Pet insurance plans vary depending on the provider you choose and the level of coverage. But the basic components of a plan will include a premium, deductible, reimbursement level and annual coverage limits.
Premium
A pet insurance premium is the amount of money you pay for your plan. Your premium will be based on several factors, including:
- Pet’s breed and gender
- Age of your pet
- Where you live
- Level of coverage you want to buy
Deductible
Just like with health insurance for humans, pet insurance plans have an annual deductible. This amount—typically between $100 and $1,000—needs to be paid before the pet insurance company begins reimbursing you for veterinarian bills. Selecting a larger deductible typically lowers your pet insurance cost.
Reimbursement level
Pet insurance plans in Massachusetts come with a reimbursement level that dictates how much coverage you will get after your deductible is met. Reimbursement percentages typically range from 50% to 100%. Choosing a lower reimbursement percentage will lower the amount you pay for pet insurance.
Annual coverage limit
Pet insurance policies often have annual coverage caps, which is the total amount a pet insurance company will pay toward claims during your policy year. These limits can be $2,000 or higher, with some (more expensive) plans offering unlimited payouts.