Pet Insurance
Best Practices Guide
NORTH AMERICAN PET HEALTH
INSURANCE ASSOCIATION
by
for Veterinary Teams
WWW.NAPHIA.ORG
Pet Insurance Best Practices Guide
for Veterinary Teams
Publication date/version: March 25, 2017
Copyright: NAPHIA – the North American Pet Health Insurance Association
Author: John Volk, Brakke Consulting Inc.
Research cited:
NAPHIA - Driving Growth of Pet Health Insurance, 2016
LRW Research Worldwide / Brakke Consulting
About NAPHIA
The North American Pet Health Insurance Association (NAPHIA) is comprised of
pet health insurance organizations from across Canada and the United States.
NAPHIA’s membership makes up over 99% of all pet health insurance coverage in
effect in North America.
As a coalition, NAPHIA works to advance and grow the pet health insurance industry
through education, research, data sharing, benchmarking initiatives, advocacy efforts,
strategic partnerships, resource sharing and the dissemination of information to
collaboratively address challenges and opportunities.
Printed in Canada
1
Pet Insurance Best Practices Guide for Veterinary Teams
Pet insurance can help
your practice grow
“Do whatever it takes, Doctor. We have pet insurance.”
As a veterinarian, no doubt you’ve breathed a sigh of relief when hearing such a
comment after informing a client about the need for a particularly complex and
costly treatment.
The problem is, you don’t hear it often enough. New research conducted by
NAPHIA shows that the majority of veterinarians wish all of their clients had pet
health insurance. Yet the number of clients with pet health insurance remains low.
True, there is steady double-digit growth in pet owners use of pet health insurance.
Yet there is potential for it to grow much faster. The key is veterinary support.
NAPHIA research among pet owners indicated that 50% more would purchase pet
health insurance if their veterinary practice actively recommended it.
The study also shows that a stack of brochures in the waiting area isn’t enough.
Clients need and want specific communication that you endorse the concept of
pet health insurance. Clients also want to know which pet insurance company you
recommend, based on your own experience and feedback from other clients.
This monograph will discuss the why, and how, you and your practice can play a
much more active role in expanding use of pet health insurance.
+ 50%
more pet owners
would purchase pet
health insurance if their
veterinary practice
actively recommended it.
2
Pet Insurance Best Practices Guide for Veterinary Teams
Pet health insurance
improves patient care,
practice revenues
and often sta morale
It’s easy to see why veterinarians wish more
clients had pet health insurance.
“I have an emergency practice background and saw how easy it
was for pet owners with pet health insurance to accept whatever
treatment we recommended. It sold me on recommending pet
health insurance to our clients,” says Dr. Sara Liddell, owner of River
City Veterinary Hospital, a three-doctor practice in Meridian, Idaho.
Veterinarians responding to the NAPHIA survey identified three key
areas in which pet health insurance contributes to patient health and
practice revenues. Insurance increases:
• Compliance on recommendations
• Purchases of veterinary services
• Overall health expenditures on pets
Research among pet owners demonstrated that clients spent
29% more per year on veterinary care if their dog was covered by
pet health insurance, and a whopping 81% more on cats.
Consider the increased lifetime value of patients
covered by pet health insurance!
With PHI, owners
spend more per year
on veterinary care
CATS
+ 81%
+ 29%
DOGS
3
Pet Insurance Best Practices Guide for Veterinary Teams
Quality v. Cost
“When a client has pet health insurance, the conversation is about quality
of care” says Jonathon James, one of four owners of Animal Care
Centers, a 12-doctor practice in Castle Pines, CO. “When she doesn’t
have insurance, the conversation more often is about cost.”
Practice staff members are often encouraged when they know a client
has pet health insurance because then clients are more likely to accept
recommendations, and a lot less likely to haggle over fees.
The combination of better medical care for patients, more peace
of mind for pet owners, improved compliance with veterinary
recommendations and increased practice revenues makes pet health
insurance a win-win-win for everyone involved.
“Pet health insurance definitely
aects the way patients get
treated. With insurance, it’s so
much easier for clients to accept
the treatment we recommend.”
- Dr. Cindy Hoisington, Animal Health Center,
Rochester, New Hampshire
Veterinary practices that take an active role in educating clients about pet health
insurance are far more successful in expanding patient coverage than those that
simply set out brochures. Interviews with owners and managers of those more active
practices reveal how they do it.
Not every practice will choose to use all of these techniques. The most successful ones do. The more of these
techniques you use, the more likely you are to grow your insured patient base. Commit to a consistent level of
support for pet health insurance and you will see the results.
