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Millennials: Is Pet Life Insurance a Good Investment?

As you know, I am a huge advocate for life insurance for a human but should you get life insurance for your pets too?  People seem more willing than ever to shell out whatever amount of money is necessary on their pets nowadays and some are even going to lengths of pet health and pet life insurance. 

So, the question comes down to – is it actually a good investment?

Let me back up a little bit and discuss the background of this topic.  If you like to watch Shark Tank like I do, you’ll frequently hear them talk about how people are willing to spend incredible amounts of money on their pets. 

For instance, not only insurance like we’re talking about here, but also organic food, special ingredient desserts, ways for their pets to get extra pampered, etc.

I had a pet growing up and we got her the Iams food, normal tap water, groomed when necessary, and just a ton of extra lovin’ and play time – but that was it! 

So, what has changed?

Well, to be honest – I think it’s just millennials!  And I’m not saying that in a derogatory fashion (I’m a millennial) but more so a stance of pride.

A lot of people have this opinion about millennials that they’re spoiled, entitled, or too focused on their own specific thing – like organic food, gluten free, keto, their locally brewed IPA’s, etc. 

My opinion of that is that millennials might be really focused on that, and while some are likely doing it just because, the origin of these things is that people are trying to improve their lifestyle! 

Organic? Health.

Gluten Free?  Health, again.

Keto?  Guess what?  Health!  (Although I hate the Keto movement but that’s for another day lol)

Locally brewed IPA’s? Flavor!  And supporting the local community.

Man, people want to be healthier, like better tasting things and support their local community? 

Those SCUMBAGS!

Now like I hinted at, some people will take this wayyyy over the top, but the initial surge of these trends were really based out of hopes for improving the quality of life for themselves and their families. 

And guess what – many people view a pet as a part of their family!  I know that I certainly do.  You can take this however you want, but I’ll be honest – I was more devastated when my childhood dog passed away than I have ever been in my life. 

That might sound ridiculous, but she was truly a part of the family for over 10 years of my life, and we legit spent hours together everyday playing in the backyard.  Again, I know it sounds ridiculous, but I think the majority of people feel this way with their pets, too.

So – back to the initial question of is pet life insurance worth it?

Unfortunately, like a lot of personal finance questions, this question comes down to your specific situation.  There are many things to consider when evaluating life insurance for your pet:

  • Have you invested significantly in your pet?
    • If you have then maybe this is something that you should look at protecting.  Some people will pay thousands upon thousands for their specific breed of pet, which again seems ridiculous, but if you have the money then why not?  Either way, it’s not for us to judge!
  • How do you intend to handle the situation if your pet gets very sick?
    • I know this might seem a little bit….off-putting…but if the pet gets pretty sick, are you the type that is going to do absolutely every single thing that you can do to help the pet survive, or are you not in the financial situation/willing to shell out the money for this?  This is something to consider.  Not necessarily that it impacts the pet life insurance, but if you’re the type that’s going to do whatever it takes then maybe you should consider pet health insurance instead of pet life insurance.
  • Is the breed of your pet at a significant risk of health issues?
    • If it is then pet life insurance could be great for you but also beware that many insurance companies know this as well and you might get denied for your claim if the pet dies due to a hereditary disease that’s common in these types of pets.
  • What is the goal of the pet life insurance?
    • With humans, the goal of life insurance is to protect your loved ones so that they can continue to live in comfort even though you’re no longer there to help provide for them.  Obviously, a pet is providing nothing to you in a financial sense, so what is the goal for getting the life insurance for them?

My #1 piece of advice when deciding whether you should get pet life insurance or not is to talk to many different insurance companies and completely understand the pros and cons of each company for your specific situation. 

I wish I could give some sort of range for the cost, but the thing is that pets are so incredibly different that it’s very hard to get a true range for an expectation of cost. 

You need to make sure that you take the time to fully understand exactly what sort of situation is going to be covered and what is not going to be covered.  It seems that for the most part, the only sort of death that is covered is some sort of accident or a sudden health issue that comes out of nowhere. 

Anything that is hereditary among that breed of pet will not be covered nor will dying of old age, which likely seems to be the most common reason for death among pets, but that’s 100% speculation on my end.

The worst thing that could happen is you get life insurance for your pet and then something happens where you think you’re covered but you’re actually not. 

All in all, I highly recommend you just to take a look at various insurance companies and get some personal quotes.  I know that might seem like a daunting task, but it’s really not!  If you’re curious of how to start, checkout this article by wikihow to help get you on your way. 

They do a great job at laying out the information in easy-to-follow steps but make sure to do the due diligence on your end with the insurance companies. 

Taking the time to understand the ins and outs of the life insurance plan will just help prevent you from getting boned!  😉