Best Pet Insurance In Canada For May 2024

* Applies an age-based deductible as your pet gets older.
** Applies an age-based reimbursement as your pet gets older.

Put simply, pet insurance is health insurance for your pet. According to the Ontario Veterinary Medical Association, half of all pets will have a major illness in their lifetime. Treatment can be costly and pet insurance can help protect you from unexpected veterinary costs

There are two main kinds of pet insurance plans: Accident-only or accident and illness. A wellness or preventive health plan can be added to an accident and illness plan, or be part of a more comprehensive policy.

Pet insurance plans are typically reimbursement-based, meaning you’ll pay up front for your pet’s veterinary bills, then submit a claim for reimbursement. 

Here’s an example of how a pet insurance claim typically works:

• You take your pet to a licensed veterinarian of your choice for an ear infection.
• You pay the veterinarian bill.
• You submit a claim to the pet insurance company, including a copy of the vet’s invoice and medical records.
• Your pet insurance company will review your claim based on the particulars of your policy. If your pet’s medical problem is covered, your insurer will send you the reimbursement.

The time it takes to be reimbursed varies between insurance companies, and can be anywhere from the same day to two weeks for more complex cases.

The amount you are reimbursed for is a function of your coverage limit (the maximum amount your insurer will pay out each year), your reimbursement rate and your deductible.

For example,  with a coverage limit of $5,000, 80% reimbursement and $100 deductible, say your veterinary bill is for $1,000. You’ll pay only $300 ($1,000 – $200, which equals 20% co-insurance or your portion of the claim – $100 deductible = $700 that you will be reimbursed).

What is Your Coverage Limit?

Your coverage limit, also known as your policy limit, is the maximum amount your pet insurance provider will pay you each year for eligible medical expenses. Your annual coverage resets when a new policy period begins. Some providers with accident and illness plans, such as Desjardins and Peppermint, have per-incident and per-illness maximums within their annual cap. So the Bronze Paw plan with Desjardins offers $4,000 of maximum annual coverage: $2,000 per accident and $2,000 per illness condition. Others, such as Furkin, offer one combined accident and illness maximum per year. Several insurance providers, including Desjardins, OVMA, Spot, The Personal Pet Program and Trupanion offer unlimited payout options, which means there is no upper limit on the amount you will be reimbursed each year.

What is the Annual Deductible for Pet Insurance?

The annual deductible is the amount of money you must pay for veterinary services before you receive reimbursement for any eligible expenses. You pay your deductible only once per year. A lower deductible means you’ll pay less upfront before your coverage kicks in, but your monthly premiums will be higher. For example, $2,000 annual coverage for a five-year-old Labrador Retriever in Toronto with Petsecure costs $57 per month with a $100 deductible and $45.93 per month with a $300 deductible. Accident-only plans often have a per incident deductible that must be paid with each accident claim.

Many companies also apply an age-based deductible as your pet gets older, so your deductible increases to offset the increased health care costs of senior pets. For example, a $100 deductible with Desjardins increases to $250 when your pet turns five years old and $350 when your pet is over 10 years old.

What are the Terms of Reimbursement?

With most pet insurance companies, you’ll need to pay your pet’s veterinary bill first and then you submit a claim to your provider for reimbursement (Trupanion and PHI Direct will pay your vet directly). The reimbursement rate is the amount your insurer will pay, while the co-insurance is your portion of the claim. So if your reimbursement rate is 80%, you only pay 20%. Most insurance providers offer a reimbursement rate of between 70% and 90%. While your deductible is only applied once per year, the reimbursement rate is applied with each claim. It’s important to note that if your policy is subject to claims risk management (check the fine print), whereby a pet insurance company assesses all policies for the number of costs and claims, if you submit a lot or expensive claims, your reimbursement rate may go down. This means you’ll have to pay more.

Pet insurance pays a portion of your pet’s medical bills for unexpected accidents and illness, and offers coverage for:

• Injuries, such as broken bones or swallowed objects.
• Chronic illnesses, such as arthritis or allergies.
• Common illnesses, such as ear infections or vomiting.
• Serious illnesses, such as cancer or heart disease.
• Hereditary conditions, such as hip dysplasia or eye disorders.
• Testing and diagnostics, such as X-rays and blood tests.
• Surgery and associated procedures.
• Prescription medication.

