According to the ASPCA, the average cost of owning a dog is $1,270 per year. And that’s just for routine care. Veterinary bills for unexpected illnesses and injuries can easily run into the thousands of dollars. That’s why pet insurance can be such a valuable way to help offset the costs of veterinary care. But pet insurance can also be quite expensive. In this article, we’ll take a look at some of the factors that can drive up the cost of pet insurance and offer some tips on how to save money on coverage.
The high cost of pet insurance
The average cost of pet insurance is $800 per year. That’s a lot of money, and it can be a tough pill to swallow for pet owners who are already stretched thin financially. But before you decide to forgo pet insurance altogether, it’s important to understand the factors that contribute to its high cost.
There are a number of reasons why pet insurance is so expensive, including the high cost of veterinary care, the low likelihood of reimbursement, and the limited coverage options. Let’s take a closer look at each of these factors:
1) The high cost of veterinary care: Veterinary care is one of the biggest drivers of the high cost of pet insurance. Veterinary medicine has made tremendous strides in recent years, and there are now more treatment options available than ever before. But all of these new treatments come at a cost, and that cost is passed on to the consumer in the form of higher premiums.
2) The low likelihood of reimbursement: Another factor that contributes to the high cost of pet insurance is the low likelihood of reimbursement. Most pet insurance policies have a very low reimbursement rate (80% or less), which means that you’ll likely only receive a small portion of your vet bill back from your insurer.
3) The limited coverage options: Finally, another reason pet insurance is so expensive is because there are limited coverage options. Most pet insurance policies only cover routine care and emergencies, which means that if your pet needs any type of specialized care (e.g., cancer treatment, physical therapy, etc.), you’ll likely have to pay for it out of pocket.
Factors that drive up the cost of pet insurance
One factor that drives up the cost of pet insurance is the rising cost of veterinary care. Veterinary care has been getting more and more expensive in recent years, and this trend is only expected to continue. This means that the claims paid out by pet insurers are also likely to continue to rise.
Another factor that contributes to the expense of pet insurance is the fact that insurers often have to pay out claims for older, sicker pets. As pets age, they become more susceptible to health problems. This means that pet insurance claims tend to be higher for older pets than for younger ones.
Another factor that affects the cost of pet insurance is the type of coverage you select. There are a variety of different types of pet insurance policies available, and each one offers a different level of coverage. The more comprehensive the coverage, the higher the premium will be.
Finally, where you live can also impact the price of pet insurance. In some parts of the country, veterinary care is more expensive than it is in others. This means that pet insurance premiums will be higher in these areas.
Tips on how to save money on pet insurance
One way to save money on pet insurance is to shop around and compare rates from different insurers. There can be a wide variation in rates, so it’s worth taking the time to get quotes from several companies. You can also save money on pet insurance by opting for a policy with a higher deductible. This means you’ll have to pay more out-of-pocket before your coverage kicks in, but it can lead to lower premiums. Another way to potentially save money on pet insurance is to find a policy that covers preventive care. This can help you avoid more expensive vet bills down the road.
Pet insurance can be expensive, but it can also be a valuable way to offset the high cost of vet bills. There are a few factors that can drive up the cost of pet insurance, but there are also some tips you can follow to save money on your coverage.