Without pet insurance, there will be times that a pet parent will have to choose between their precious pet and their wallet. There are several companies offering pet insurance, but there are various options available that may confuse a pet parent. What does a pet parent needs to consider when buying pet insurance? A pet parent in the market for pet insurance would look for the following factors in a provider.

1. Ratings
Several websites offer customer reviews and ratings of pet insurance companies. Since insurance is a financial product, a review of the pet insurance company’s financial position is essential too. While reading customer reviews it would be advisable to read poor reviews too, in a bid to understand any issues faced by a few customers – issues that may be specific and may arise for specific events and conditions.

2. Multiple claims per policy term
If the pet is accident or illness prone, choosing an appropriate cover is essential. A pet parent will want to negotiate appropriate terms in this regard.

3. Customer service
Reviews from customers will provide insight into how the pet insurance company handles customer service requests and complaints. A responsive company will make an effort to close any issue raised by customers.

4. Claim process and payment
Again, customer and industry reviews will highlight the performance of the company’s claims payment process. Quick processing is essential as almost all pet insurance policies require that the pet parent submits a claim on the basis of the amount spent on the pet. The company will then reimburse an amount based on the policy’s terms and conditions. Slow processes and delayed payments can be stressful for a pet parent.

5. Price
The price quoted by a prospective pet insurance company should cover all possible payouts by a pet parent. This includes the insurance premium, applicable deductibles, either per claim or periodical, co-payment for each claim, and payments for endorsements.

6. Contract wording
Insurance companies are bound to send out draft contracts with the exact wording specifying the cover offered. Reading the entire document and understanding the coverage terms and conditions is a must. Any doubt should be referred back to the company for clarification. As pet care costs are exorbitant, missing out on any coverage may lead to high payouts. Special care should be taken to understand exclusions, i.e., events and conditions that are not covered by the proposed policy. Most pet insurance policies do not cover pre-existing conditions.

7. Terminology in the contract

• Schedule of Benefits
  This is a document that required the pet parent’s signature that specifies the covered conditions and the quantum of reimbursement for each event or condition.
• Incidents
  This word defines the condition that occurs to prompt a visit to the veterinarian.
• Primary diagnosis or condition
  This term defines the financial limitations placed on the diagnosis and treatment for a primary condition.
• Secondary diagnosis or condition
  This may occur as a result of the treatment of the primary diagnosis or condition and is covered in most policies
• Secondary insurance
  A secondary insurance from another company may be taken to cover the costs not covered by the first insurer. Secondary insurance may not often reimburse the remaining outstanding amount.

Choosing a correct pet insurance policy needs to be a careful exercise as any mistake can cause a large loss to the pet parent.