Is cat insurance worth it?
Cats are some of our best companions that possess uncanny abilities to shake off our anxiety and stress. However, the American Pet Products Association reveals that only 1% of cat owners have insured their pets. Medical emergencies can strike any minute, and you may have to break into your savings or borrow money to give the best healthcare to your pet. A cat insurance plan gives you full control of your pet’s health by allowing you to visit a licensed veterinarian or specialist by minimizing vet costs.
Aside from protecting your finances and the cat’s health, an insurance plan for your pet gives you much-needed peace of mind when an emergency occurs. With affordable monthly premiums and high reimbursement levels, pet insurance could extend the life of your pet by enabling you to provide medical care for your cat even when it develops serious conditions, such as cancer or diabetes.
How does cat insurance work?
Cat insurance reimburses a certain amount of money for their pet’s medical costs. The amount reimbursed varies depending on the reimbursement option selected in the policy. Cat insurance agencies offer different policies that cover certain conditions and exclude others. Before you settle on an insurance agency, ensure you read and understand the terms of your policy to determine if it suits your financial situation and pet’s needs. Other insurance agencies allow cat owners to customize their policies and configure them based on their budgets or to include pre-existing health conditions.
Below are some facts you need to understand in your policy:
- Premium: This is the amount paid by pet owners for purchasing the insurance policy. Premiums can be paid monthly, quarterly, or annually.
- Deductible: The amount paid by the pet owner before coverage kicks in. Some pet insurance agencies require you to pay the deductible just once a year, while others require pet owners to pay the deductibles after every incident that happens with their pet.
- Reimbursement: Percentage of the bill paid by the insurer after the deductible. Pet insurance agencies require you to take your cat to any licensed veterinarian. You will be required to pay the bill out of your pocket and submit your claim for reimbursement.
- Annual limit: The insurer will indicate the coverage amount it will pay each year. Once you exceed this amount, you will be required to pay out of your pocket. The agency will set the annual limit based on the policy and some insurance providers allow you to customize your plan to select a limit that suits your budget.
- Co-insurance: Co-insurance refers to the percentage that you need to pay for the vet bill. If your reimbursement rate is 80%, then your co-insurance is 20% (100% minus 80%).
- Co-payment: On some items, such as prescription drugs, the insurer has set up a specific amount that you also need to pay. For instance, If the prescription drugs for your cat costs $100, the insurance provider pays $80, and you will pay $20. Therefore, your co-payment is 20% ($20/$100).
What does cat insurance cover?
Some of the coverages offered by insurance providers for your pet include:
- Accident coverage: Covers injuries and emergencies related to accidents, such as broken bones, torn ligaments, toxic ingestions, bites, and cut wounds. In addition, services related to accidents like surgery, X-ray, ultrasound, MRI, medication, and hospitalization are usually covered in the insurance policy as well.
- Illness coverage: It covers expenses for diagnosing health issues and therapeutic treatment. Both major and minor illnesses such as cancer, digestive problems, arthritis, UTI, ear infections, among others that are usually covered. Illness coverage also covers prescription medication used to manage chronic conditions and inflammation.
- Wellness coverage: Most insurance agencies provide this wellness coverage as an add-on and cover medical bills for your pet’s wellness tests, preventable diseases, and vaccinations.
Depending on your insurance provider, you may need to get a medical examination for your cat to determine any pre-existing conditions. Most of the agencies do not provide coverage for pre-existing conditions. Ensure you ask about this coverage before you make up your mind. Insurance agencies also provide a waiting period before your coverage. The average waiting period for illness coverage is usually 14 days.
How are cat insurance costs determined?
Cat insurance costs depend on several factors, including:
- Breed type: Some breeds are prone to hereditary diseases and have different life expectancies, which translates to higher medical bills and more veterinary visits.
- Pet age: Older dogs have weaker immune systems compared to younger dogs, and Illness chances increase with age resulting in higher insurance premiums.
- Deductibles and reimbursement levels: High reimbursement levels require higher monthly premiums, and low deductibles require higher monthly premiums.
- Chronic or pre-existing conditions: Most insurance agencies do not cover pre-existing conditions. However, some allow you to pay an extra amount to provide coverage for these conditions.
- Location: The costs of dog insurance in some States are high compared to others.
What to look for in cat insurance?
If you are shopping around for the best cat insurance plan, you may need to consider the following factors:
- Prescription coverage: Some policies exclude certain prescription drugs such as supplements. You can find out from your provider if they have approved to co-pay on drugs.
- Waiting period: This refers to a period of qualification before the insurance coverage kicks in. For most insurance providers, the average waiting period on illness coverage is 14 days, and some providers have waiting periods as short as one day on accident coverage.
- Veterinarian and treatment agency: Most of the insurance providers do not limit you to a preferred veterinarian, but they require you to visit a licensed veterinary clinic. If your pet requires any special care, you need to find out if your provider allows you to visit specialists since most agencies provide this feature at an extra cost.
- Reputation: Before you enroll your cat with an insurer, you need to do some background checks on the agency. Some of the elements to watch out for include efficiency, reliability, and reimbursement of claims.
- Exclusions: Some of the common exclusions are pre-existing conditions, hereditary defects, alternative therapies, and behavioral conditions. Check with the provider if these exclusions might be covered at an extra cost.
- Routine wellness care: Some insurance agencies offer a comprehensive policy that includes routine wellness plans, such as heartworm testing, dental care, and immunizations. However, most agencies provide this coverage as an add-on policy.
When should you get cat insurance?
Most insurance agencies provide limitations on the minimum and maximum age to enroll your pet. However, some providers do not have age restrictions on their policies. The average minimum age of enrolling your cat is usually 6 to 8 weeks, while the average maximum age ranges between 10 years and 14 years.
Cat insurance is a safety guard against unexpected expenses. It is best to insure your cat while it is still a kitten or at a young age. Also, insuring your cat at a young age avoids claim rejection for a pre-existing condition that could potentially develop later in life in your pet.
You can still enroll your cat at an older age to ensure it receives the best care during emergencies while protecting your finances at the same time.
How to choose the best cat insurance plan?
Comprehensive cat coverages are good as they cover a wide range of conditions. To choose the best plan, consider some of the pointers below:
- Compare cat insurance providers: make a side-by-side comparison to more than one plan. This enables you to realize the difference in plan premiums, deductibles, reimbursements, exclusions, and add-ons.
- Check the insurer’s track record: you need to do a background check on the agency based on reliability, terms, efficiency, among other factors. You want to enroll your cat with an agency with proven stability, reliability, and received recommendations.
- Research on coverage inclusions and exclusions: Before enrollment, understand factors that affect coverage like the cat’s breed and any pre-existing conditions. Inquire how and why your premium increases and if the amount of claims affects your premium. If you are uncertain about their policy, it is advisable to contact customer care for further information.
- Review discounts: Some insurance providers offer discounts to owners with multiple pets.