Thinking of getting pet insurance? Congrats, it’s a smart move.
If your pet has an accidental injury or serious illness, pet insurance means you (and your vet) can immediately focus on getting the treatment your pet needs, instead of worrying about what you can afford.
In this blog, we bring you some tips on getting insurance that best suits your pet and your budget.
Similar to human health insurance, there are different types and levels of cover.
The main types of pet insurance are:
Accidental injury only cover. This is a basic type of plan and covers treatment for accidental injuries only. For example, if your pet gets hit by a car, gets into a fight, or suffers a fall, the costs of vet treatment will be covered, on the terms of the policy.
Accidental injury + illness cover. As well as providing cover for accidental injuries, this type of plan also covers the cost of some common illnesses e.g infections, tummy-upsets, cancer, or other chronic conditions like osteoarthritis etc.
Most insurers also offer options to customise your cover, like extra modules that you can add on to the standard policy. For example, if you want cover for things like dental care, alternative therapies, specialist medications etc you could add these.
A good place to start is to ask family and friends what pet insurance they have, and if they’re happy with it.
We also suggest you research your options online. Once you know the type of cover you want, you can compare a couple of policies. It’s worth spending 10 minutes to really understand what your policy will cover. This will avoid any surprises when you come to make a claim.
Online comparison tools and reviews aren’t always accurate. And the lowest price isn’t necessarily the best product for you.
To make sure you’re comparing apples with apples, here are some good questions to ask:
Almost every pet insurance policy has exclusions i.e things that won’t be covered. It pays to know what these are.
Common exclusions are things like: pre-existing conditions (conditions your pet already has when you get your policy), congenital conditions (developmental defects your pet is born with), cosmetic treatments, routine care, screening, alternative therapies, behavioural or psychological conditions, costs related to breeding or pregnancy etc.
Most policies have maximums on the amount they will pay out – these may be annual limits, limits per procedure, or limits for a condition for the life of the pet.
For more on this, see our useful terms below.
Most policies require you to pay the vet bill up front and then claim back what you are entitled to under your policy.
Your policy will usually include an excess or co-payment (or both), which are the amounts that will be deducted from your reimbursement when you claim.
Some insurers let you choose the excess and/ or co-payment amount when you take out your policy, for others it’s standard. Like any insurance, it’s a balancing act. E.g choosing a higher excess or co-payment will lower the cost of your monthly premium. But it means you’ll be reimbursed less when it’s time to make a claim.
For more on this, see our useful terms below.
You’ll want to choose an insurer who is easy to deal with and who pays claims promptly.
Usually, pet insurance works on a reimbursement model; where you pay the vet, you submit a claim with your insurer and they reimburse you.
Disclaimer: This information has been provided to assist you understand pet insurance in general and is a guide only. Terms used and meanings may vary between insurers and different policies, and you should check specifics with your insurer or seek your own advice.
The amount that you will pay before you are reimbursed under the policy. For example, if your excess is $100 and your vet bill is $500, you would be reimbursed $400 by the insurer when you make a claim. Excesses can be applied different ways i.e. per year, per claim, per condition. Most pet insurers charge the excess for each different condition, annually. But some insurers only charge excess once annually (regardless of how many conditions your pet needs treatment for). This is something to check when you are comparing plans.
This is the percentage of the total claim that you are responsible for. For example, if your policy has a 20% co-payment and your vet bill is $1000, your insurer would reimburse you $800. Note: this is in addition to the excess, if you have one.
This is the other way a co-payment is described in some policies. It’s the percentage of the vet bill that will be reimbursed by your insurer. This comes after your co-payment has been applied. Using the above example, if your benefit percentage was 80%, your insurer would cover 80% of $1,000, which is $800. The co-payment is what you pay, the benefit percentage is what your insurer reimburses.
This is a condition that your pet may have shown signs of, or been diagnosed with prior to the policy start date (or any applicable stand down period). When applying for a pet insurance policy, it’s important to tell your insurer about any pre-existing condition your pet has. Pre-existing conditions are usually excluded from cover.
This is a period that starts from the first day of your policy, during which certain conditions or treatments will not be covered.
This is the maximum you can receive in claims in 1 policy year.
This is a limit within your annual benefit limit for the total amount you can claim for 1 vet visit or 1 condition in a year.
This is a smaller limit within your annual benefit limit for certain treatments or conditions. Sub-limits refresh each policy year.
This is a limit to the amount you can claim for treatment of a condition for the lifetime of the pet. This limit does not refresh each policy year.
Sometimes your insurer will split the benefits under your policy into different buckets, which each have their own limit. E.g: Medical/Surgical/Diagnostic/Medicines.
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