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How Much Is Pet Insurance?
By Joan Pabón MONEY RESEARCH COLLECTIVE
What you pay for pet insurance will depend on a number of factors, including your location, the type of pet you want to insure (and its breed), and the reimbursement level and deductible you choose.
If you’re on the fence about pet insurance and want to find out if it’s worth the money, read on. This guide provides a breakdown of the variables that affect pet insurance costs, as well as tips to help you save on premiums.
Table of contents
- What does pet insurance cost?
- Is pet insurance worth it?
- How to lower the costs of pet insurance
- Pet insurance costs bottom line
What does pet insurance cost?
According to the North American Pet Health Insurance Association (NAPHIA), the average cost of pet insurance in the U.S. ranges from $218 to $594 per year for dogs and $134 to $342 for cats.
Of course, actual pet insurance premiums will vary based on your pet’s details and the plan you select. For example, accident-only pet insurance plans are much cheaper than policies that cover both accidents and illnesses.
Similarly, and as illustrated by the data above, insuring a dog will cost more than insuring a cat. The cost of pet insurance can also vary greatly by breed, with the greatest variability seen in dog insurance premiums.
Average insurance cost for dogs
In 2020, Americans spent between $18 and $50 per month (up to $594 per year) on dog insurance, according to NAPHIA. On the lower end of the cost spectrum, we find accident-only policies, which do not cover hereditary or breed-specific conditions. On the higher end are accident and illness policies, which cover anything from mishaps to illnesses your dog may develop as they age.
Keep in mind, however, that the above premium ranges are what dog owners paid on average for these plans. What you’ll actually pay for insurance for your dog will vary based on your location and your dog’s age and breed, among other factors. Moreover, our research shows that dog owners pay anywhere from $15 to over $100 per month for accident and illness policies.
Average insurance cost by breed
Your dog’s predisposition to hereditary and breed-specific conditions can have a significant impact on what you pay for pet insurance.
For instance, French Bulldogs are prone to develop a long list of genetic health problems, including patellar luxation, a condition where the kneecaps become dislocated. More severe cases of patellar luxation require surgery, which could cost anywhere from $1,000 up to $5,000 per knee.
Similarly, Labrador Retrievers are more prone to develop hip dysplasia, which may require a total hip replacement costing anywhere from $3,000 to over $7,000 per hip.
Your dog’s breed, in combination with its weight, pre-existing conditions and the cost of veterinary care in your area, can result in widely different premium ranges, even for dogs of the same age. Insuring a five-year-old Frenchie, for example, can cost over $200 more per year than insuring a five-year-old Lab, our research shows.
Dog insurance premiums by breed
The following table contains sample premium amounts for accident and illness coverage for a three-year-old dog of the indicated breed. Premiums reflect a $5,000 annual limit and a $500 deductible. The pet insurance companies surveyed include Embrace, Nationwide, FIGO, Pets Best and PetPremium.
| Dog Breed | Monthly | Annual |
| Golden Retriever | $43.07 | $516.84 |
| Labrador Retriever | $44.38 | $532.56 |
| German Shepherd | $44.38 | $537.96 |
| English Bulldog | $55.56 | $666.72 |
| French Bulldog | $56.63 | $679.56 |
Average insurance cost for cats
NAPHIA data reveals Americans spent between $11 and $28 per month on cat insurance in 2020, hundreds less per year than dog owners. In fact, insuring a cat is about 30% less expensive than insuring a dog. This considerable difference in premiums is due to the fact that cats are less prone to accidents and hereditary conditions.
Unlike with dogs, there is also less variability in premiums by cat breed. As the table below illustrates, monthly cat insurance premiums vary by only a few dollars between different breeds. Compare this to the cost of dog insurance, which can vary by as much as $200 per month (over $2,000 a year) between breeds.
