly spell out the terms
and conditions of the policies they have to offer.  Make sure you understand
the details of any policy before you start paying your monthly premiums.
Pet Health Care Insurance Cost
If you think pet health care insurance is too expensive, you might be
pleasantly surprised to find the monthly insurance premiums are pretty
reasonable.  A quick stop to VIP Pet Insurance allowed us to obtain health
insurance quotations for both a dog and a cat.

Page 17
 Pet Insurance

Example Pet Insurance Costs

Costs will vary according to the plan selected, but typical health insurance
premiums for a dog will be around $32 / month, while health care insurance
premiums for a cat are in the range of $25 / month.
Keep in mind that these premium quotes are for what's assumed to be a
relatively young and healthy dog or cat.  It may be expensive or impractical
to obtain health care insurance for animals with pre-existing health
conditions.

5.2 Pet Liability Insurance

The second type of pet insurance we're going to discuss has to do with pet
liability insurance.  Every pet owner, especially dog owners, needs to
carefully consider purchasing liability insurance for several very good
reasons.
The first and foremost reason for considering this type of insurance has to do
with the simple fact that dogs do bite.  Each year, nearly five million people
in the US along are bitten by dogs.  And the liability payments associated
with these accidents now approach one billion dollars annually.
The second reason for carrying this type of pet insurance is because it helps
to protect those that are around the pet most frequently.  That means
protecting friends and relatives from the expense associated with a dog-
related injury.
Finding Pet Liability Insurance
In the past, it was pretty easy to find pet liability insurance.  Typical renters
and homeowners insurance policies provide victims of dog bites with
$100,000 in coverage.  However, the insurance industry has been slowly
moving away from providing this type of pet insurance automatically within
a homeowner's policy.
Today's new insurance policies may actually exclude bites and injuries
caused by dogs - while other insurance carriers are beginning to eliminate
this coverage from their existing policies.  In addition, a more common
tactic of an insurance company might be to identify certain breeds of dogs

Page 18
 Pet Insurance

that have been associated with these types of injuries and excluding them
from coverage.
The bottom line here is that pet owners, especially dog owners, should make
sure their insurance policy provides them with the protection they need.  If
you own a dog and your existing insurance policy explicitly denies this
liability coverage, then you may want to switch to an insurance carrier that
does provide you with this coverage.
Finally, we're going to finish up with the same warning we gave earlier
when talking about pet heath care insurance policies - read your policies so
that you have a good understanding of what's covered and what's not
covered.  You don't ever want to be surprised when you're filing an
insurance claim.

What Is Pet Liability Insurance And Who Needs It?

Even if they seem sweet and docile, any pet can suddenly turn on a passerby,
house guest, or family member, causing severe injury or even death, to the
victim. Because pets are unpredictable, every pet owner should purchase pet
liability insurance. These liability policies minimize the financial risk pet
owner’s face when their pet becomes violent toward people or destructive to
property. The pet owner with liability insurance protects not just himself or
herself, but also the potential victims.
Why Carry Pet Liability Insurance?
Pets are simply unpredictable. Pet liability insurance covers the cost of
damage, injury or death caused by their pet. Dog bites are the most common
claim, with nearly a million dog bites reported around the US last year alone.
This is vital, as most states will hold the dog owner liable for the cost of
injuries done to individuals or property by a dog, with the exception of
trespassers.

How Does Liability Pet Insurance Work?

If you are a homeowner, generally, your homeowner’s insurance provides
some coverage for damage done by pets to others and their property, but
companies are beginning to drop this stipulation due to the increase of
claims as well as the increased popularity of pets that happen to be prone to
destructive behavior. Homeowner’s insurance companies will often list the
breeds of dog and types of animal that they will not cover. If you own one of

