All About : Pet Health Insurance

What is pet insurance?

Pet insurance is health insurance that pays a portion of your pet’s medical bills based on your coverage. No one plans to be injured or sick and neither do cats or dogs. As illness or broken bones can be painful, it never hurts to prepare for the unexpected when it comes to your pets. While the love of your cats or dogs is priceless, veterinarian visits are not. Pet insurance can help make these bills more manageable.

Do I need pet insurance?

Pets are a part of your family. Like every family member, they may get sick or injured. One in three pets will need emergency medical treatment throughout their lifetime, and most Americans can’t afford unexpected veterinary bills. However, just because cats have nine lives doesn’t mean you should have to work like a dog to pay the vet bills. That’s where pet insurance comes in.

How does pet insurance work?

With pet insurance, you pay a monthly or annual premium, and in return, the insurance covers a portion of your pet’s medical expenses. Most policies work on a reimbursement basis, meaning you’ll pay your veterinarian upfront and submit a claim to your insurer to be reimbursed.

When purchasing pet insurance, you’ll select a deductible, reimbursement rate, and annual limit. Understanding these elements is crucial because they directly affect how much you’ll pay for veterinary care and how much your policy will cost. It’s important to note that some insurers will not allow you to change these limits after purchase until your renewal period (one year after the policy start date).

Deductible

A deductible is the amount you must pay out-of-pocket for your pet’s medical expenses before your insurance coverage begins to reimburse you. Deductibles can be applied annually, meaning you pay it once per policy year, or per incident, which requires you to pay a deductible for each new medical condition or treatment. This amount is predetermined in your insurance policy, can vary based on the plan you choose, and resets every policy year.

For instance, if your first covered claim is $500 and you’ve chosen a yearly deductible of $250, you will be responsible for paying $250 of your vet bill plus the remaining percentage not reimbursed (depending on your chosen reimbursement rate). If your policy has a yearly deductible, you will not have to pay this amount again until your policy renews.

Reimbursement Rates

A reimbursement rate is the percentage of your veterinary bill that your insurance company will pay after you’ve met your deductible. A higher reimbursement rate generally means higher premiums, but it also means you’ll get more back from your insurer for each vet bill. Most pet insurers allow you to choose from set percentages ranging between 70% and 100%.

For example, if you have met your deductible and submit a covered claim totaling $100 and your policy’s reimbursement rate is set at 80%, you’ll be reimbursed $80. You are responsible for the remaining 20%.

Annual limits

An annual limit is the maximum amount of money the insurance company will pay out for covered veterinary expenses within a policy year. Once this limit is reached, you are responsible for any additional costs for the remainder of the year. These limits can vary widely depending on the policy, ranging from a few thousand dollars to unlimited coverage.

For instance, if your pet insurance policy’s annual limit is $5,000, you haven’t used it yet, and your pet needs a $7,000 surgery, your insurer will only reimburse you up to $5,000 at the percentage amount you chose after you’ve met your deductible. Once you’ve reached that $5,000 limit, your policy will not reimburse you further until renewal.

Claims process

GEICO’s pet insurance claims process is simple:

Visit the Veterinarian: Take your pet to a licensed vet for treatment and pay for the services upfront.

Collect Documentation: Obtain an itemized receipt or invoice from the vet detailing the services provided and the costs.

Submit a Claim: 

Claim Review: We’ll review your claim to determine if the expenses are covered under your policy.

Reimbursement: If approved, we’ll reimburse you for the eligible expenses based on your policy’s reimbursement rate after any applicable deductible has been met. If your deductible has not yet been met, we’ll apply the reimbursement amount toward it.

What does pet insurance cover?

Accidents & Illnesses

• AccidentsAccident coverage can help you care for your pet when they get hurt without as much worry about the cost. It covers injuries and emergency accidents like bite wounds, cuts, broken bones, swallowed objects, and toxic ingestions. It also covers all sorts of diagnostic services and treatments prescribed for accidents, such as X-rays, MRI, ultrasounds, blood work, sutures, medications, hospitalization, and surgery. By the way, we offer an Accident-Only plan if you only want coverage for injuries.
• IllnessesWith illness coverage, you can get reimbursed for the eligible costs of major and minor illnesses, such as cancer, arthritis, hypothyroidism, ear infections, digestive problems, and urinary tract infections (UTIs). From diagnosing the health condition to getting the treatments your pet needs to get better, eligible costs can be covered. It can be a big relief to have this financial support when you’re dealing with the stress of caring for a sick pet.

Conditions

• Hereditary and Congenital ConditionsThis coverage is for the costs of inherited conditions and birth defects that don’t show symptoms until later in your pet’s life. They can include heart disease, intervertebral disk disease (IVDD), eye disorders, and hip dysplasia. It’s important to look for pet insurance that covers hereditary conditions, especially if your pet is prone to these disorders. Some pet insurance providers only offer this coverage as an optional add-on. That means you’ll need to pay extra if you’d like to add it to your plan.
• Chronic ConditionsThese are conditions that need care across multiple plan periods, such as diabetes and cancer. With Complete Coverage^SM, you don’t have to worry about a condition becoming ineligible for coverage just because it is ongoing.
• Behavioral IssuesBehavioral issues with symptoms such as excessive licking, fur pulling, pacing, and destructive chewing can be distressing and harmful to your pet. Plus, they can damage your home and disrupt your family life. Complete Coverage^SM covers the eligible costs of diagnosing and treating these issues. This coverage is not available with all pet insurance providers or is sometimes only offered as an optional add-on.

Additional Care

• Alternative TherapiesThere are lots of alternative therapies now available to help pets recover from an injury or illness. They include acupuncture, physiotherapy, chiropractic care, rehabilitative therapy, hydrotherapy, and low-level laser therapy. Complete Coverage^SM reimburses you for alternative therapies used to treat a covered condition. Some other providers do not have this coverage or offer it only as an optional add-on.
• Microchip ImplantationA microchip may seem like a small thing, but it can help in a big way when it comes to making sure your pet is returned to you safely. We cover microchip implantation because we know the important role it can play in getting your four-legged family member back home.
• Prescription Medication, Prescription Food, & SupplementsIf your pet gets hurt or sick, they may need prescription medication to help alleviate pain, reduce inflammation, or fight off an infection. They may also need medication to manage chronic conditions, such as thyroid problems. Complete Coverage^SM includes prescription medication coverage for covered conditions. Additionally, your veterinarian may recommend prescription food or supplements to help your pet with certain health conditions. With Complete Coverage^SM, you can get reimbursed for these products when they’re used to treat a covered condition (not for general maintenance or weight management).