Do you need pet insurance for your dog or cat?

In most households, pets are considered a part of the family. We arrange play dates for our dogs. We dote on our cats. We carry photos of them in our wallets along with photos of our human family members. And when our pets become ill, we want them to have the best health care.

Some experts say pet insurance for dogs and cats is most useful for major medical care.

Pet health care, however, can be costly. Veterinary bills can easily run into thousands of dollars. So can pet health insurance be a prescription for easing the financial burden of patching up Fido or Fluffy? The answer depends largely on the physical condition of your pet.

“We want the same health care for our pets as we do for other members of our families,” says Dr. William H. Craig, a veterinarian who is chief medical and underwriting director at PurinaCare Pet Health Insurance. “Unfortunately, a lot of technological advances come with a price tag. Advanced imaging procedures, ultrasounds, high-tech surgical procedure — the list goes on and on.”

Craig adds: “Ten or so years ago, many of these procedures were not possible. Pets would have had to suffer with consequences of disease. We have so many more options these days. However, these procedures come with a price.”

Not all pet policies are equal

Veterinary Pet Insurance issued the first pet insurance policy in 1982 to Lassie — the most famous four-legged TV star in the world at the time. Since then, numerous pet insurers have come on board to offer similar policies, covering everything from routine veterinary visits to accidents to illnesses.

While several pet insurance companies exist, not all policies are equal. Some plans cover treatment for cancer, while other policies do not. Oftentimes, accidents are extra and pre-existing conditions are not covered.

“The sole purpose of pet insurance or any insurance is to soften an unexpected … bill,” says Dr. Frances Wilkerson, a veterinarian who authored “A Vet’s Guide to Pet Insurance.”

No two policies are alike, and it can be hard to figure out which policy is right for you and your pet. Low-cost policies usually don’t cover major illnesses or accidents. It’s up to you to read each policy to see what is and is not covered.

The good news is that there are no networks in pet insurance, as there are in human health insurance. You can go to any veterinarian. Pet health insurance plans are agreements between the carrier and the pet owner. Policyholders are reimbursed by the insurance company, so the vet is out of the loop. You fill out a form, submit it with your vet’s invoice to the insurance company, and the pet insurance company sends you a check.

Advancements in medical treatment have contributed to higher bills for veterinary care.

Dollars and sense

According to Wilkerson, costly financial hits in veterinary medicine come in the form of:

1. Emergencies (broken bones, accidental poisonings, ingestion of foreign objects).
2. Chronic diseases (heart disease, liver disease, cancer, chronic kidney disease).
3. Diseases that are contracted quickly (for example, pancreatitis or leptospirosis, a bacterial infection).

“To get an idea of your costs, ask your veterinarian, ‘What is the highest estimated cost I can expect from each of the three scenarios?’ The costs will vary based on geographical location, with big cities being much higher than rural areas,” Wilkerson says.

Pet insurance policies can range from $5 a month to more than $28 a month. Some have deductibles; others don’t. Insurance for large dogs will cost more than insurance for a cat. The breed and the size of the animal are factored in, and those can greatly affect the cost of the policy. Most insurers offer discounts for homes with several pets.

Dr. Arnold Goldman, a veterinarian at Canton Animal Hospital in Canton, Conn., suggests that pet owners ask their veterinarians for recommendations on insurers. “And your state’s insurance commission can provide you with information about different policies so you can make your own comparisons,” Goldman says.

Goldman believes that pet owners should buy health insurance before any pre-existing conditions occur, “but for major medical only,” he says.

Consumer Reports recently compared nine plans from four insurance providers — ASPCA Pet Insurance, Trupanion, 24PetWatch and Veterinary Pet Insurance. The nonprofit magazine focused on coverage for a 10-year-old beagle and for two cats with rare medical conditions. Consumer Reports researchers concluded that pet owners would realize savings only on care for dogs and cats with major medical problems.

“The cost for routine annual care is not worth the bother or extra cost,” Goldman says, “whereas the security of knowing that if a disaster occurs — a sudden illness or accident — the cost of the required care will not have to limit the possibilities or result in the end of a pet’s life. Insurance represents peace of mind.”

–Michele C. Hollow