How much does pet insurance cost?

According to the North American Pet Health Insurance Association’s (NAPHIA) 2024 State of the Industry Report, the number of pets insured in North America grew by 20.9 percent from 2022 to 2023. Many cite the rising cost of veterinary care for this trend. If you have had firsthand experience with costly vet bills or are diving into pet parenthood for the first time, you may wonder if the cost of pet insurance would be cheaper than paying those vet bills out of pocket.

The answer is not clear-cut, as there are several variables involved in predicting what you’ll pay for pet insurance. To help you research and compare the best pet insurance companies, look at the average pet insurance costs and the factors that may influence pricing. Weighing the costs of veterinary care without coverage will also help you decide whether pet insurance is worth it.

Average pet insurance costs

The cost of pet insurance depends on several factors, including the type of coverage, your pet’s age and breed and where you live.

On average, pet owners in the U.S. can expect to pay between $17 (accident-only coverage) and $56 (accident and illness coverage) per month for a dog and $10 (accident-only coverage) to $32 (accident and illness coverage) per month for a cat.

Dog insurance costs

Dog insurance premiums are generally higher than those for cats due to the higher risk of certain health issues and accidents.

For a policy providing $5,000 annual coverage with a $250 deductible and 80 percent reimbursement, you can expect to pay between $30 and $71 per month.

Comprehensive dog insurance with unlimited annual coverage costs between $36 and $101 monthly. Factors such as breed, age and location can significantly influence these costs.

Cat insurance costs

Pet insurance companies regard cats as less of a risk. Pet insurance for your cat will typically cost less than that for a dog.

For an accident and illness policy with a $250 deductible, 80 percent reimbursement level and $5,000 annual coverage, you can expect to pay between $18 and $34 per month. The monthly cost for unlimited coverage is between $18 and $62.

Like dog insurance, the cost of insuring your feline will vary based on your cat’s breed, age and where you live.

How different types of pet insurance affect costs

As with vehicle and health insurance, there are typically a few different types of pet insurance plans. The type of plan you select will determine the extent of your pet’s coverage and how much your monthly premiums will be.

Accident-only coverage

Accident-only policies cover veterinary costs resulting from injuries due to accidents, such as bone fractures or ingesting a foreign object. This type of insurance is typically the most affordable option.

Accident and illness coverage

This is the most common type of pet insurance. It covers accidents and illnesses, including chronic conditions, infections and hereditary diseases. This comprehensive coverage is more expensive than accident-only policies.

Wellness plans

Some of the best pet insurance companies offer wellness plans that cover routine care, such as vaccinations, pest control, dental cleanings and annual exams. To help budget for routine expenses, pet owners can add these plans to accident and illness coverage with many pet insurance companies.

These are generally add-on plans, although some veterinary offices offer wellness plans directly through them.

Factors that determine pet insurance pricing

As with home and auto insurance, each pet insurance provider measures risk differently. You could pay substantially more for the same pet in one location than you would in another. Similarly, one pet insurance company may provide the same insurance coverage at a different price than a competitor.

Type of coverage

Accident-only policies are less expensive than accident and illness coverage, as they cover fewer scenarios. Wellness plans add to the cost but provide coverage for routine care.

Amount of annual coverage

The amount of annual coverage, or the maximum payout your insurance company will provide per year, greatly impacts the cost of your premiums.

Policies with higher yearly limits are more expensive because they offer more financial protection. For example, a policy with a $10,000 annual limit will cost more than one with a $5,000 limit.

Annual deductibles

The deductible is the amount you must pay out of pocket before your insurance coverage begins. For example, if you opt for a $500 deductible, your vet bills for the year must exceed $500 before your pet insurance will reimburse you for veterinary expenses that fall within your policy specifications.

Higher deductibles result in lower monthly premiums because you assume more of the initial financial burden. Conversely, lower deductibles increase your premiums because the insurance company takes on more risk from the start. Annual deductibles typically range from $100 to $1,000.

Reimbursement percentage reimbursement

The reimbursement level is the percentage of the vet bill that the insurance company will pay after you meet your deductible. Typical reimbursement levels are 70 percent, 80 percent and 90 percent. Higher reimbursement levels equate to higher premiums.