Page 19
 Pet Insurance

these breeds of dog, or any other breed listed by your insurance company as
a dangerous breed, looking into a pet liability insurance policy is necessary
in the event that they become violent or destructive.
What It Covers
What It Covers Pet liability insurance covers the cost of injuries to third
parties caused by a pet? This includes bites and attacks to third parties
legally on homeowner’s premises, as well as in some cases property damage
caused by your pet. Generally, the policy will have a maximum benefit in a
specific dollar amount.
What It Does Not Cover
What It Does not Cover The pet owner with liability insurance is still
answerable to the legal system. Owners in the majority of states can be
subject to criminal proceedings if they know their dog has a tendency toward
violent behavior. Just because you are insured does not mean you won’t be
fined or jailed in the event your animal causes severe injury or death.
Can I Be Denied Pet Liability Insurance?
If your dog has a history of attacking, has bitten before, or is a member of a
violent breed, you might have difficulty getting insurance liability for your
pet, if not outright denied. Chances are, if your pet has a bad history of
violence, the legal system will step in eventually. If not, however, there are
several things you can do as a pet owner to improve your chances of
obtaining for your dog or liability pet insurance.
 Sign up your pet for obedience training—certificates can be sent to
insurance companies.

 Neuter males to curb aggression—male animals generally calm down

after the procedure.

 Fence in your property—preventative measures will keep potential

victims out of harm’s way.

 Keep the animal on a leash when outdoors—reduce the animal’s

ability to bolt after someone or something.
All of these can be observed and proved easily to an insurance company,
improving your chances of getting insurance for your pet. Also, maintaining
contact with your neighbors about your pet, as well as disallowing children
any time alone with the animals, gives you better chances of insuring your

Page 20
 Pet Insurance

pet, especially if they are difficult to insure.

Being a responsible pet owner should be the most important thing to pet
owners, especially those owning potentially dangerous animals.

CHAPTER VI
How to Buy Pet Insurance?

6.1 Do Your Homework

6.2 Find an Agent
6.3 Discuss the Options and Ask Questions
6.4 Complete the Requirements

Page 21
 Pet Insurance

How to Buy Pet Insurance?

With more and more people wanting to answer their paternal and maternal
instincts by owning pets, the need for a more comprehensive coverage on
pets’ health and life have become more urgent. This is perhaps why the
number of pet insurance products in the market has tripled in recent years.
This gives pet owners more options when choosing the right pet insurance
product for their animal loved ones.
If you are one of those pet owners who have not bought a pet insurance yet,
it will be a good idea for you to read this article. We will tell you the steps
that you need to take in buying pet insurance.

6.1 Do your homework

This means that before you buy a pet insurance or even contact an agent, you
need to prepare yourself and read about insurance policies and their features.
The internet is one of the most important sources of information. Most
insurance companies will have websites where you will find the products
that they are offering along with their company profiles and services offered.
It will also be a good idea to talk to other pet owners who have also bought
insurance for their pets. Their experience will be a big help to you. Ask them
for recommendations on great deals in pet insurance and also advice on what
to look for.

6.2 Find an agent

One of the most important things that you need to do is to find an insurance
agent that you know you can trust. You can ask your family and your friends
for recommendations. This is vital because you need someone who will put
your interest first and your pets before their own self-interests. You see these
insurance agents earn a commission for every pet insurance that they sell.

Page 22
 Pet Insurance

6.3 Discuss the options and ask questions

Never be afraid to ask questions. If there are things in the policy and the
features of the product that you don’t understand, never be afraid to ask.
Understanding the policy will allow you to choose wisely and in turn get a
great deal. When buying a pet insurance, you need to take into consideration
the duration of the coverage. Will you buy something that will cover your
pet’s who lifetime or will something that you can renew annually suffice?
This will largely depend on your budget and your pet’s condition. Another
feature is the amount of coverage. Depending on how sickly your pet is, you
need to choose the maximum amount that your pet will be covered. Other
important things that you should consider are when the insurance policy will
be covered and also if the policy will also cover vaccinations and shots.
Some will be starting a month after you signed the contract.

6.4 Complete all requirements

Once you finally have finally decided on the kind of pet insurance that you
will be getting, the next step is to make the payment and accomplish all the
requirements. You need to make sure that all your requirements are in order.
Otherwise, you may have problem when it is time to reimburse the payments
that you have made. That is actually one of the things that you have to look
into.
Because payments are reimbursed, this means that you need to have the
money first to pay the hospital. Otherwise, you will also not be entertained
even with an insurance policy.