Some more comprehensive pet insurance plans offer extended coverage for the following:

• Alternative therapies, such as hydrotherapy and acupuncture.
• Behavioural therapies.
• Wellness and preventive care, including annual exams and vaccinations.
• Dental care for illnesses, including gum disease.
• Pet ownership assistance, such as lost pet advertising, coverage for end-of-life expenses and boarding due to an owner’s medical emergency.

Which Pet Insurance Covers Dental?

Maintaining your pet’s pearly whites is a very important part of their overall health, as dental problems can lead to other problems when left untreated. However, dental checkups don’t come cheap, running from $200 to $500 for a cleaning and $6,000 for a root canal. Pet dental insurance may be able to help offset the costs related to treatment, but not all offer the same level of coverage. 

While all pet insurance companies surveyed extend coverage for dental accidents, such a fractured tooth, only some cover dental illnesses. Not all pet insurance companies cover cleanings either. For example, Sonnet covers dental illness up to $300 a year and includes cleanings, while Trupanion offers unlimited coverage for dental illnesses, but not cleanings. 

The following Canadian companies offer additional coverage for dental disease and illness:

• OVMA Pet Health Insurance
• Fetch By The Dodo
• Trupanion
• Petsecure
• Sonnet
• The Personal Pet Insurance Program
• Desjardins Pet Insurance

Does Pet Insurance Cover Spaying and Neutering?

A standard pet insurance policy covers unexpected illnesses and accidents, and spaying and neutering don’t fall into either category. That’s because spaying and neutering are predictable procedures and expenses.

Wellness plans, also known as preventive plans, that are included in the more comprehensive pet insurance plans, or as an add-on, cover predictable expenses, such as annual exams, vaccinations, flea control and blood wellness tests. However, only two Canadian pet insurance companies surveyed included coverage for spaying and neutering:

• Spot Pet Insurance
• Pets Plus Us

Does Pet Insurance Cover Vaccinations?

Vaccinations help protect your pet from a number of potentially serious and even fatal diseases. According to the Ontario Medical Veterinary Association, every pet should be vaccinated. Core canine vaccines include: rabies, distemper, adenovirus-2 and parvovirus. Additional vaccines based on your pet’s medical history and lifestyle include leptospirosis, Lyme disease, bordetella and influenza. Pet insurance is for unexpected illnesses and accidents, while vaccinations are part of your pet’s routine care. However, vaccinations may be covered if your policy includes wellness or preventative care, either as core coverage or an add-on. For example, Spot’s Routine and Advanced wellness plan add-ons include coverage for vaccinations.

Does Pet Insurance Cover Existing Conditions?

No. Due to the cost of treating pre-existing conditions and the relatively short lifetime of a pet (dogs live on average 10 to 13 years depending on the breed), pet insurance providers exclude pre-existing conditions from coverage. A pre-existing condition is defined as an illness or injury that starts prior to policy enrollment, including any waiting period. Note that most insurance providers stipulate that a condition does not need to be diagnosed to be considered pre-existing.

Here’s a scenario: If your pet goes to the vet with a limp, but there is no diagnosis, but later is found to have developed hip dysplasia, if that initial visit happens before your pet is enrolled, that condition will be ineligible for any coverage going forward.

However, some insurance companies, such as OVMA, Pets Plus Us, Furkin and Spot, make concessions for a temporary or “curable” condition, including bladder infections or respiratory infections. As long as your pet is cured, shows no further symptoms and a certain amount of time has passed since that initial diagnosis (usually between six months and one year), that condition may be covered in your plan moving forward.

What Type of Pets are Covered by Pet Insurance?

Pet insurance companies in Canada currently only provide coverage for dogs and cats.

According to a Forbes Advisor Canada analysis of 12 Canadian pet insurance companies, the average monthly cost is about $76, based on $5,000 in annual coverage with a $100 deductible and 80% reimbursement (or the closest available option). However, your costs will vary depending on the maximum amount of coverage and the deductible you choose. (The higher coverage, the more expensive the monthly premium, while the higher the deductible, the cheaper the monthly premium.) What’s more, other factors affect your cost, such as:

• Pet’s breed. Some pets are more susceptible to certain conditions than others. For example, Great Danes are prone to hip dysplasia. For this reason, it may cost more to insure certain pets. Also, larger dogs usually cost more to insure.
• Pet’s age. As pets age they are more susceptible to accidents and illnesses, so older pets are more expensive to insure. Many companies also apply an age-based deductible as your pet gets older, so your deductible increases to offset the increased health care costs of senior pets.
• Pet’s gender. Female pets may be considered a lower risk, which can result in lower pet insurance premiums.
• Location. Vet costs vary by location. If the vet costs are higher in your area—often due to improved access to better treatment options—as well as higher labour costs, you may pay more for coverage.