Average insurance cost by breed
The following table contains sample premium amounts for an accident and illness policy for a three-year-old cat of the breed listed. Premiums reflect a $5,000 annual limit and a $500 deductible. The pet insurance companies surveyed include Embrace, Nationwide, FIGO, Pets Best and PetPremium.
| Cat Breed | Monthly | Annual |
| Exotic Shorthair | $18.08 | $216.96 |
| British Shorthair | $19.65 | $235.80 |
| Ragdoll | $20.19 | $242.28 |
| Persian | $20.28 | $243.36 |
| Maine Coon | $21.15 | $253.80 |
Average insurance cost by state
When you go through the process of getting pet insurance quotes online, you’ll be required to provide your zip code. This is because veterinary costs vary by location. The higher the cost of healthcare for pets in your area, the higher the pet insurance premium.
Veterinary care is more expensive in some states than in others. One of the latest studies on the subject found that veterinary costs are highest in a populous state like California, where pet parents spend an average of $1,500 per year on pet medical bills. Compare this to a less populated state like North Dakota, where annual veterinary care costs remain under the $800 range.
Vet costs also vary within state lines, as pet parents in city centers pay more for these services than those who live in more rural areas. One reason for this is that pets that live in urban areas are more likely to suffer accidents that require emergency care, say after being struck by a car. With a higher likelihood of your pet suffering an accident comes higher pet insurance premiums.
Is pet insurance worth it?
Whether or not you should add pet insurance to the overall costs of pet ownership will depend on how highly you value peace of mind — and whether you can comfortably afford it.
Having pet insurance coverage can really pay off if your pet develops a serious illness or suffers an accident that requires major surgery. For the average pet owner, however, pet insurance may not make a whole lot of financial sense, as the odds of your cat or dog requiring major veterinary care during its lifetime are low.
Consider, for example, that the average annual cost of veterinary care — presuming your pet suffers only minor accidents and illnesses — typically does not exceed $500, which is the most common pet insurance deductible option. And once you meet the deductible, you would still have to pay the remaining 20% or 30% of vet care costs, presuming you have a policy with a 70% or 80% reimbursement rate.
Furthermore, while most pet insurance policies will cover accidents and illnesses, they will not pay for routine or preventive care — including checkups, pet dental care, vaccines and diagnostic tests — so you’ll likely have to cover those costs out of pocket.
In short, some pet parents might be better served by starting a pet emergency fund, especially if their dog or cat is older (say, over eight years of age) or has chronic pre-existing conditions (which no plan will cover).
Average medical costs for dogs
Average annual vet care costs for a dog in the United States tend to be around $240 for routine vet care and $460 for surgical vet visits, reports the American Pet Products Association.
Of course, if you are among the small percentage of pet owners whose pet suffers a major medical emergency, your veterinary expenses could increase exponentially. Consider, for example, the cost to treat a cranial cruciate ligament (CCL) injury, which many dog breeds are prone to develop. CCL surgery in the United States can well exceed the $5,000 range, without factoring in post-surgery costs.
Similarly, canine chemotherapy treatment can cost several thousand dollars over the course of three to six months, but actual pricing will depend on the size of your dog. And, according to Cornell University’s College of Veterinary Medicine, radiation therapy can cost up to $7,000.
But illnesses aren’t the only medical problem to watch out for if you own a dog. Foreign body ingestion is quite common in several dog breeds, like Labradors. Surgically removing a foreign object from your dog’s stomach or intestinal tract can cost up to $5,000, while an endoscopy could cost up to $2,000. And if your dog were struck by a car, the cost of surgery could easily exceed the $10,000 mark.
Average medical costs for cats
Average annual veterinary expenses for cat owners are almost half of what dog owners spend for surgical vet visits, around $242. As for routine care, average expenses come to around $178, a difference of $23 dollars from what dog owners spend.
Again, if your cat developed a serious medical condition or suffered an accident, costs could increase substantially. In general, treating an illness like cancer can cost just as much for cats as it does for dogs — as much as $10,000.
How pet insurance claims are paid out
To understand how pet insurance claims are paid out, you need to have some general knowledge about how pet insurance works.