Want more clients with
pet health insurance?
Here’s how.
5
Pet Insurance Best Practices Guide for Veterinary Teams
Promote just one or two
pet insurance companies
Clients depend on veterinarians for pet health insurance advice in the same way they depend
on them for heartworm prevention or flea control. Researching insurance – any insurance –
is intimidating to clients. Many would prefer to simply use a company that their veterinary
practice recommends. This makes it easier for you, too.
By selecting one or two companies to recommend, your entire team
will become more familiar with these companies and their products,
and clients will hear a consistent message.
INSURANCE
INSURANCE
INSURANCE
1
2
3
#1
6
Pet Insurance Best Practices Guide for Veterinary Teams
Appoint one or more pet
insurance “specialists”
It isn’t necessary for everyone in the practice to be an
expert on pet health insurance. Clients don’t expect
detailed explanations from every employee. What most
clients really want is simply reassurance that the practice
thinks pet health insurance is a good idea. That said,
it is useful for someone in the practice to be more
familiar with the brands of pet insurance recommended
by the practice.
The pet insurance specialist may be a practice manager,
hospital administrator, receptionist – any experienced
staff person with an interest in the topic and belief in the
product. This could be the person that typically discusses
the practice’s financial policies with clients. They can be the
go-to person in the practice when anyone – client or staff –
has questions.
Every client-facing member of the team needs to be
an advocate for pet insurance on behalf of the practice.
But one or two members of the team should be trained and
positioned as specialists.
#2
7
Pet Insurance Best Practices Guide for Veterinary Teams
Review information with the client
at an appropriate time
Yes, those pet insurance brochures are important.
They are excellent take-home resources to include in puppy/kitten kits and new
client packs. But to really educate clients, it’s far more valuable if a staff member or
veterinarian walks the client through the brochure and triggers a discussion about the
benefits of pet health insurance. If the practice makes a commitment to focus on just
one or two companies, it’s very easy to become knowledgeable enough to actively
discuss the topic with clients. The brochure then serves as a reinforcement to the client,
provides more detail, and tells them how to check the company’s website for more
information or to enroll.
#3
Link on website
A link to the pet insurance company or companies of your choice on the
home page of your practice’s website helps your clients in multiple ways:
• First, by directing clients to the practice website, clients become more
familiar with the website itself. It establishes your website as a dependable source
of pet care information.
• Second, it becomes very easy for clients to find the insurance company
you recommend, learn more about it, and get an insurance quote.
• Third, it communicates to pet owners that you consider pet insurance information
important enough to put on your site. It’s a great endorsement
for the whole concept of pet insurance.
Also consider adding these links to pet portals, electronic newsletters and appointment
reminder emails.
#4
www.vetsoffice.com
go to:
www.petinsurance.com
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Pet Insurance Best Practices Guide for Veterinary Teams
Determine which patients
currently have pet health
insurance
When clients call to schedule an appointment or arrive at the desk, ask if
their pet has pet health insurance, which company, and the policy number.
Another ideal time is when a technician is taking the pet history prior to
each examination.
Asking every client:
• Identifies patients with pet health insurance coverage
• Helps you obtain policy information and have it on file
• Serves as a conversation-starter with clients who may not be
aware of pet health insurance
If you have a New Client form, be sure to include a question
about pet health insurance on the form and include a
discussion about pet health insurance in your puppy/kitten
talk checklist.
“We actually use presumptive language. We say: ‘What pet insurance do you use?’
Not, ‘Do you have pet insurance?’ This clearly identifies us as advocates for pet insurance.”
- Jonathon James
#5
9
Pet Insurance Best Practices Guide for Veterinary Teams
Note pet insurance
company and policy
number in patient
record
Recording that a patient is covered by insurance
informs veterinarians and staff that treatment costs
may qualify for reimbursement. This can facilitate
decision-making when discussing options with the
client. It’s also convenient to keep copies of claims
forms with the pet’s policy number in the patient
file. Your clients will appreciate the personal touch.
Submit claims
Many practices submit claims directly to the pet insurance
company on behalf of the client.
“It actually saves us time in the long run. We get far fewer questions from the
pet insurance companies because we list the diagnosis and treatment in the
proper medical terms,” says Dr. Patti Murphy, co-owner of a 5-doctor practice
in Burlington, Ontario, Canada. “Plus, this ensures that clients actually get
reimbursed quickly because sometimes they forget to send in the claims.”
In NAPHIA’s survey of pet owners in the US and Canada, 85% of pet owners
considering pet health insurance said they were more likely to purchase if
their veterinarian submitted claims directly to the insurance company on their
behalf after treatment of their pet.
