Nationwide Cancels Pet Insurance Policies
Nationwide is discontinuing some pet insurance policies in several states, affecting around 100,000 pets. This decision means that owners won’t be able to renew their policies when the current terms end.
A vet petting a corgi
The move comes as the pet insurance industry has been growing significantly in recent years. More owners are getting insurance to help cover the rising costs of pet care.
Nationwide stated that the non-renewals are not based on the pet’s age, breed, or prior claims. The company aims to ensure its pet insurance line remains financially sustainable, citing increased veterinary care costs and other economic factors.
A Labrador retriever dog
Owners will be notified well ahead of time and may need to find coverage elsewhere. Embrace Pet Insurance has already expressed its readiness to assist Nationwide customers.
Veterinary services costs have risen considerably. The Consumer Price Index data showed a 7.6% increase in May compared to the previous year and a 0.3% increase from the prior month.
Dr. Rena Carlson, president of the American Veterinary Medical Association, explained to FOX Business that factors like the rising cost of pharmaceuticals, technology, and general operating expenses contribute to the increasing costs.
A kitten at the vet
Last year, the North American pet insurance industry brought in $4.27 billion in premiums, which was a 21.9% increase compared to 2022. America’s insured pets accounted for $3.91 billion of those premiums.