Most pet insurance policies follow a reimbursement model, so you’ll likely need to cover the costs of your pet’s vet visits and related expenses upfront and then submit your receipts to get reimbursed — typically one or two days later if you’ve chosen the direct deposit option.
The following are other elements that constitute a pet insurance policy.
Deductibles
As is the case with human health insurance, most pet insurance policies require you to meet an out-of-pocket deductible before the policy reimburses you for veterinary services rendered. While some companies will charge an annual deductible, others may charge a per-incident deductible, meaning a new deductible must be met for every new illness. Pet insurance deductibles typically range between $200 and $1,000.
Reimbursement rates
Once you have met the deductible, your pet insurance policy will cover up to a maximum in veterinary costs per visit. This maximum is called the reimbursement rate or reimbursement percentage. Common reimbursement rate options are 70%, 80% and 90%, but at least one company will go as far as covering 100% of veterinary care costs — provided you select a higher deductible.
Coverage limits
Besides having a maximum reimbursement percentage, pet insurance policies generally have a yearly benefit maximum called the annual reimbursement limit. Some companies offer an unlimited benefit option for a higher premium, but the majority will cover between $2,000 and $30,000 per year. If you select a policy with an annual limit and the veterinary services rendered throughout the plan year exceed that amount, you will have to cover the overage out of pocket.
Waiting periods
It’s also important to note that you may have additional out-of-pocket expenses related to pet insurance if your pet requires veterinary care during the policy’s waiting period. Pet insurance companies may have separate waiting periods for illnesses, accidents and specific conditions.
How to lower the costs of pet insurance
While some factors that affect the cost of pet insurance are beyond your control, you may still save on pet insurance by adjusting those factors can indeed influence.
Choose a higher deductible
Our research shows one of the most influential factors in the cost of pet insurance is the deductible amount you choose. When selecting a pet insurance policy, going for the highest deductible amount you can afford to pay out of pocket can save you hundreds of dollars a year.
If you opted for a $500 deductible over a $200 one, for example, you could save as much as $200 in a plan year. And if you chose an even higher deductible of, say, $1,000, you could end up saving as much as $450 in a year.
Don’t exceed the annual limit on expenses
As we’ve mentioned earlier in this guide, pet insurance policies generally have limits on what they will cover in a plan year — unless you select a policy with unlimited benefits. Depending on the pet insurer, there may also be per-condition limits that restrict what the policy will cover for specific illnesses.
As a rule, the higher the benefit limits you select, the higher your premiums will be. Choosing a lower benefit limit of $5,000 over a higher one of $30,000 could save you around $100 dollars per year. While this may not be a considerable amount, it could add up over years of coverage.
Reconsider wellness coverage
Wellness plans cover preventive and routine care, including diagnostic tests, vaccines, spaying/neutering, microchipping and dental cleaning. While some pet insurers may include some of these services in their accident and illness policies, most companies will sell wellness coverage as a separate add-on for $120 to $300 a year.
While adding wellness coverage to your pet insurance policy is unlikely to break the bank, it may only help you save a few hundred a year, close to what you’ll pay for the plan itself.
Adjust the percentage of expenses that are reimbursed
Similarly, choosing a lower reimbursement rate of 70% over a rate of 80% or 90% could save you around $100 a year. Just remember, choosing a lower reimbursement percentage of 70% means you will be responsible for 30% of every vet bill. That may not sound like much now, but the bills could easily add up if your pet were to need ongoing medical care.
Know what else affects your premiums
As mentioned above, some factors that affect pet insurance premiums are beyond your control. Yet knowing about them could help you determine whether a pet insurance policy is worth your money.
Where you live
Veterinary care costs vary by region, so if the cost of care is higher in your area, you could see that reflected in your pet insurance premium. Similarly, pets that live in city centers and more populated urban areas are more likely to suffer accidents than their rural counterparts, and insurers will price policies accordingly.