Page 23
 Pet Insurance

www.money-zine.com

CHAPTER VII
Factors to Consider Before
You Buy Pet Insurance

7.1 Consider the Type of Animal

7.2 Asses the Animals Age
7.3 Value of Pet Should Always Be Considered
7.4 Capacity to Pay Should Not Be Overlooked

Page 24
 Pet Insurance

Factors to Consider Before You Buy Pet Insurance

If you have own a pet, you should make sure it is insured. Pet insurance
policies are now considered as necessities. That is because no pet owner
could tell whether the animal would not be spared from any illness or
accident in the future. Insurance products for pets are designed and made to
help owners shoulder veterinary expenses for costly hospitalizations,
confinements, surgeries, and x-rays of the companion animals in the future.
It is a fact that healthcare of pets is very expensive, sometimes costlier than
human healthcare.
It helps if you are sure you would not have to worry much about whether
you would have enough money in case inevitable accidents and illnesses hit
your pet. However, you have to make sure your pet insurance policy is
appropriate and has a broad coverage. Before you buy any insurance product
for your pet, make sure you take note of the following factors first.

7.1 Consider the type of animal

It is best to invest in a pet insurance policy if you own a cat, a horse, or a
dog as these animals are usually falling ill and sometimes need medical
attention. A hamster or a gerbil may not need insurance because it is not
likely to require veterinary or medical attention. Such animals are usually
just confined within the cage, thus, there could be no accident. Life
expectancy is also just about three years. Pets that are exotic and are rare
should take more expensive insurance policies with greater premiums.

7.2 Assess the animal’s age

Take note that there are age limits observed for pet insurance products. In
general, some insurers would not accept insurance applications for pets that
are already exceeding a specific age. If your pet is about five to 10 years old,
it may not already be qualified for some ideal pet insurance products.

Page 25
 Pet Insurance

Many insurance products for pets cover the animals in their lifetime, while
others only provide insurance for just several years. Also check terms and
conditions so you would know what adjustments are made in the premiums
as your pet ages further. Coverage for older pets are more expensive, so it is
best to buy a policy the moment you the pet is born or bought.
Pedigree pets are logically requiring more expensive insurance products
compared to cross breeds. Experts say this is because costs of owning and
maintaining a pedigree pet are high due to significant veterinary bills. These
animals are also more prone to hereditary conditions, thus their higher vet
bills. Selective breeding could require much higher insurance policies also
due to the involved hereditary conditions. The best advice experts give to pet
owners is to immediately buy an appropriate policy as soon as the pet is
owned.

7.3 Value of the pet should always be considered

Your pet needs insurance if it is expensive. Take note that policies could
also cover pet replacement in case the animal is lost. Thus, the more
expensive the pet is, the more costly the insurance company would pay.
 
7.4 Capacity to pay should not be overlooked
If you think the policies are costly, you could opt for the cheaper ones.
Remember that without a pet insurance you would incur more expenses in
the future in case the animal figures into an accident or fall very ill.

Page 26
 Pet Insurance

www.money-zine.com

CHAPTER VIII
Things That You Need To
Do When Buying a Pet
Insurance

8.1 Ask People for Recommendations

8.2 Have Your Pet Checked
8.3 Choose a Reputable Company

Page 27
 Pet Insurance

Things That You Need To Do When Buying a Pet Insurance

Pet insurance is very important. You may not realize it early on but it will
dawn on you once your pet starts to visit the veterinarian every week and
you start to rack up the bills. And like the medical expenses of humans,
clinic bills for your pets are not inexpensive. They can be a burden for you
especially if you don’t have the budget for it.

It is actually for those who do not have the emergency money that pet
insurance are for. It is important that you also take care of these expenses
whether or not your pet is sickly. This is because as they grow older, they
will get sick and a veterinarian needs to attend to them.
There are two kinds of pet insurance policy. One is the one that will cover
your pet in his or her own lifetime while the other one is a policy that will
only cover an animal for a specific period of time. You need to decide on
what to purchase for your pet. It will depend on your budget of course and
also the personality and health of your pets.
But before you purchase your pet insurance, you need to make sure that you
do all these things. That way, you will have a better deal, a great deal for
your pet. Here are some of them.

