Consumer Reports recently posted an article of the types of insurance that you don’t need and included in that list was pet insurance. Their main arguing point was that if your dog is healthy, you will pay more in premiums than you ever recoup in claims. To which we respond: based on that logic, a good driver doesn’t “need” car insurance; a healthy, careful person does not “need” life or health insurance, and so on.
Insurance is not about money in versus money out. Financial services company, The Motley Fool‘s financial advice is that you do need insurance for things that are difficult to replace without facing serious financial hardship. “In general,” The Motley Fool says, “think of insurance as ‘hardship avoidance,’ not ‘convenience’ or ‘hitting the jackpot.'” In order to ‘hit the jackpot’ or ‘break even’ with pet insurance, your pet must first become seriously hurt or ill.
People who consider pet insurance for their cat or dog are most often those who consider their furry friend as a member of the family. Irreplaceable. If their pet needs serious, costly surgery or treatment, they will do all that they can to provide it for their pet. They choose to insure their pet so that they will not have to face financial difficulties in the event of an emergency.
From a dog chewing on a toy and swallowing some stuffing to a cat catching a claw on the carpet during playtime – the simplest things can have a major impact. Gracie, for example, took off after some pigeons and ended up falling 30 feet onto concrete. And how often do dogs chase after pigeons? All the time.
Pet lovers want to protect their pet and their wallet in case of the unexpected. It is very unlikely that a pet insurance policyholder’s goal in purchasing a policy is to cash out from the company more money than is paid in premiums.
So our response to Consumer Reports is this: Does anyone truly need insurance? No. But for those who want to mitigate the risk of losing their beloved pet due to lack of finances, we say yes, you do need pet insurance.