How do I get the best lifetime cover?
Pet insurance is notoriously complicated. Policies offer different cover levels at different prices; some charge a co-payment after your pet has reached a certain age, while excesses – which can start out at different levels – can also rise over time or remain the same.
You can compare pet insurance deals and what they offer side-by-side on a comparison website by entering your personal requirements. But, even then, always read the policy small print and call the insurer directly if you want a human to clarify.
What should I look for in a lifetime pet insurance policy?
When starting your research for a pet insurance policy, consider the following.
The age of your pet: older pets are considerably more expensive to insure, so weigh up the cost against the likelihood of making a claim. If you have acquired your pet in its later life, you may decide to ‘self-insure’ by putting money aside for the purpose.
Cost of the policy: lifetime cover is the most comprehensive and therefore expensive option. While it could make better financial sense in the long term, you don’t want to pay for cover you don’t want or need.
Limits on cover: all pet insurance policies come with limits, whether it’s in cash, time or both. Only lifetime policies reset these limits annually. Make sure you understand what the limits are and if they are adequate for your needs.
Policy details: familiarise yourself with all exclusions and definitions within the policy. Pre-existing conditions won’t be covered under any standard pet policy for example (although some will accept them if there has been no clinical sign of the condition for the past 24 months). Alongside cheaper premiums, this is one benefit of taking out lifetime cover while your pet is young.
Other exclusions may be less obvious such as failing to keep up with your pet’s vaccinations. There is also usually a certain number of days from the start of the policy – 14 is typical – during which you will not be able to make a claim.
Bear in mind that you won’t find cover at all for some breeds of pet, such as dogs named under the Dangerous Dogs Act.
The excess: make sure the excess – the first part of any claim you agree to pay – is affordable and doesn’t increase as your pet ages.
Excesses should ideally be charged as a flat fee, so beware of policies that add on a percentage-based excess in addition to this. This can quickly become expensive if you are landed with large vet bills.
And while it’s the case that the higher the excess you opt for the cheaper the premiums, make sure it’s always affordable.
Does lifetime insurance cover my pet being lost or stolen?
Most policies include cover in relation to your pet going missing or being stolen, while others may offer it as an additional optional benefit in return for extra premiums. Some only cover dogs, while others include cats as well.
The cover can include a contribution towards the cost of advertising your pet as missing, as well as a reward for the person who finds it. But this cover is only likely to be valid if your cat or dog is microchipped, and you may be required to report your pet as missing to your vet and the vet practice nearest to where your pet was last seen, if different.
Policies may also extend cover to include the loss of your pet. Here, it will have to be recorded as missing for a certain period of time before the cover kicks in – typically 30 days. Again, you will need to report the situation to the authorities.
You may not be able to make a claim for a pet being missing or lost within 14 or 21 days of buying your policy, and there will be a financial limit on how much you can claim.
You will not be able to claim more than you paid for the animal, and you may need to produce a receipt for purchase from the animal’s previous owner.
What if my pet harms someone else?
If your pet causes injury, death or damage to someone else or their property, you as the owner may be held legally liable. This could result in you having to pay substantial damages.
This eventually is covered by the third-party liability section of your lifetime policy. It operates in much the same way as liability cover attached to car insurance. With pet insurance, the potential pay-out here is typically limited to £2m, while some lifetime policies cap payouts at £1m.
Some pet policies also specify that the cover only applies to dogs, although equine insurance would also include third-party liability protection.
How can I save on lifetime pet insurance?
Increasing your excess, which is the first part of any claim that comes out of your pocket, will keep premiums down. However, ensure it is pegged at a level you can readily afford.
If you have more than one pet, you can save up to 15% in some cases by taking a multi-pet insurance policy. Having your pet microchipped may reduce the cost slightly, too.
Paying your premiums annually rather than spreading the cost monthly is also likely to be cheaper overall, while shopping around and comparing pet insurance from a range of providers will also ensure you get the best deal for your requirements.
You don’t have to opt for lifetime cover either. Time-limited or even accident-only are cheaper options. But, as ever, you will pay for what you get.
Should I switch lifetime pet insurance?
Switching doesn’t always make sense. For example, if your pet has a pre-existing condition – whether it’s an ongoing illness or a historic injury – a new provider will typically not cover it (although some will so long as there has been no clinical sign of the condition for the last 24 months).
Say your dog has been covered for diabetes under your current insurer, you could switch to a cheaper deal with another provider, but diabetes will not be covered.
If your pet was treated for a condition and recovered however, you may decide to take the chance and switch to a cheaper policy, on the basis that the condition does not return.
Even so, bear in mind that as your cat or dog gets older, it will become more expensive to insure.
What are the alternatives to pet insurance?
An alternative to pet insurance is self-insurance – in other words, putting money aside for your pet in the event of an illness, accident or other emergency.
But, while this means you keep hold of your cash, you also run the risk that there will not be enough ‘in the pot’ to cover the vet bills.
What are the risks of being without pet insurance?
Without any pet insurance in place, you run the potential risk of choosing between falling into debt or your pet suffering unnecessarily.
Unless it’s covered elsewhere, such as on your home insurance, you will also be without third-party liability cover which would pay out for legal costs – if your dog causes a car accident for example and you are sued.