8.1 Ask people for recommendations

If you really want to get the sweetest deal you can find, ask people what they
think. Ask pet owners their recommendations. They will surely know some
of the best pet insurance products in the market today. With hundreds of pet
insurance products about their coming from different companies, you need
advice on how to choose the very best of them.
If you are going to ask for recommendations, make sure that you also ask pet
owners who have had their pet insurance for a long time. That way, you can
be sure that what they will be sharing with you are things that they have

Page 28
 Pet Insurance

actually experienced. Also, ask them anything about the policies. They will
be able to tell you and explain to you in great detail than maybe someone
who is selling the pet insurance.

8.2 Have your pet checked

Although it is important that you purchase a pet insurance for your pet, if
you do not have the budget for it, why do so? Before you buy one, have your
pet checked. Is he someone who can potentially have a health problem? Is he
sickly? Is he prone to having accidents? Is he an animal who needs
numerous check-ups every year? These are the things that you need to know
before buying that insurance. Also, check if he had already completed all his
shots and vaccines before you bought him or before he was given to you. If
you got him from an animal shelter, all the more that you should have him
checked, especially his shots.

8.3 Choose a reputable company

As much as you can, purchase a pet insurance from an insurance company

that you know will not fold overnight. This is important because you will
never know when your pet will get sick and you need to make sure that
when that happens, the company still exists.

Page 29
 Pet Insurance

www.money-zine.com

CHAPTER IX
Various Reasons for
Getting a Pet Insurance

Page 30
 Pet Insurance

Various Reasons for Getting a Pet Insurance

Pets are not just animals that we take care of just because they entertain us.
Pets are our companions. For some people, they are indispensable members
of the family. As pet owners, we are not just responsible in giving them
food. It is our responsibility to make sure that they would be living a long
and healthy life. Pet insurance is something that would ensure we are doing
our responsibilities.
There are different situations that would call for a pet insurance. Pets get
sick often, with a pet insurance we get to know and carry out the best option
to save our pet’s life. Pet owners can get overwhelmed by the cost of pet
medication. A simple health problem like a fracture could cost about $2,000.
This is something you cannot pay immediately, unless you would have a pet
fund allocated for this kind of emergencies.
Another overwhelming fact is that the trips to the vet are getting more and
more expensive. Faster than your wage increase. Most of us think that
getting a pet insurance is very expensive. There are pet insurance companies
which offer good coverage but do not have to cost too much.
Pet insurance became accessible to consumers in the United States in 1982.
In the span of 27 years, the pet insurance company underwent rocky times.
There used to be about 30 companies before, currently, there are 10
companies in the United States as well as in other countries like Canada and
countries in Europe. Shockingly, United States residents are not into getting
pet insurances. Only 3% of pet owners in the United States got insurance for
their animal companions. That is low compared with the 19% in England
and 49% in Sweden.
Pet insurances operate the way insurances for people do. There are flexible
insurance plans which enable the pet owner to get the desired veterinarian.
However, just like in insurances for people, there are also conditions or fine
print that could be a problem when claiming insurance benefits. Because of

Page 31
 Pet Insurance

this, even if it is your pet’s insurance policy, you would still need to analyze
and read the agreement and policies well. This would ensure that your pet’s
well-being would not be compromised in the future.
The cost of getting a pet insurance depends on different factors. Dogs and
cats do not cost the same. It could depend on the breed and the location.
There are some breeds of animals that have genetic problems. Your four-
legged friends are not the only one that could get pet insurance, birds and
exotic animals like reptiles could also be covered with insurance.
Pet insurance would normally cover accidents, illnesses, scans and x-rays,
surgeries, cancer treatments, hospitalization and prescription medicines.
Regular insurances would not cover vaccinations, examinations, and spray
or neuter. But if you prefer to have this part of the policy, then you could get
premium plans. Accidents would include ingestion of poison, laceration,
fractures, falls and vehicular accidents. Not everything is covered by the pet
insurance, like congenital diseases or pre-existing health problems. It is a
must to look out for fine print when choosing your pet insurance.
Those owners who have expensive pets are advised to get pet insurances for
them. There are situations when maintaining your pet’s health becomes more
expensive that the pet itself. But just because there are people telling you to
buy insurance, you don’t just jump into the water. It is best to choose wisely
and take your time before making any kinds of decision. Remember that this
is about your companion’s life.

