Nationwide Plans To Terminate 100,000 Animals’ Pet Insurance Coverage

(PatriotPostNews.com) — Roughly 100,000 pet insurance plans under Nationwide Insurance will be canceled due to the growing price of veterinary medicine.

The massive cancellation will occur throughout this summer and next summer, as the company seeks to preserve its “long-term viability and profitability,” according to a June 14 statement from Nationwide. The company described itself as “pet lovers” who “understand” the mixed emotions related to veterinary care.

Despite this sympathy, however, Nationwide pointed to the inflation in the field of veterinary medicine and “other factors” as the reasons for “underwriting changes” and “withdraw[ig]” certain products across specific states. The company described the decision as part of the “difficult actions” which are “necessary” to keep the business “financially sustainable” in the future.

The thousands of cancelled plans are not going to be based on a pet’s breed, age, or previous insurance claims, the company said. Additionally, every policyholder who will be affected by the change will be given advance notice, in writing, before the plan is cancelled. The current term will allow for the same insurance coverage, even for those impacted.

The decision from Nationwide comes as American voters remain concerned about inflation ahead of the 2024 presidential election. While both candidates—Democratic President Joe Biden and GOP former president Donald Trump—spark controversy in their own ways, the current administration has specifically been criticized for its poor management of the economy.

The announcement also coincides with an ongoing struggle by citizens to obtain numerous insurance coverage plans, such as home and automobile insurance. The latter rose 20.3% between May 2023 and May 2024.

Pet insurance, in particular, has become increasingly popular. Up to 24% of pet owners bought into coverage plans, according to a study from February. These plans typically provide coverage for sickness, injuries, and overall health maintenance for animals. Though specific plans vary in offers and cost, the average price for dogs is $676 per year and $383 per year for cats.