#1234 5678
PET HEALTH INSURANCE:
Patient file
PHI
$
INSURANCE PROVIDER
PHI
CLAIM
#7
“Amazingly, many pet owners forget that they have insurance. An elderly client was facing a potentially large
surgery bill for her dog. When we reminded her that the pet was covered by insurance, it made the decision easy
for her and her family.” - Dr. Allison Massenzio, Associate Veterinarian Brea Veterinary Hospital, Brea, CA
#6
10
Pet Insurance Best Practices Guide for Veterinary Teams
#8
Pet insurance as an employee benefit
There are several reasons to consider providing pet insurance as an employee benefit.
• Nearly all veterinary practice employees have pets and want them to get top-notch care.
• It can save the practice money because more care for employee pets can be charged at regular
price rather than at a discount.
• It avoids the tax complications of providing discounted services to employees.
• It underscores to the entire team the practice’s belief in the importance of pet health insurance.
• It is the most convincing endorsement for pet insurance that you can provide.
Veterinary practices vary in their approach to pet insurance as an employee benefit. Some underwrite the cost of a policy for one
pet for each employee. Others simply pay a set amount each month for pet insurance, often depending on the length of service.
“We pay $10 per month per full-time employee,” says one practice owner. “The amount increases with seniority.”
Not all practices subsidize pet insurance. “Pet insurance is such a strong part of our practice culture that we don’t pay for it,”
says Dr. Murphy. “Still, many practice employees have it.”
“Sta members’ personal
choices seem to be very influential
with clients. When discussing pet
insurance with clients, the client
will often ask, ‘What pet insurance
do you use?’ A client doesn’t take
a recommendation seriously if the
technician or receptionist doesn’t
use the product or service.”
- Dr. Andrew Moatt, owner of four practices in
Castro Valley-Napa area of California
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Pet Insurance Best Practices Guide for Veterinary Teams
#9
30-day no-cost trial policies
Where allowed by state Departments of Insurance,
some pet health insurance companies oer
30-day no-cost introductory policies. Clients like them.
Veterinarians clearly like them too.
If the pet insurance company you recommend offers no-cost trial policies, be
sure to inform clients, especially new clients or existing clients with new pets.
There may be time sensitivity, too. Generally, no-cost trial policies must be activated
within one or two days of a veterinary visit to get full benefits. Consider having clients
activate the introductory policy from their smartphone before they even leave the practice.
30 days
PHI
N
o
C
s
t
“One client took a free trial policy and had a subsequent need for significant treatment.
The company paid the claim, no questions asked. It made a believer of me in how serious the
pet insurance company was about its product.”
- Dr. Cindy Hoisington, owner of a three-doctor practice in Rochester, New Hampshire
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Pet Insurance Best Practices Guide for Veterinary Teams
Engage the entire practice
Generating a supportive culture for pet health insurance works
best when everyone in the practice is on board. True, practice
managers or customer relations representatives may have more
direct responsibility for educating clients about pet insurance.
But that information will be more effective if reinforced by
technicians and veterinarians.
Veterinarians especially are highly influential
with clients. Something as simple as, “Be sure to
talk to Michelle at the front desk about pet health
insurance. We think all of our clients should
consider it,” can be very eective.
“It is critical that the whole staff buys into pet insurance. If a
vet recommends pet insurance but the receptionist says ‘it’s a
waste of money’, the client won’t follow the recommendation.
The whole team needs to get on board,” says Dr. Moffatt.
It takes a coordinated effort to make pet insurance education
a routine part of the practice culture. Talk about it at practice
team meetings. Share success stories of pets that received
needed treatment because they were insured. Discuss pet
health insurance in new employee training. Remind the
entire team of the need to make pet insurance part of daily
conversations with clients.
#10
13
Pet Insurance Best Practices Guide for Veterinary Teams
Other techniques
There are many other ways that practices are
promoting pet health insurance, such as:
Discussions in newsletters and on social media
Presentations at open houses
“Pet Health Insurance Month” at the practice
Contests for sta
Pet insurance messages on practice smartphone apps
Pet insurance information on the practice’s “on hold” message
Displaying pet health information on your reception area TV
The most important thing is to make a commitment to the
idea that your practice is going to help spread the word
to clients about pet health insurance. Insurance helps
clients say “yes” to the care you recommend.
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Pet Insurance Best Practices Guide for Veterinary Teams
Target new pets, new pet owners, and new clients
If your practice makes it a habit to ask every client whether they have pet health insurance,
over time you will learn who has it and who doesn’t. That conversation in and of itself will stimulate
discussion about pet insurance.