Page 32
 Pet Insurance

www.doughroller.net

CHAPTER X
AVIVA Pet Insurance

Page 33
 Pet Insurance

AVIVA PET INSURANCE

What are the different levels of cover?

Aviva pet insurance is available in three different levels of cover:
Silver, Gold and Platinum.

Will Aviva insure animals other than dogs or cats?

No, Aviva only insures pet cats and dogs.

What will happen when my pet reaches old age?

Your cat or dog will continue to be insured for the cost of vet’s fees
for treatment of illness and injury for as long as you renew the policy
and pay the premium - no matter what age he or she reaches (cover for
death caused by accident or illness only applies to pets aged under 9
years (dogs) or under 11 years (cats) at the start of the policy).

Will Aviva pay my vet direct?

With your permission, we will pay your vet directly for the treatment
required.

Can I insure a dog or cat of any age?

Your pet can be insured from the age of eight weeks. There is no
upper age limit when claiming for vet’s fees with Aviva pet insurance
(excluding death by accident or illness).

Does Aviva pet insurance have a no claims discount?

Page 34
 Pet Insurance

We want to ensure that pet owners are not discouraged from making a
claim if the need arises, so we don’t operate a no claims discount
system. Your pet insurance premiums are calculated according to
various factors.

I have more than one pet – can I insure them on the same
policy?
We can only insure one pet per policy, but you will receive a 10%
discount for each additional Aviva pet insurance policy you purchase.

Will I be covered for medical problems my pet has suffered in

the past?
Pre-existing conditions (i.e. health/medical problems that have
affected, or are currently affecting, your pet) cannot be covered when
you take out a new pet insurance policy.

Will my pet be covered if I take him/her on holiday with me?

Aviva pet insurance automatically covers your pet in countries
participating in the PETS Pet Travel Scheme (excluding non-EU and
long-haul countries as defined by DEFRA) for up to six months in any
one period of insurance (12 months).

The PETS Pet Travel Scheme allows owners to take their pets to
participating European Union countries (plus Eire) without having to
quarantine them; you can read more about the scheme on the DEFRA
website.

What’s the excess on my pet insurance?

The vet’s fees excess is £75 per condition per year.

Is dental treatment covered?

Page 35
 Pet Insurance

Dental treatment required as the result of an accident is covered;

routine procedures, preventative treatment and dentistry needed due to
illness is excluded from the policy.

If my pet requires ongoing treatment, do I need to wait until

the treatment has finished before I can make a claim?
No, you can make a claim as soon as the treatment for the first new (i.e. not
pre- existing) illness occurs after the exclusion period, or straight away if an
accident. You can continue to make claims until the limit for that insurance
period (12 months, or the maximum payout limit) is reached.

How can I pay for my Aviva pet insurance policy?

You can pay for your policy each year securely by credit or debit card, or
monthly by Direct Debit.

Can I insure a working dog?

Sheepdogs, gun dogs, dogs for the blind and other assistance dogs can be
insured with Aviva, as long as the policyholder is the owner of the dog.
Dogs that are used for commercial, guard, security or racing purposes cannot
be covered.

Are there any types of dogs or cats which Aviva cannot insure?
Aviva cannot insure:

 Any dog that is required to be registered under the Dangerous Dogs

Act 1991 and the Dangerous Dogs Act (Northern Ireland) order 1991.
 Dogs that are used for guard security, racing or commercial purposes
except for sheepdogs, gun dogs and dogs for the blind.

Page 36
 Pet Insurance

www.avivalifeinsurance.com

Eight Reasons You Need Pet Insurance

1 - No Need to Decide Under Emotional Stress

If your pet suddenly falls sick or is injured, the last thing you want to worry
about is having to make a tradeoff between what you feel is right and what
you can afford. Pet insurance allows you to avoid life-or-money decisions
like these.

2 - Pets Can Get Sick Any Time

Young dogs eat stuff they shouldn't, indoor cats don't get enough exercise
and can become overweight and unhealthy, older pets get arthritis and high
blood pressure. Stuff like this happens; you can't really plan for it.

