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Pet Insurance vs. Wellness Plans: What’s the Difference?
By Steph Weaver MONEY RESEARCH COLLECTIVE
One plan helps cover emergencies, the other routine care — here are the key differences.
Whether they adopt an adorable furball from the pound or pick out a special puppy or kitten from a reputable breeder, all pet owners want the best for their animal companions. But cost constraints can be a major challenge.
A recent survey by Money.com and Healthy Paws Pet Insurance found that over 50% of owners report experiencing “significant financial stress” from a vet bill of $1,000 or less. What’s more, almost one in five say the cost of any veterinary emergency would strain their budgets.
The upshot is that many are forced to borrow money to pay for their pets’ care. Roughly one in four pet owners put pet care expenses on credit cards, incurring high interest charges.
But owners who proactively invest in their pets’ care can defray veterinary costs and avoid going into debt, and planning ahead with the help of pet insurance and wellness plans can help.
How does pet insurance work?
Pet insurance is similar to human health insurance in that it helps reduce the cost of treating illnesses and injuries. But unlike your own health insurance, this doesn’t include pre-existing conditions and routine treatments like vaccines, dental care and parasite prevention. Most plans cover all or partial costs for:
- Emergency vet visits to treat injuries or unexpected illnesses
- Hospital stays
- Surgeries and non-routine diagnostic procedures, like bloodwork and X-rays
- Treating illnesses, including some chronic and hereditary conditions that develop after the policy is in effect
Premiums are determined by a pet’s breed, age and health background, and owners must pay the vet bill upfront. Once you file a claim and it’s approved, the insurance company will reimburse you according to the plan’s deductible and coverage level.
What do pet wellness plans cover?
Pet wellness plans reimburse pet owners for maintenance treatments and therapies that aren’t covered by standard pet insurance. These plans are typically sold as add-ons to pet insurance policies or as stand-alone products by pet insurance providers, major veterinary hospitals and retail brands.
Treatments that may be covered by pet wellness plans include:
- Teeth cleanings
- Microchipping
- Routine exams and bloodwork
- Flea, tick and heartworm prevention
- Spaying or neutering
Your pet paw-sitively needs Healthy Paws
Which plan works best for you and your pet?
Pet owners debating between both plans should consider their budget along with their pet’s age, breed, activity level and health needs. Pet insurance is a good option for owners seeking peace of mind and financial protection in the event of unexpected illnesses or injuries. It’s also beneficial for owners of breeds with a higher risk of developing chronic illnesses, or accident-prone pets.
Wellness plans might work for new pet parents with a new puppy or kitten in need of a full vaccine schedule, neutering and parasite protection, but look closely at the benefits and crunch the numbers before enrolling. Depending on which services your pet needs and how much they cost in your area, a wellness subscription might cost more or just about the same as paying out-of-pocket.