About Pet Life Insurance

Pet life insurance, otherwise known as pet replacement insurance, offers pet owners who have invested large sums of cash into the lifestyle of their pet the opportunity to recover a settlement in the event of the animal's death. But pet life insurance is not limited to breeders and owners of high quality show animals that are worth exorbitant amounts of money. Many pet owners believe that the lives of their pets are worth the same whether they are pure breeds or mutts, alley cats or sophisticated felines. Thus, there has been a growing interest in pet life insurance and what it has to offer.

  1. Benefits

    • A pet life insurance policy commonly imposes a replacement value on a pet that can be collected upon the animal's death. Disbursements can be as high as $10,000 and is usually predetermined at the time of policy purchase. The insurers also take into consideration burial and cremation expenses that can be incurred and have written reimbursements for these services, up to capped limits, into the pet life policies. Some pet life policies have also been underwritten to include bereavement counseling for the grieving family.

    Time Frame

    • Similar to life insurance that offers end-of-life benefits for people, pet life insurance provides a benefit upon the death of a beloved pet, and the premium that is paid is determined by the age of the pet at the time the policy goes into effect. Just like human policies, the older the animal, the higher the premiums. It is more advantageous to purchase a policy while your pet is young. A health certificate stating that the pet is healthy at the time of purchase may be required. The policies also can be denied due to pre-existing illnesses and diseases that may take the animal's life prematurely.

    Misconceptions

    • Although the two are easily confused, a pet life insurance policy is not the same as a pet health insurance policy. Both are often listed under the same heading of pet insurance, yet they offer very different benefits. While pet health insurance covers veterinarian care, emergency medical and other services that fall under the category of vet care, a pet life insurance policy provides a death benefit covering replacement costs of a pet that has died.

    Warning

    • It is important to understand that shopping for a pet life policy will require the pet owner to sift through the sea of charlatans and scam artists that prey upon people's sensitivities. While shopping for pet life insurance, ask questions and gather as many quotes and comparisons as possible to make an informed decision. If you happen upon a company that uses high-pressure sales, insisting that you purchase now without time to research the policy, say no and move on. You also may want to consider asking your veterinarian for a referral to a reputable insurance agency.

    Considerations

    • Before contacting insurance companies in regard to pet life policies, you may wish to consider sitting down with a pen and paper and figuring out an approximate cash value for your pet. Although this may be a bit uncomfortable to think about, it is a necessary step that must be taken in order to ensure that you are obtaining a policy that best fits your needs. Understanding the replacement costs of a pet as well as other expenses that may be incurred such as vet bills, euthanasia and burial costs will provide you with the tools you need to purchase a policy that will have a large enough payout to cover these future costs.