How This Calculator Works

Data Sources

• Primary dataset: 50,000 pets, 210,235 claims (2018–2020). This is a publicly available academic research dataset — see stevenrhart/predicting-claims on GitHub. We use only derived aggregate statistics (means, medians, percentiles by breed and age group), never raw individual pet data.
• Industry baselines: Premium averages and loss ratios from the NAPHIA 2024 State of the Industry Report . Average annual premiums: $749.29 (dogs), $386.47 (cats). Industry loss ratio: 72%.
• Procedure costs: Typical cost ranges from CareCredit published averages and Pumpkin Insurance claims data.
• Breed information: Dog breeds from the American Kennel Club (AKC). Cat breeds from the Cat Fanciers' Association (CFA).

What We Calculate

We estimate what you would have paid in premiums based on your pet's breed, age, and years owned — using NAPHIA's national averages adjusted for age (younger pets pay less; older pets pay more). We apply an 8% upward adjustment to bring 2018–2020 dataset premiums in line with 2024 levels.

We estimate what insurance would have reimbursed based on your reported vet spending. Routine and wellness care is excluded — almost no accident-and-illness policy covers it. We apply a standard policy structure to the remaining claimable spend:

• Annual deductible: $500
• Reimbursement rate: 80%
• Annual limit: $15,000
• No wellness rider

The difference between estimated reimbursements and estimated premiums is your net result. Positive means insurance would have paid more than it cost. Negative means you would have come out ahead by self-insuring.

Important Caveats

• This is a retrospective estimate, not a quote. Actual premiums vary by carrier, location, and your pet's specific health history.
• Pre-existing conditions. All policies exclude pre-existing conditions. This calculator cannot account for what would have been excluded for your specific pet — which means for some pets, the actual reimbursements would be lower than our estimate.
• Dataset timeframe. The dataset reflects 2018–2020 claims. Veterinary costs have increased since then. We apply a 1.08× adjustment factor to premiums, but absolute cost comparisons should be taken as directional.
• Limited breed data. For breeds with fewer than 30 pets in the dataset at a given age range, we use species-wide averages and flag this in the results. Percentile comparisons for these breeds are rough estimates. See our guide to the most expensive dog breeds to insure for breed-specific risk context.
• Dataset loss ratios. The dataset shows anomalously high internal loss ratios (reflecting the structure of the research sample, not the industry). We use NAPHIA's 72% industry figure — derived from real premium and claims data across millions of policies — for all industry-level statements. The dataset is used only for breed and age patterns.

Why This Tool Exists

Most pet insurance calculators online are built by insurance companies or affiliate marketers. They're designed to sell you a policy, not give you an honest answer.

This tool will sometimes tell you insurance wasn't worth it — because for many pets, that's the truth. The 72% industry loss ratio means the average policyholder's net cost is about 28% of premiums — roughly $210/yr for dog owners. That's the price of risk transfer, not evidence of a scam. High-risk breeds and pets with catastrophic incidents can see returns of 3–10x what they paid. Most policyholders pay a modest margin for peace of mind and protection; a few save thousands. The decision deserves honest math, not a funnel.

Data Attribution

• Primary dataset: github.com/stevenrhart/predicting-claims (Steven R. Hart, 2020)
• Industry data: naphia.org — 2024 State of the Industry Report