3 - Do What Is Right, Not What You Can Afford

When you are discussing treatment options with your veterinarian, you want
to focus on doing the right thing, not the cost. Pet insurance helps you do
that.

4 - Seemingly Simple Things Can Cost Thousands

A simple fracture can cost $2,000 or $3,000 to repair. Could you pay this if
it happened today?

5 - You Have How Much Saved Up?

You keep saying you want to set aside an emergency fund for veterinary
bills ... how much have you saved up so far?

6 - Vet Costs Rising Faster Than Your Wages

Page 37
 Pet Insurance

Veterinary care is expensive and continues to get more expensive as it

becomes more sophisticated. The statistics say that our wages are having
trouble keeping up.

7 - It's Not Expensive

Pet insurance that is designed properly can help you plan for life's
unexpected turns and be inexpensive too.

8 - Because They Would Do It for You

The unconditional love your pet shows you every day tells you.

Page 38
 Pet Insurance

www.petinsurancetips.com

ARTICLES

Advertising Your Pet Health Insurance Company

In any business, one thing that you must not forget about is the importance
of advertising. This holds true even if you are running a pet health insurance
business. The idea here is to let as many people know about you.

You must take extra care to come up with marketing tools periodically. Once
you started to advertise, you should not stop all of a sudden. If the financial
aspect is your biggest dilemma, you must know that you have a lot of
options when it comes to marketing and not all those have a price tag of
gold.

In fact, as the business of pet health insurance is booming, so does the

industry of printing. The print medium has become the popular choice for
business people in order to come up with marketing tools that can help them
carry out their goals while staying within a specified budget. You actually
have a lot of options when it comes to this. You can settle for direct mailing
pieces like postcards, catalogs and brochures. You can also have flyers or
company newsletters.

But if you want to try the large format route in terms of print ads, one of the
most popular choice among the materials available are posters. The vast
space of posters can be filled with everything that you want to tell your
audience in a manner that they will be interested with what you are saying.

If you think that this can help you carry out your marketing goals, you must
remember the following steps in order to come up with effective posters.
Page 39
 Pet Insurance

1. Your poster must be focused. What does this mean? Given the fact that
you have a lot to say, you must choose what’s the most important for you at
the moment. Highlight that factor on your poster’s design and the delivery of
your message. You can have this done after a time and choose another
message. But do not commit the mistake of saying everything all at once.
People may not understand what you are trying to tell them. As a result,
instead of capturing their attention, they might get easily turned off.

2. Use graphics on your materials. Take advantage of the poster’s size to

come up with the kind of design that will appeal to your target market. You
can hire a professional to accomplish this for you. But you must tell them
what it is that you want to impart to your audience. What do you want them
to feel upon seeing your poster? From such ideas, your graphic designer can
create variations of designs that you can choose from.

Do not get lost with the process though. You must not forget to include the
vital elements about you on your posters. These are your contact details,
your company name and your company logo. These three must be uniform
with all the other tools that you have used before or that you are planning to
use in the future.

3. Use colors. This will add more life to your posters. You must aim for the
eyes of your target market. And once you’ve got them, those eyes must
linger on your materials until they have understood what you are trying to
say.

After doing the abovementioned for your posters printing venture, you must
seek out the services of the right printing company to process your materials.
With all the right elements well taken care of, your posters will surely help
boost your pet health insurance business.

Page 40
 Pet Insurance

www.dogtips.net

CONCLUSION

Pet insurance is slowly but surely catching up in India. Pet insurance

schemes essentially pay for the veterinary costs in case one’s pet falls sick or
suffers an accident or injury. Some pet plan insurance products also make
payments for loss or death of the insured pet.

Pet medical insurance is essentially a risk mitigation strategy for guarding

against significant medical expenditure for treatment of sick or injured pets.
With the recent developments in the field of veterinary medicine the life
expectancy of pets has increased, so did the cost of medical treatment. This
has widened the market for pet insurance. Nowadays customized pet plan
insurance programs are available for animals like cats and dogs.

