{"id":22826,"date":"2022-12-01T00:00:31","date_gmt":"2022-12-01T00:00:31","guid":{"rendered":"https:\/\/todaysveterinarybusiness.com\/?p=22826"},"modified":"2024-07-10T11:50:48","modified_gmt":"2024-07-10T15:50:48","slug":"viewpoint-pet-insurance-120122","status":"publish","type":"post","link":"https:\/\/navc.sitepreview.app\/todaysveterinarybusiness.com\/viewpoint-pet-insurance-120122\/","title":{"rendered":"The Future of Pet Insurance"},"content":{"rendered":"

Several years ago, my Shar Pei puppy, Wrigley, was diagnosed with a genetic disease requiring expensive medication to stabilize. Luckily, I had pet health insurance, which continues to cover Wrigley\u2019s monthly prescription costs.<\/p>\n

While speaking with pet owners in my community about my experience, I discovered how lucky I was to have chosen an insurance plan that covered Wrigley\u2019s uncommon condition. The other pet owners shared stories about inadequate or overpriced coverage and the difficulties they faced evaluating their options.<\/p>\n

As the CEO and co-founder of Pawlicy Advisor, I have spoken with hundreds of pet owners and veterinarians nationwide about the pet insurance experience, how valuable the product can be when navigated correctly, and how it could be improved.<\/p>\n

To help steer the industry in the right direction, it\u2019s important to talk about the future of pet health insurance, why the market is growing, and what growth could mean for pets, pet owners, veterinarians and practice owners.<\/p>\n

2022 and Beyond<\/strong><\/h3>\n

Pet owners now have more options for pet health insurance coverage than at any time in history. The pet insurance market is doubling in size every three to five years, and the number of product options available to consumers is increasing rapidly, from startup brands to insurance giants developing their first pet products.<\/p>\n

The market growth has driven competition and led to many product improvements. Generally speaking, the industry has transitioned from offering highly detailed and complex limits per medical procedure to umbrellalike coverage, drastically simplifying and supporting pet owner decision-making.<\/p>\n

I also am seeing pet insurance bundled with other insurance products, introducing discounts for consumers enrolled in multiple coverages. I foresee an innovative future where pet insurance coverage is bundled with smart devices or other pet products in return for policy discounts.<\/p>\n

Lastly, I\u2019m confident that faster claims reimbursement will be an integral part of a better future. Companies are beginning to harness natural-language processing and artificial intelligence<\/a> to process lengthy documents, helping to adjudicate most claims quickly and efficiently. The development is exciting because it means that someday soon, the time between a claim submission and reimbursement won\u2019t be weeks or days, but hours, minutes or even seconds.<\/p>\n

Why the Market Is Growing<\/strong><\/h3>\n

Pet insurance is no longer the series of complex and confusing products it once was. Over time, the coverage has broadened and become more streamlined and easier to understand. Consumer demand is rising.<\/p>\n

As more companies enter the pet insurance market, more investments are being made in educating consumers. Many people learn about pet insurance for the first time online, at their veterinary office or from other pet owners. Online educational and comparison resources are a driving factor in helping pet owners to navigate the nuances of the products. Moreover, veterinary practices are directing clients to such resources.<\/p>\n

Inflation and rising veterinary costs are significant factors in the growth of U.S. pet insurance. As pet owners face financial stress because of increases in the cost of living, unexpected, expensive veterinary bills are a greater concern. I hear from veterinarians that pet insurance is becoming a more prominent consideration for their clients because it reduces financial risk in an inflationary environment.<\/p>\n

What It Could Mean for Pets and Owners<\/strong><\/h3>\n

As insurance options and consumer demand grow, we should see better experiences with the products and in client conversations.<\/p>\n

In sum, pet owners likely will benefit from:<\/p>\n