How we work out the cost of your pet insurance

How we work out the cost of your pet insurance

Did you know that of all the lucky people who became pet owners since March 2020, a grand total of 55% of them have purchased pet insurance? This means that over half of these new pet mums and dads did the smart thing and insured their furry friend.

With so many people insuring their pets, it’s important as a pet owner to know how we calculate the cost of your individual premium and how it might change over time. 

As you’ll see there are a number of different factors that are considered in order to give you a fair price, as well as the best value possible.

The older the pet, the more chance of health problems

scared cat under bed

It’s no secret that our dogs, cats, and rabbits age differently than us. But just like when we get older and become more prone to ailments and health issues, so too do our pets.

As you can imagine, senior pets are more likely to require veterinary treatment than when they were young and active. This is why the cost of insuring your pet increases as they get older.

Not all breeds are the same

different dog breeds
Ever wondered how many different types of dogs and cats there are? Well, according to the Kennel Club and The International Cat Association, there are roughly 222 recognised pure dog breeds and 71 recognised pure cat breeds in the UK. This is without even considering moggies and mixed breeds!

For every breed of pet, there are a number of different factors that can affect their health. This can include everything from their typical size and weight to how long they normally live and any hereditary health problems that are common.  We take all this into account when calculating your premium.  And if you have a crossbreed, we look at the breeds of their parents and calculate accordingly.

By using the known history and facts of your pet’s breed, we can give you the best-priced premium possible. To help you find out more about the average cost of insuring your pet by breed, we’ve compiled the UK’s most expensive cat breeds and dog breeds in 2020.

Where you and your pet live

dog sat next to a globe
Vet fees are not standardised in the UK. This means the average cost of medical treatments and veterinary fees can change from place to place. So, we need to take this into account. 

When you take out a policy, we ask for your address. Not just so we know where you live, but also so that we can work out your premium based on the region of you and your pet. This means that in the event of a claim, you’ll have peace of mind that your pet has the right cover to pay for any treatment they might require.

Ever-improving medical treatments

dog at the vets
Just as we humans have enjoyed medical breakthroughs that have helped everyone live longer, healthier lives, so too have our furry friends. This is thanks to constant developments in veterinary treatments as well as innovations in dealing with what were previously untreatable health issues. 

With these many and many improvements in veterinary medicine and treatments comes an increase in the cost of treating pets. Which in turn is reflected in the price of your premium. 

However, we do give you the option to choose from various levels of cover, which includes Standard, Maximum Benefit, and Lifetime cover. This allows your cover to be personalised to a veterinary fee that suits your budget. You can find out more here.

Changes to the Insurance Premium Tax

IPT (Insurance Premium Tax) is a tax that is applied to general insurance premiums. The rate at which it is applied to all pet insurance across the UK is controlled by the government and so your individual premium is calculated in accordance with this. 

The number of claims you’ve made

dog with a bandaged paw
Just like other kinds of insurance cover, your policy premium can be affected by the probability and history of claims. For example, if claims have increased significantly due to the spread of a contagious medical condition, then premiums could change accordingly. 

On an individual level, if a pet has had an injury, is taken ill, or suffers a serious health condition, they may run into trouble again down the line. This is why, if a claim has been made, your premium will be recalculated and could increase when your renewal is due.

Rest assured, our team are always happy to discuss any queries you may have when it comes to making a claim or how this can affect your policy. So, if you do have any questions, please get in touch or speak to us on 01423 535 040.

Last and by no means least, to find out how much insuring your four-legged friend will cost, get a quick quote with us today. We’re sure you’ll be pleasantly surprised!