Pet care insurance in India is still at a nascent stage. Most of the clients
come from the super rich sections of society. However, the insurers foresee a
huge untapped potential in this sector, in the coming years. Pet insurers put
the number of pets at over 4 million, counted across Rs 400 corers. Industry
insiders in India expect pet insurance business to boom with the increased
public awareness about the concerned schemes.

Oriental insurance, a premier Indian insurance company, provides insurance

for dogs, horses and elephants. Currently the other key players in the Indian
pet insurance market are United India Insurance Co, National Insurance Co,
Bajaj Allianz General Insurance and New India Assurance Co.

Usually the premium for pet insurance varies between three to five percent
of the amount insured in India. Pet medical insurance plans in India
normally provide coverage for death from disease, disability and sickness.

Page 41
 Pet Insurance

Insurance coverage is also extended for public liability and accidental death
pets.

Page 42
 Pet Insurance

Bibliography

http:// business.mapsofindia.com/insurance/pet-insurance.html

http://dogs.net/article/pet-insurance/

http://www.doughroller.net/insurance/should-you-buy-pet-
insurance/

http://www.petarticles.co.uk/

http://www.bestpetinsuranceplans.com/why-pet-insurance.htmls

http://www.mypetcover.com/pet-insurance-articles/pet-liability-
insurance.html

http://www.petsalley.com/infowhatispetinsurance.html

http://www.pettravel.com/0001230.cfm.

http://moneycentral.msn.com/content/insurance/P76008.asp

http://www.infiniteadvice.com/pet-liability-insurance

http://www.money-zine.com/financial-planning/buying-
insurance/pet-insurance-explained

Page 43
 Pet Insurance

UNIVERSITY OF MUMBAI

PROJECT REPORT ON
“PET INSURANCE”

BACHELOR OF COMMERCE
(BANKING & INSURANCE)

SEMESTER-VI (2011-12)

SUBMITTED BY: MOHIT J. ZAVERI

ROLL NO. 44

PROJECT GUIDE
PROF. PRAVIN AKOLKAR

SHRI CHINAI COLLEGE OF COMMERCE &

ECONOMICS

ANDHERI (EAST), MUMBAI: 400 069

Page 44
 Pet Insurance

CERTIFICATE

This is to certify that Mr. Mohit J. Zaveri of B.Com. [Banking & Insurance]
Semester-vi (2011-2012) has successfully completed the project on “Pet
Insurance” under the guidance of Prof. Pravin Akolkar.

Principal

Course Coordinator

Project Guide/ Internal Examiner

External Examiner

DECLARATION
I, Mr. Mohit J. Zaveri the student of B.Com (Banking & Insurance)
Semester-vi (2011-2012) hereby declare that I have completed project on
“Pet Insurance”. The information submitted is true & best to my knowledge.

Signature of the student

(Mohit J. Zaveri)
Roll No. 44

Page 45
 Pet Insurance

ACKNOWLEGEMENT

It gives me immense pleasure in presenting my topic on “Pet Insurance”.

I would firstly like to thank my institution and sincerely thank my Principal

for providing me support and giving me an oppportunity for doing Banking
& Insurance course and completing the project.

I take this opportunity to highlight the valuable contribution of Banking &

Insurance Coordinator Prof. Pravin Akolkar.

I would also like to express my profound gratitude to my Project guide

Prof. Pravin Akolkar who has so ably guided my research project with her
vast fund of knowledge, advice & constant encouragement without which
this project would have not been possible. I candidly appreciate her implicit
& valuable contribution in drawing up of my project.

My colleagues and especially my parents who have always supported and

encouraged, the success of this project report to large extent is also dedicated
to them.

I also thank all those who have helped me & whom I have forgotten to
mention in this space.

