Your Pet May Have Just Lost Their Insurance Coverage — Plus, 8 Pet Insurance Myths

As a pet owner, you must make responsible decisions for your animal companions — you invest in proper training and high-quality food, but what about pet insurance?

After all, you insure the things you love and value, and pets are no different 

If you've taken out a policy, you may want to double-check that it's still active. Nationwide, one of the country's leading pet insurance providers, just announced that it's planning to cancel existing policies for nearly 100,000 pets and their owners. The company cited the rising cost of veterinary care, which has cut into its profitability.

While the company claims that the decision has little to do with pre-existing conditions or the age of the pets, many pet owners are left without insurance for their animals, who may be challenging to insure with a new company.

If Nationwide has canceled your pet insurance policy, it's wise to shop elsewhere — having pet insurance can help ensure you never have to make a tough choice between your financial security and your animal's life.

Read on to learn the truth about eight common pet insurance myths.

Is pet insurance worth it? That's a question far too many animal owners answer incorrectly because they believe premiums to buy coverage are prohibitively high.

The reality is that pet insurance policies can usually be purchased for less than $30 a month and can save you from incurring bills in the thousands or even tens of thousands of dollars.

One of the biggest benefits of buying pet insurance is you'll know upfront what your premiums will be, and it's a fixed monthly cost you can build into your budget. It's a lot easier to make an adjustment in your spending and afford $15, $20, or even $30 a month than to cope with huge surprise vet costs when something goes wrong.

Sadly, many pet owners also shy away from buying pet insurance because they believe policies are too restrictive in what they cover. The reality is that you'll have a choice of a wide range of insurance policies so you can customize coverage to your needs. 

In fact, a recent FinanceBuzz survey found that 93% of pet owners are happy with their pet insurance coverage.

You can choose accident-only coverage that pays only for injuries, such as if your pet falls off the sofa and breaks a leg or is hit by a car and needs life-saving emergency care. 

Or you can opt for an accident and illness policy that will cover not just accidental injuries but also illnesses ranging from a bout of kennel cough to cancer or heart disease. 

Some policies even allow you to add on a wellness care rider so your plan will pay for annual exams, flea and tick treatments, and other routine preventative care.

You'll also get to choose the amount of insurance coverage, with some insurers allowing you to select an unlimited plan so your pet is protected no matter how high the cost.

Of course, just as with human insurance, more comprehensive coverage comes with higher monthly premiums.

Pet insurance is not just for senior animals, and you don't have to wait until your animal ages to buy coverage. In fact, buying coverage when your pet is as young as possible is a good idea because your pet is less likely to have preexisting conditions. 

If you wait until your animal is older and has developed health problems, insurance may not cover them all.

It may be hard to imagine a young animal could need insurance, but injuries and illnesses can strike at any age. 

In fact, there are many situations in which you might want to be more aggressive in providing expensive treatments for a younger animal with many years of potential life left than for an older animal for whom palliative care might be a better approach.

A common misconception is that pet insurance is just for dogs, but it's not. Cats, dogs, and exotic animals can all be covered. Different insurers may offer different coverages for certain animals, so be sure to shop around to find the right option for your pet and financial situation. 

Whether your pet is a dog, cat, lizard, or something else, the right insurance coverage can be a worthwhile investment that could save you a considerable amount of money over your pet's lifetime.

Most pet insurance policies allow you to get reimbursed for treatments provided by any accredited veterinarian. This means you'll have the flexibility you and your pet need when it comes to getting care, even when you want insurance to cover the bills.

Unlike with human insurance, most pet insurers don't have in-network or out-of-network rates. Instead, you'll have a benefits schedule, specifying how much your insurer will pay for covered services. You can get care with any vet, but if your doctor charges more than the allowed amount, you'll likely need to pay the difference.

Good pet insurance policies provide comprehensive coverage, but you still may have out-of-pocket expenses. Just as with human insurance, there could be deductibles, copays, or coinsurance costs. And there may be certain services that aren't covered that you'll need to pay for out of pocket.

But with pet insurance, you have more control over how much you have to pay for each visit. If you want to keep costs to a minimum each time your pet goes to the vet, choose a more comprehensive plan.

There are a wide variety of different pet insurers, and many insurers offer multiple different plans you can choose from. Insurers also have varying reputations for customer service and prompt payment of claims.

It's important to shop around and get quotes from several pet insurers to make sure you find coverage that's the best fit at the most affordable price.

Some pet owners are reluctant to purchase insurance because they believe it will take a long time to get reimbursed after paying the bills. This is simply not the case with most policies, many of which pride themselves on timely reimbursement as a key part of their customer service.

If getting reimbursed quickly is important to you, look for an insurer that promises to pay claims within a short time frame. And consider getting preapproval for services before seeing the vet so you can make sure you're covered and expedite the repayment process.

Pet insurance from one of the best pet insurance companies is a smart purchase for many with animal companions because it provides predictable monthly costs. It can also help you pay for emergency vet bills resulting from unexpected illnesses or injuries.

By shopping around for the right policy and getting your pet insurance coverage as soon as possible, you can ensure that your animal companions can get the care they need without damaging your finances.