A recent outcry has been directed at dog owners, emphasizing the importance of specialized insurance for their pets. As more pet owners realize the financial benefits of not consolidating all their insurance policies with a generalist insurance company, they are becoming aware of the risks involved.
Using a single company for all insurance needs can lead to increased premiums or even cancellation of policies following a claim.
For instance, if a policyholder files a claim for storm damage to their house, it could result in higher premiums for their car insurance. Similarly, if their bicycle gets stolen, it might affect the cost of their dog insurance. To avoid such scenarios, experts recommend using a specialist company for pet insurance.
Jakob Stenstrup from the Danish Consumer Council TAENK advised on TV2’s 'Good Morning Denmark' that policyholders should think carefully before making a claim, as their claim history could influence all their insurance policies. The overarching advice from Forbrugerrådet TAEN is to diversify insurance policies.
While it may seem attractive to consolidate insurance policies for a discount, this approach can be more expensive in the long run, especially if the pet has a chronic illness that might not be covered under a new policy. Many are surprised to find that when they switch to a new insurance company to consolidate their policies, pre-existing conditions of their pets, like allergies, may not be covered.
To avoid such surprises, it's recommended to keep pet insurance separate and opt for a policy with a specialist company. Specialist pet insurance companies do not adjust premiums or coverage based on an individual pet owner's claim history. Instead, they often base their policies on the overall breed of dogs, cats, or horses. This means that unrelated incidents, such as bicycle theft or natural disasters, do not affect the premium or coverage of the pet insurance.
Choosing to insure pets with a specialist company not only spreads the risk but also ensures that pets are insured throughout their lives, without the owner's claim history affecting the premium. This approach provides peace of mind and security for the entire life of the pet.