Page 46
 Pet Insurance

EXECUTIVE SUMMARY
Apart from insurance for human being (life insurance, health insurance, and
other) or for properties (car insurance, home insurance, and others), there are
also arrangements for insurance for pet animals .pet insurance is the
insurance which plays the veterinary costs if one’s pet is ill, injured due to
an accident, or in case it had died, or is lost or stolen (all payments towards a
claim have to be made by the pet owner). It does not cover the veterinary
treatment like vaccination and neutering.
Pet insurance largely means insurance for dogs and cats, with some special
insurance available for horses. (Insurance agency like veterinary pet
insurance covers other exotic animals also like chameleons and turtles).
Such insurance are more practice in developed countries and insurance cover
policies differ from company to company.
There are a certain amount of people who find comfort and joy within the
company of animals such as dogs, cats, fishes, and birds. These examples of
animals have been tagged for the longest time as not only ordinary pets but
more so as man’s unconditional friend. Pets are not like people who demand
so much from you physically and emotionally. These animals readily accept
whatever it is that you can give. But this doesn’t matter that you will take
them for granted. When you have procured an animal to be your domestic
companion it is your sole responsibility to keep it well-nourished and safe.
One sure fire thing to show your love and respect to spot or kitty is to get a
pet insurance.

Page 47
 Pet Insurance

The need for pet insurance came into its peak for the reason that veterinary
medicine which is linked to the industry has been adding up improvements
via technological breakthroughs in the drugs and techniques utilized to treat
animals. Pet owners have also increased their expectancy rte in the quality of
care and lifestyle their animals can have. Home animals at present are now
enjoying the same kind of status as that of the people living in the house.
Basically a pet insurance takes care of your pet’s affairs particularly in times
of illness, injury, or accident. There are also policies that include payments
done when the pet gets lost, is stolen, or suffers from death. 1947 was the
first time when the market accepted pet insurance and the first policy was
purchased in Britain. 2009 records show that the country ranks second in the
most number of pet insurance which is rated at 23 percent.
At present companies are giving consumers more involvement in the choice
of the policy that they think fits their current economic conditions. The
entire coverage of the insurance is being discussed with pet owners and then
companies allow them to decide to what extent deductible and co-insurance
levels are. Thus, the consumers get more comfort and control in terms of the
monthly payments that need to be accomplished.
In order to get the best quality of policy you must be diligent enough to
double check all the details as it may not adequately cover all the need of
your animals in their present condition. There are some companies that
employ benefit schedule wherein only the procedure that are really needed
are included while others tend to avoid the coverage of hereditary
conditions.
It is a possible scenario that the insurance policy for your pets are not
renewed even after the end of its term or there may be factors and pre-

Page 48
 Pet Insurance

existing conditions to be reviewed initially before renewal can take place.

Although there are several setbacks circling the acquiring of insurance for
your beloved pet its benefits surely make pets face unwanted negative
conditions.
Times have changed for animals especially those in domestic vicinities. The
rise to fame of pet insurance is a prime example of how people are taking
emphasis of their duty as stewards to every bit of god’s creation.

Page 49
 Pet Insurance

INDEX
SR NO TOPICS PAGE NO
I Introduction
1.1
What Is Pet Insurance?

II Why Do You Need Pet Insurance?

2.1 Peace Of Mind

2.2 Responsible Care

2.3 Financing Your Pet’s Health

2.4 Avoiding Difficult Decision

2.5 Planning For The Future

2.6 Advantages N Disadvantages Of Pet Insurance

III How Does Pet Insurance Works?

3.1 Step 1: Get A Policy

3.2 Step 2: The Waiting Period

3.3 Step 3: Making A Claim

3.4 Step 4: You Receive Your Claim Check

IV How Did Pet Health Insurance Companies Get Started?

V Types Of Pet Insurance

5.1 Pet Health Insurance

Page 50
 Pet Insurance

5.2 Pet Liability Insurance

VI How To Buy Pet Insurance?

6.1 Do Your Homework

6.2 Find An Agent

6.3 Discuss The Options N Ask Questions

6.4 Complete The Requirement

VII Factor To Consider Before You Buy Pet Insurance

7.1 Consider The Type Of Animal

7.2 Asses The Animals Age

7.3 Value Of Pet Should Always Be Considered

7.4 Capacity To Pay Should Not Be Overlooked

VIII Things That You Need To Do When Buying A Pet
Insurance
8.1
Ask People For Recommendations
8.2
Have Your Pet Checked
8.3
Choose A Reputable Company
IX Various Reasons For Getting A Pet Insurance

X Aviva Pet Insurance

XI Eight Reasons You Need Pet Insurance

XII Articles

XIII Conclusion

Page 51
 Pet Insurance

XIV Bibliography

PET INSURANCE

Page 52