HR Newsletter: The Increasing Demand for Pet Insurance

Pet Insurance

Many American households have at least one pet. In any given year, 1 in 3 of these beloved family members will need costly veterinary care, even if it is for routine exam visits and vaccinations. Should a pet become severely ill and need emergency care, costs can sometimes be more than pet owners can bear. However, if they have pet insurance, owners will less frequently have to make a decision about their pet’s wellbeing based on cost.

Though pet insurance is a nontraditional benefit and is generally paid for by the employee, it is becoming increasingly popular in the workplace to help employees care for their pets without going bankrupt. This benefit is particularly valuable, as pet care is increasingly expensive. In fact, offering insurance for man’s best friend is a great marketing and PR initiative for companies that want to add to their image of being a great place to work.

How Does Pet Insurance Work? Pet insurance is a voluntary benefit and provides coverage for most pet illnesses and accidents, focusing on unpredictable medical incidents rather than routine visits. Similar to other forms of insurance, employees pay a premium for their pet insurance policy.  In some cases, this will be paid through a payroll deduction.

Pet services are the same or similar to the reasons why you or your employees would visit the doctor, and often carry a steep price tag. Specifically, here are the typical costs for the following common pet injuries and illnesses:

  • Dog involved in a motor vehicle accident = $4,890
  • Dog or cat ingesting a foreign body = $4,280
  • Dog cancer treatments = $3,570
  • Dog bladder infection treatment = $2,760
  • Dog hip dysplasia = $2,390
  • Cat fractured leg = $2,300
  • Cat pneumonia treatment = $1,900
  • Cat diabetes treatments = $1,740

Why Are Employers Offering Pet Insurance? Pet insurance has been a trendy benefit offering in recent years, with around a third (34%) of employers providing some version of this benefit.  Since benefits packages aim to assist employees in lowering necessary costs, it makes sense that pet insurance is trending upward—after all, many individuals spend thousands on their pets every year.

Pet insurance can help an organization in a variety of ways. It allows employees to improve their financial, physical and mental well-being, which can, in turn, enhance their workplace engagement and productivity. Additionally, it helps the company signal their commitment to their workers, improving overall workplace satisfaction and leading to better employee recruitment and retention.

Employco has an existing partnership with Nationwide Pet Insurance, a top vendor in the marketplace and the only insurer in the U.S. that covers dogs, cats, birds, and exotic pets. Employees get preferred pricing that’s not available to the general public. Contact us for more information or if you have any questions.