Categories: insurance

Pet savings account to pay for self-insurance

A designated pet savings account at your bank is a good way to manage self-insurance for cat and dog companion health.

Pet savings account. Image: PoC based in copyright free clipart.

A little while ago I suggested that self-insurance is a better way to insure your pet’s health because you avoid the administration charges of a big insurance company and their necessity to make a healthy profit. In other words it is cheaper to run a self-insurance scheme that it is to take out a classic pet insurance policy. However, if the insurance companies became more competitive they might be a better option.

I want to add a little bit to that article by saying that the best way to run a self-insurance scheme is to open a pet savings account. To be completely clear about what I’m discussing, a self-insurance scheme is saving money to pay for that big veterinary bill which may come along.

One difficulty with saving money is that it requires self-discipline. A lot of people find it difficult to regularly save money for various reasons. It might be said that in the modern world people save money less than they did in times past. The way to inject a bit of discipline into the process is to open a pet savings account and instruct your bank to transfer £30 (in the UK) or $30 (in the USA) from your current account to your newly opened pet savings account every month.

You can then forget about the whole process. US$30 is about the average that you would pay per month under a normal pet insurance policy. You might consider paying just $20 a month or even less; even $5 pm is okay. The amount is less important than the regularity of saving. It might surprise you how fast you end up saving a reasonably large sum of money. If you fall short because by misfortune your cat or dog contracts an illness that requires veterinary care before your savings have accrued enough funds you might also consider entering into a free credit agreement in the UK. I’m unsure if this sort of arrangement is available in the USA but if it is it would certainly help, provided you read the terms and conditions carefully. Even under interest-free credit agreements such as the one I’m referring to, they will charge interest at some point depending upon the amount of credit you need. You can read about this form of interest by clicking on this link.


The three Rs of pet insurance: “how can we refuse, recoup or reduce this claim”

A guy who worked in the pet insurance business as a loss adjuster knew the drill of the pet insurance ...
Read More

Grey areas bedevil the pet insurance industry

In the UK the Financial Ombudsman Service usefully lists the type of complaints that they see from customers of pet ...
Read More

Top three cat health insurance claims

This page discusses the top three cat health insurance claims in America as per five pet insurance companies (2018). Trupanion ...
Read More

Pet insurance improves companion animal welfare

It could be argued that pet insurance is not as popular as it could or should be. The take-up is ...
Read More

Free credit to help pay your veterinary bill

A little while ago I wrote about the choice between taking out an pet health insurance policy with one of ...
Read More

Pet health insurance claims for the Bengal cat

I have some information provided by Tesco Bank Pet Health Insurance concerning the Bengal cat and it makes interesting reading ...
Read More

Maine Coon top 5 health claims Tesco pet insurance

Tesco Bank pet insurance, in the UK, usefully provide us with the top five health claims made by owners of ...
Read More
Michael Broad

Hi, I'm a 71-year-old retired solicitor (attorney in the US). Before qualifying I worked in many jobs including professional photography. I have a girlfriend, Michelle. I love nature, cats and all animals. I am concerned about their welfare.

Recent Posts

Bug-eyed calico kitten’s hair strands remind me of Van Gogh’s brush strokes

Her name is Zinnia. There is a faint similarity of the brush strokes and the…

28 mins ago

A link between women’s love of cats and their concern for fairness and compassion?

There's a huge study out at the moment from the University of Southern California concerning…

4 hours ago

His childlike pet drawings have raised thousands for rough sleepers

You never quite know the formula for becoming an internet, social media sensation perhaps because…

9 hours ago

Woman isolated during lockdown with Ehlers-Danlos syndrome finds comfort in her cat companions

NEWS AND OPINION: It is a time to praise the domestic cat for comforting vulnerable…

10 hours ago

Cats Protection report that black cats are no longer being ‘left on the shelf’

Some good news for people who love cats, all kinds, no matter what their colour.…

11 hours ago

Is it normal for a cat to have one kitten?

I have to research this as I don't have first hand experience and my research…

24 hours ago