The benefits of implementing a pet insurance program for clinic staff

In general economic terms, veterinary income is well down on the salary scale for professionals. As a direct consequence, salaries for nonveterinary employees have been described as “appallingly low,” after results from both the Ontario Veterinary Medical Association and the Nova Scotia Veterinary Medical Association nonveterinarian wage reports were published (1). Further, it has been documented that for a typical client, the ceiling for a veterinary bill when euthanasia becomes a viable option is in the $550 to $600 range, and that the ceiling would rise to $2000 with pet insurance (2). The need for “third party” payment of fees is obvious. Currently, veterinary practitioners are only just beginning to realize the benefits that well-designed pet insurance policies can provide — not only to their clients and patients, but also to themselves. The percentage of pet owners in North America who have pet insurance is very low — less than 1% of pets are insured, while in the United Kingdom and Europe close to 20% are insured (1). This opportunity for growth provides an effective method of assisting the profession out of the financial doldrums.

Most veterinary practices provide medical and surgical care for employees' pets as an “in-house” benefit, by significantly discounting the services. Even with the discount, clinic staff members are often placed under a difficult financial burden, while at the same time the practice is financially short-changed. It is probably fair to say that, under these circumstances, the care that could be provided for an employee's pet is often compromised. With pet insurance, the need for care for the employee's pet at emergency or specialty facilities will become a viable option for the employee, and the practice will receive full payment for services rendered. Veterinary technicians, assistants, and receptionists are among the most pet-oriented people, for whom the human/animal bond is very strong. The benefits of them having pet insurance as a staff benefit can only enhance the hospital working relationship.

There are significant economic and marketing benefits for practices that participate in an employee pet insurance program. By receiving the “full value” of pet insurance, the employee and the whole health care team will become familiar with the range of services offered and will also become aware of the “intrinsic value” of knowing that their pets will be well cared for. Staff familiarity with the insurer's policies will provide more positive messaging to clients. This should result in reduced confusion about the pet insurance industry, as it currently exists, and an increased number of insured clients' pets in the practice. Practice income will be increased for 2 reasons: less discounting of services and more procedures done for both employees and regular clients. Further, as with any business, certain sound business principles apply to veterinary practices. One of these is to fix costs, wherever possible. As a staff benefit, an employee pet insurance program addresses this perfectly.

There is a huge economic opportunity for all veterinary practice owners, not only to embrace the pet insurance concept, but also to enhance that transition through an employee pet insurance program as a staff benefit.

George Guernsey