Your pet’s breed
This is more applicable to dogs than it is to cats, but your pet’s breed — and that breed’s predisposition to illnesses and genetic conditions — will greatly influence what it will cost to insure them.
Your pet’s age
Owners of older pets will find that most pet insurance companies either limit coverage options for pets over a certain age or simply won’t insure them. Many pet insurance providers will only cover dogs up to the age of 14, for example. And those that will cover pets of any age will typically charge more for coverage. This is because older pets have a higher likelihood of becoming ill, and treatment for older pets — at least for older dogs — may be more expensive.
Our research revealed that pet insurers charge more or less the same to insure pets between the ages of one and three, but after that age, premiums will steadily increase. Between the ages of five and eight, premiums can increase by as much as 25% for both cats and dogs. And for dogs, insurance costs can further increase by another 50% around the ages of eight and 10.
In general, pet insurance may be a better investment when your pet is very young and has yet to develop any illnesses. Besides premiums being higher for older pets, an older pet may already have developed medical conditions the insurer will deem pre-existing, and no pet insurance policy we have researched covers ongoing pre-existing conditions.
The table below illustrates the average cost of pet insurance for cats and dogs of different ages. The quotes were for a domestic shorthair cat and a mixed-breed dog of medium size for an accident and illness policy with a $500 deductible and a $5,000 annual maximum.
| Species | 1-Year-Old Premium | 3-Year-Old Premium | 5-Year-Old Premium | 8-Year-Old Premium | 10-Year-Old Premium |
| Dog | $36.83 | $38.68 | $48.19 | $71.43 | $119.46 |
| Cat | $19.51 | $20.22 | $24.17 | $36.00 | $50.40 |
The insurer you choose
As is the case with all types of insurance products, pet insurance premiums vary significantly from one insurance company to the next. We conducted a survey of the cost of premiums for comprehensive accident and illness policies from five well-known insurers and found that some companies charge double for the same or comparable coverage. For pet owners, this could mean paying over $150 more per year for a cat and $350 more for a dog.
Of the five pet insurance companies we researched, Embrace quoted us the lowest premiums across different breeds, while PrePremium quoted us the highest. These quotes, however, were for a mixed-breed, three-year-old dog in a Florida zip code, so premiums will differ based on your pet and location.
| Species | High Monthly Premium | Low Monthly Premium | Monthly Difference | Annual Difference |
| Dog | $64.35 | $32.54 | $31.81 | $381.72 |
| Cat | $28.37 | $14.44 | $13.93 | $167.16 |
There are dozens of insurers in the market now, so the company offering the lowest premiums for the pet insurance coverage you’re looking for may not be on this list. If you’re looking to compare coverage, we’ve reviewed some of the best pet insurance companies out there.
And for additional ways to save on coverage for your pets, read our guide on the best cheap pet insurance options.
Pet Insurance Cost Bottom Line
If you’re considering pet insurance or already shopping around for coverage, understanding the factors that affect pet insurance premiums can help you save money and ultimately determine if pet insurance is right for your pet and budget.
Pet insurance can really pay off if your pet develops a chronic condition or suffers an accident that requires hospitalization or emergency veterinary care. But for most pet owners, pet insurance may not pay out, especially after factoring in out-of-pocket expenses such as deductibles, copayments and routine care costs.
Still, for pet parents who can easily afford premiums and other expenses, pet insurance can provide great peace of mind. And if you live in a rural area, are looking to insure a younger pet or are shopping for coverage for a mixed-breed dog or one with a lower propensity for genetic conditions, pet insurance — specifically accident and illness policies — could be worth it.
Ready to commit to a pet insurance policy? Then our guide on how to buy pet insurance can help you get started.
Joan is a professional translator, writer and editor with a special interest in personal finance and insurance topics. She has been a contributing author and independent researcher at ConsumersAdvocate.org since 2017 and an editor at Money since 2019. Her work has been featured in MSN Money and Apple News.