Just received this notice from Petplan; they are requesting a rate increase of 26%!
Thank you for being a loyal member of the Petplan family.
As part of our continued efforts to offer the most comprehensive coverage for our policyholders and their pets, we are delighted to announce that we are increasing the coverage limits on our bronze, silver and gold policies. On average, the annual coverage limit will increase by 15% at your next renewal. This means that as a policyholder, you can have even greater peace of mind when it comes to Hoop, Kate and Lucy's unexpected vet bills.
We are introducing these increased policy coverage limits to ensure that your pet's protection is in line with advances in veterinary medicine, and the increasing amount spent on veterinary care. According to the American Pet Products Association (APPA) 2011-2012 National Pet Owners Survey, pet parents will spend $12.2 billion on veterinary care this year alone, up from $11.0 billion last year and $8.2 billion five years ago.
Not only do costs within the veterinary market as a whole change from year to year, but as veterinary technology advances, treatment options become more advanced and thus more expensive. As a company, we, along with our underwriter - AGCS Marine Insurance Company - must adjust premiums to accommodate the ongoing changes in veterinary medicine, and the associated costs for our pets.
This email is to provide notice as required pursuant to N.J.S.A. 52:27EE-51 that AGCS Marine Insurance Company filed on 17th December, 2012 with the New Jersey Department of Banking and Insurance a request for a rate increase in the amount 26.6% for pet health insurance. Under the proposed filing, the average policy will see a rate change of no more than 25%. The impact of the filing on your rates may vary substantially, depending on the terms of your policy and your individual circumstances.
The request for a rate increase is subject to review and approval by the Department of Banking and Insurance pursuant to law, and the request ultimately may not be approved or may not be approved for the full amount requested. If approved in whole or in part, the rate change will not affect existing policies until they come up for renewal.
As always, we're here to help. If you would like to know more about veterinary advancements and how they can help you seek and provide the best care for Hoop, Kate and Lucy, follow along with our team of veterinary experts on our Vets for Pets blog. If you have any questions about this letter, or our proposed policy changes, please contact us.
Warmest regards,
Your friends at Petplan