PawGuard may earn a commission if you purchase a policy through a partner. That does not change the price you pay. This article is educational and is not a guarantee of any specific plan terms.
The monthly premium is the number most people notice first. It is rarely the number that decides whether a plan is a good fit.
Three other terms do more of the work: waiting periods, deductibles, and reimbursement.
Waiting periods
A waiting period is the time after a policy starts during which certain claims are not covered.
Many U.S. plans use a shorter wait for accidents and a longer wait for illnesses. Some conditions (for example, certain orthopedic issues) may have their own waiting period. Exact days vary by carrier and by state.
If your pet needs care during a waiting period, you usually pay the full bill. That is why buying coverage after a problem has already started is often too late.
Deductibles
The deductible is what you pay out of pocket before the plan starts reimbursing eligible costs.
Plans may use:
- An annual deductible — you meet it once per policy year
- A per-incident deductible — you may meet it again for a new condition
A lower deductible usually means a higher premium. A higher deductible usually means a lower premium — and more of the first bills stay with you.
Reimbursement percentage
After the deductible, many plans pay a percentage of the eligible vet bill — commonly 70%, 80%, or 90%.
Example (simplified): eligible bill of $2,000, annual deductible already met, 80% reimbursement. The plan would typically reimburse $1,600. You would still owe $400, plus anything the plan does not consider eligible.
A higher reimbursement percentage usually costs more each month.
Limits
Some plans cap how much they will pay in a year, per incident, or over the pet’s lifetime. Others advertise high or unlimited benefits. The cap matters most if a condition becomes long and expensive.
How to compare these terms
When you look at two quotes, line up:
- Waiting periods (accident vs illness vs specific conditions)
- Deductible type and amount
- Reimbursement percentage
- Annual / per-incident / lifetime limits
- Premium
The “cheapest monthly plan” is not always the cheapest plan after a serious vet visit.
Related reading: What pet insurance typically covers · How to compare two quotes