Age of pet

Your pet’s age is a crucial factor in determining insurance premiums. Younger pets typically have lower premiums because they are less likely to develop chronic health conditions.

As pets get older, the risk of injury and chronic illnesses such as diabetes or arthritis increases, leading to higher premiums. Many insurance companies have age limits for new policies, and some may not offer coverage for senior pets.

Breed

Your pet’s breed also influences insurance costs. Certain breeds are more prone to specific health conditions, which can result in higher premiums.

For example, large dog breeds like Great Danes and Saint Bernards are more susceptible to joint issues. Cat breeds like Persians and ragdolls are more prone to develop genetic health problems. Insurers consider these breed-specific risks when setting premiums.

Location

The cost of veterinary care varies by location, which affects insurance premiums.

Urban areas with higher living costs and more expensive veterinary services generally have higher premiums. Conversely, rural areas with lower veterinary costs may have cheaper insurance rates.

Additionally, some regions may have higher incidences of certain illnesses or accidents, which can also influence pricing.

Discounts

If you are looking for affordable pet insurance, it’s worth comparing the discounts some insurance companies offer. Many pet insurance companies provide significant discounts that can reduce your premiums, such as:

• Annual payment discount: Paying your premiums annually rather than monthly can sometimes result in a lower overall cost.
• Bundling discount: Insurers such as Liberty Mutual and Lemonade offer savings for pet parents who already have other insurance policies with them.
• Employee or group discount: Some providers feature special rates for employees of certain companies or members of specific organizations.
• Military or first responder discount: Military personnel, veterans or first responders may be eligible for discounts.
• Multi-pet discount: Several pet insurance companies offer a 5–10 percent discount for insuring multiple pets.

Costs of veterinary care without insurance

Due to inflation and the increased sophistication of veterinary medicine, the cost of veterinary care is on the rise. Many pet owners are unprepared for the costs associated with serious illnesses or accidents.

Here are some examples of common veterinary expenses:

• Allergy testing: $300
• Dental cleanings: $400
• Fecal exam: $45
• Geriatric screening: $110
• Heartworm test: $50
• Routine check-ups: $242 for dogs per year
• Spay/neuter at a private animal hospital: $500
• Vaccinations: $75 per vaccine

Average costs for surgeries and emergency visits

The cost of an emergency vet visit will depend on the extent of the injury or illness, the size of your pet and the type and number of diagnostics the clinician needs to perform.

• 1–2-day hospitalization: $600–$1,700
• 3–5-day hospitalization: $1,500–$3,500
• ACL surgery: $1,500–$4,000
• Blood work: $80–$200
• Emergency surgery: $1,500–$5,000
• Oxygen therapy: $500–$3,000
• Ultrasound: $300–$600
• Radiation therapy for cancer: $2,500 to $7,000
• Wound treatment: $800–$2,500
• X-rays: $150–$250

Is pet insurance worth it?

Determining if pet insurance is worth it, depends on your circumstances and financial situation. Here are some points to consider:

• Access to better care: With coverage, pet owners may be more likely to choose advanced treatment options without worrying about high costs, ensuring pets receive the best care possible.
• Budgeting: Monthly premiums can make it easier to manage veterinary expenses over time, helping avoid large, upfront costs for unexpected medical issues.
• Financial protection: Unexpected vet bills for accidents, illnesses or surgeries can be expensive. Pet insurance helps cover these costs so you can avoid the difficult choice between your pet’s health and your financial stability.
• Peace of mind: Knowing that you have coverage for major health issues can provide assurance that you can focus on your pet’s recovery rather than financial concerns.

While pet insurance may seem like an added expense, it can be a valuable investment in the long run, especially if your pet develops a serious health condition or requires emergency care.

The bottom line

Pet insurance can help offset the rising costs of veterinary care, offering financial security and peace of mind. The price of coverage varies depending on factors such as the type of policy, your pet’s age, breed and location. Although it’s an extra monthly expense, the benefits may outweigh the costs, particularly during unexpected medical emergencies.

If you’re thinking about pet insurance, take the time to compare plans and providers. Look for a policy that offers the coverage you need within your budget. Be sure to read the fine print to understand any limitations or exclusions.

Ultimately, investing in pet insurance can be a smart way to ensure your pet receives top-notch care without the stress of steep veterinary bills.