Most veterinarians will say yes, as pet insurance helps remove the financial anxiety around making the best healthcare decisions for your pet should disaster strike. And that happens more often than we might expect.

According to Angus Reid, 71% of pet owners surveyed reported needing veterinary care for a serious illness and 51% for emergency visits. Of those that have pet insurance, 22% said it was a “total lifesaver” while 34% said they haven’t always needed insurance but it was nice to have. Only 10% said it was totally useless.

When it comes to the numbers, pet insurance will offset the cost of covered medical treatments at a veterinarian, but whether you come out ahead depends on how much you’ve been paying in pet insurance premiums, as well as your deductible and reimbursement percentage.

It also depends on how many claims you make. If you have an accident-prone pet, or if your four-legged BFF develops a chronic disease, pet insurance may save you thousands of dollars over the course of your pet’s life (It’s important to note that some insurers may readjust your reimbursement if you make a lot of claims during a policy year).

However, if your pet remains healthy and injury free, you may pay out more than you get back. Like any insurance plan, you are preparing for the worst and hoping for the best.

In addition to not covering pre-existing conditions, even the most comprehensive insurance policy will have a list of exclusions, or expenses they won’t cover. Some of these include:

• Grooming, bathing and nail trims
• Flea and tick treatment
• Spay and neuter surgery
• Elective or cosmetic surgery, such as tail docking
• Prescription food
• Expenses related to pregnancy or whelping

The benefits to pet insurance are clear: If your pet is injured or becomes ill with an eligible condition, you can save thousands of dollars in veterinary bills that you would otherwise pay out of pocket. For example, if your pet develops hip dysplasia, the cost of long-term medications and surgery is over $7,800, according to Trupanion. But if you have an insurance policy with $10,000 coverage, 80% reimbursement and a $100 deductible, you would only pay $1,660. ($7,000 bill – $1,560 = 20% co-insurance – $100 deductible.)

If you have more comprehensive coverage that includes dental coverage, for example, you may be more likely to take your dog to the veterinarian for annual checkups, knowing that the treatment costs are paid for.

Pet insurance also offers pet parents peace of mind that if anything happens to your pet, you can afford to take care of them and make the best treatment decisions without worrying about how you’re going to cover the costs.

Like all types of insurance, medical pet insurance is there to provide financial assistance to pet parents when faced with unexpected emergencies. You could pay into your insurance policy for 10 years and never make a big claim. But you could also pay for the same period of time and when your pet develops a chronic condition or has a devastating accident, your coverage falls short of the full cost of the required treatment because your plan has a maximum payout limit. Your choice of pet insurance products and coverage limits is a factor of your emotional ability to deal with risk and your financial ability to deal with a big vet bill.

To find the best pet insurance we reviewed each company’s policy wording and used data provided by PetInsurer.com to score each pet insurance company based on the following:

Pet insurance rates: 40% of score. We calculated average rates for plans with $5,000 or unlimited coverage, a $100 deductible and an 80% reimbursement level, or the closest options available.

Special waiting period: 10% of score. Many pet insurance companies have a special waiting period for problems such as cruciate ligament issues and hip dysplasia. Plans that had no waiting period, a waiting period of six months or less, or the ability to have the waiting period waived scored higher.

Direct payment to vet: 10% of score. Pet insurance companies that have the ability to pay a vet directly earned points.

24/7 vet health line: 10% of score. Insurers that provide access to a 24/7 vet health line scored in this category.

Routine wellness plans: 10% of score. Insurers that offer wellness plans, either included with a plan or as a rider, earned points.

Dental illness coverage: 10% of score. While most insurers cover dental accidents, not all insurers cover dental illnesses, such as gum disease or cleanings. Plans with more extensive dental coverage scored higher.

Pet ownership assistance: 5% of score. Insurers that include coverage for pet owner expenses, such as advertising and reward for lost pets, boarding for medical emergencies, end of life expenses and/or vacation cancellation, scored in this category.

Any discount: 5% of score. Insurers that offer any kind of discount, including a multi-pet discount, healthy pet discount, loyalty discount, etc., earned points.