Research shows that most pet insurance is purchased within
the first year of ownership or after the pet’s first visit to a
veterinarian. In addition, the people most likely to take a
strong interest in pet insurance are first-time pet owners, and
experienced pet owners with a new pet.
“We became more effective when we narrowed the target for
educating clients about pet insurance. Now we discuss it with
clients with newly acquired pets, and new clients with pets under
five years of age,” says Jonathon James.
Targeting new pets, new pet owners and new clients helps the
practice team focus on those clients most likely to be receptive
to the information. It’s also the ideal time for clients to benefit
most from the coverage.
of pets were enrolled
within the first 6 months
of ownership
When Clients are Most Likely to Purchase Pet Health Insurance
1 Week - 6 months Within 1 Week After 1
st
vet visit When vet
recommends it
When owner
enrolled another
pet in PHI
67%
36%
35%
16%
12%
8%
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Pet Insurance Best Practices Guide for Veterinary Teams
Why promote pet insurance in your practice?
Many veterinarians don’t recommend pet health insurance because unlike other products,
the practice doesn’t actually sell it. However, the practice clearly does experience direct benefits.
NAPHIA’s research demonstrates that pet owners with pet health
insurance visit the practice more often and spend more than owners
without insurance.
The vast majority of veterinarians also said that pet insurance helped
improve compliance, and made pet owners much more likely to say
“yes” to optimum medical treatments.
Veterinarians recommend many things they don’t sell:
Regular exercise. Safe environments. Behavior training.
All benefit the pet’s health and wellbeing, and make pet
ownership more enjoyable and rewarding.
So it is with pet health insurance. Coverage helps ensure
that pets will get all the medical care they need, regardless
of cost. It provides peace of mind to the pet owner, and
the comfort that they will always be able to do what’s best
for their pet.
“I practiced in England where pet insurance is much more
accepted,” says Dr. Moffatt, “In some of my hospitals, up to
50% of patients were insured, this made a huge difference in the
level of care provided to patients.”
“Every client with
pet health insurance is
a patient that’s going to
get proper care.”
- Dr. Cindy Hoisington
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Pet Insurance Best Practices Guide for Veterinary Teams
Practice Pet Health Insurance Checklist:
1. Which one or two Pet Health Insurance Companies
will we promote in our office?
____________________________________________________
____________________________________________________
2. Who in our office will be our Pet Health Insurance
specialist(s)?
____________________________________________________
____________________________________________________
3. When is a good time for our specialist(s) to engage
clients in a discussion about Pet Health Insurance?
____________________________________________________
____________________________________________________
4. Have we added links to Pet Health Insurance
on our practice site?
❍ YES ❍ NO
5. How will we determine which clients have
Pet Health Insurance?
____________________________________________________
____________________________________________________
____________________________________________________
6. Are we currently noting Pet Health Insurance
providers and policy numbers in our client records?
❍ YES ❍ NO
7. Do we currently submit claims on behalf of
our clients?
❍ YES ❍ NO
8. Do we currently offer Pet Health Insurance as
a benefit to our employees?
❍ YES ❍ NO
9. Do our selected providers offer a no-cost 30-day
trial policy?
❍ YES ❍ NO
10. What are some ways we can engage the
entire practice in promoting the benefits of
Pet Health Insurance?
____________________________________________________
____________________________________________________
____________________________________________________
____________________________________________________
____________________________________________________
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Pet Insurance Best Practices Guide for Veterinary Teams
Notes:
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Pet Insurance Best Practices Guide for Veterinary Teams
Be an advocate for
pet health insurance
The purpose of this Best Practices Guide for Veterinary Teams is to demonstrate
how the practice can play a more effective role in educating clients about pet
health insurance. Our extensive research among pet owners provides evidence
that pet owners support this proactive role.
Being an advocate is not the same as selling. In fact, pet insurance is a regulated product
that is licensed on a state-by-state basis by their departments of insurance.
This means that only licensed agents are authorized to sell coverage.
By simply following the best practices and guidelines we’ve provided
here, you and your team will help pet owners be in a better position to
decide whether or not to use pet health insurance to help cover the costs
of care. The individual pet insurance companies will do the selling.
Research shows that increased use of pet health insurance will help
empower the growth of your practice.
For more information about pet health insurance
or the research quoted in this monograph, visit the
North American Pet Health Insurance Association at:
naphia.org
1-877-9NAPHIA or 1-877-962-7442
