Is Pet Insurance a Rip Off

Micky_Tri

Hi

I have a 9 yr old dog, a Westie called Angus

All his life we have paid insurance, giving us faith that if he ever needs major surgery or passes away we will be covered.

We have happily paid monthly instalments to ASDA. Last year it’s been £15.33 a month

Can you imagine my astonishment when I received a letter recently telling us it’s gone up to £33.69 a month, £404.28 a year

Of course I complained and have had a reply stating they took a number of factors into consideration. “These include Angus’s age, breed, area and previous claims history. It adds they have also seen an increase in the cost of veterinary bills and the number of claims they have received.

Angus has got one year old, his breed and home has not changed and we have never made a claim.

Despite stating “I confirm that we were unable to locate any significant information that caused the increase” they have confirmed the premium is correct.

I believe this is a cynical approach to encourage customers with pets reaching later years to cancel insurance (at a time when they might most need a vet) or pay absurd premiums.

An increase of 100% in any insurance in one year is as far as I am aware unheard of particularly when there has never been a claim made and it’s not a new policy.

As it happens I can find much cheaper insurance with better cover elsewhere, but to be honest I have lost faith with insurance companies now.

madmittens

Insurance is about risk, both yours and the underwriters.

When I got my first cat (from CPL), I insured him - about £60 for the year IIRC (it was a number of years ago!). In the first year, he racked up a £2700 vet bill fully covered by insurance. Could I have covered that bill at the time? No, so the best £60 I think I've ever spent.

My current cats are insured at the moment, the premium is fairly reasonable. If it takes a massive jump in the future then I will reassess whether I should reinsure or just put the premiums in a savings account *for the sole purpose of covering any of their vets bills*, and whether I could fund an unexpected large vet bill for them if necessary.

I also have an old(ish) horse. Her insurance premiums were always horrendous, with no particular response from the insurers as to why. However I paid them. After about 4 years she had an injury which basically reclaimed the previous premiums paid. Then she got to the age where insurers reduce cover whilst still increasing premiums - I've taken the risk as above; I save what her premium would have been in a dedicated savings account (and currently I'm winning), and I have access to additional funding if necessary.

It's not a decision I've taken lightly. I'd hate to be in the position of having to chose life or death because I couldn't afford the vet bill.

BertTheRaccoon

I don't know the terms & conditions for any specific pet insurance schemes, but there has been some very sad news of people who have killed their pets once they get on a bit as some policies provide for a bereavement payment.

So they knock the pet off, claim off the insurance. Maybe there is some statistics that show this happens more as the pets get older, so the insurers provide an uninviting renewal premium to discourage people bothering to insure and avoid the risks they have been faced with.

It is a statistic that there is an increased chance an older animal is more likely to require veterinary assistance, so that too would explain a price hike. Also, on seeing you have renewed year on year, you probably seemed ripe for an increase, their thinking being you have renewed each year, why not shove the premium up and they'll probably be daft enough to renew.

Insurance is a strange world, but the bottom line is insurers are there to make a buck. Sounds like you have got a better deal anyway.

davenport151

Do a google search for older pets. There was one i'd heard of but the name escapes me. I'm sure there's a few that take them & they are reasonably priced.

NeverEnough

Our beloved Border Collie passed away in June this year aged 13. She had been insured with Sainsbury's Pet Insurance from 3 years of age, which was around £5 a month at that stage, for the most comprehensive policy. She required very little veterinary care during her life, until the last few months, in which she deteriorated rapidly. Over the years there were small increases every year, until she was over 8, at which point the rises were around 100% per annum. It is NOT easy to get comprehensive affordable cover for an old dog, so I kept it going till the end......the last few months of her life it had risen to £60 a month..........but veterinary expenses in those last few months were compensated after her death to the tune of around £2000.

Just to clarify, the bereavement payments / pet crematorium expenses etc are NOT usually covered for dogs older than around 8 years of age, however good the policy is. Also some really cheap policies cover very little in reality - as always you get what you pay for.

dunstonh

Personally, i wouldn't buy insurance products from supermarkets or other non-standard distributions channels. You often get cut down versions of the main retail product and a pricing that cherry picks resulting in getting good premiums in the good years but high premiums in the bad.

*Scarlett

When dogs get over a certain age - 7 or 8 - the insurance premiums do tend to increase due to the higher risk of illness.

Providing that Angus has no pre existing conditions (these would normally be excluded by a new insurer) you are free to shop around.

You can compare policies here

http://www.defaqto.com/guides/insurance/pet-insurance-guide/

http://www.which.co.uk/money/insurance/reviews-ns/pet-insurance/

As the dog gets older, this might be the time that you may need the insurance but only you know if you want to take the risk or could afford a large vet bill.

I'm sure you can find something that will meet your needs on cover and affordability.