Experts stress importance of reading fine print, suggest self-insuring as alternative
The case of a dog owner in BC illustrates some difficulties that people may face when they purchase pet insurance, and why self-insuring for their animal companions’ care might be a better option.
As reported by Global News, Cam John purchased pet insurance coverage as soon as he adopted his dog Marley eight and a half years ago. The premiums reportedly started at roughly $50 a month, but have since then climbed. All in all, he claims to have paid $6,357.96 over the years.
Unfortunately, he said most of the claims he submitted for Marley were denied, alleging that he’s only been reimbursed $15.60 by his pet insurance provider. “Every time I would make a claim, I would get a statement back saying either my claim wasn’t covered or it didn’t surpass my deductible limit,” John told the news outlet.
His story runs parallel to one told by the Canadian Press, which involved Vancouver-based digital strategist Vanessa Cito and her dog Toby. The canine was six years old when she rescued him from a puppy mill, where he’d developed anxiety, decayed teeth, and a dented back — conditions that made him ineligible for insurance and in need of periodic medical care.
Cito said she’s been caring for Toby for four years, during which she claims to have spent easily over $10,000 on licensing and adoption fees, pet care accessories and equipment, vet bills, food, and care while she’s away.
According to the Canadian Press, Toronto-based rescue facility Redemption Paws encourages prospective adopters to consider their financial preparedness; aside from its initial adoption fee of $600 to $800, it requires owners to pay for pet insurance, which the news outlet said could cost $1,000 yearly.
Speaking to Global News, Victoria Shroff, a Vancouver-based animal lawyer and an adjunct law professor at the University of British Columbia, confirmed that pre-existing conditions are the top reason why claims are denied.
“I think what happens is most people don’t go beyond the glossy brochure,” she said, noting that only a small minority of owners in her experience benefit from pet insurance. “They don’t do their due diligence.”
Dr. Adrian Walton, a veterinarian from Dewdney Animal Hospital in BC, urged owners to read the fine print of the actual insurance policy, which can run several pages long. “It’s really important to understand what a pre-existing condition is and maybe go through your medical records with your vet ahead of time,” he said to Global News.
Both Shroff and Walton suggested that self-insuring would be a better option in most cases. Rather than pay for pet insurance, they can set aside $50 to $100 every month in a savings account for every animal they’re caring for.
Because pet insurance policies are diverse, monthly premiums and deductibles can vary significantly. Citing the North American Pet Health Insurance Association, Global News said owners should also ask a few general guide questions:
- Does the policy cover genetic conditions?
- What percentage of fees will be reimbursed?
- Does the policy cover vaccines?
- What is the deductible?
- Do premiums change as pet ages?
