Will Animals Affect my Insurance Cost?

How pets affect your home insurance rates?

What is pet insurance when buying a home?

Do pets impact home insurance?

What kinds of animals affect your home insurance rates?

Do I have to tell my homeowners insurance that I have a dog?

What breed of dogs are not covered by homeowners’ insurance?

Does having a dog affect homeowners’ insurance?

Does having a cat increase insurance?

How much does a dog add to home insurance?

Why do pets alter the cost of your home insurance?

Why do insurance companies ask if you have a dog?

How pets affect your home insurance rates?

Pets can lead to an increase in your home insurance rate. This increase is not related to the possible damages that your pet might cause to your property but instead relates to potentially harmful behaviors that your pet may exhibit. For example, if you have a larger dog, that may be considered a liability by your insurance company. This is because in the case that your pet bites or harms another person, that person could file a significant insurance claim. This is something that your insurance company will take into account and depending on the type of animal that you own you may be called to pay a higher insurance rate. [1]

What is pet insurance when buying a home?

Pet insurance is fairly similar to regular health insurance. Normally, your pet insurance company will cover the medical bills for your animal, as well as cover any costs incurred by vet visits for treatments. This type of insurance can help pet owners better handle their finances and, in many ways, it can help owners create better budgets. This is because any pet-related unexpected cost will be covered by the insurance policy that you have chosen. While, pet insurance is not necessary for buying a home, nor does it directly relate to the purchase of a home, it can have a positive effect when you are negotiating a mortgage. This is because most banks like to know ahead of time what your set income and set expenses are per month, and having pet insurance can in a way ensure that you will not have months where you are unable to cover your mortgage payment because of an unexpected vet bill. [2]

Owning a pet can also alter the cost of your home insurance, so if you are planning on buying a home you may be called to add your pet to your home insurance policy when you first sign up. This is because pets can at times be considered liabilities and may result in your home insurance rates rising. It is always best to check with your insurance company what the actual cost of adding your pet to your policy will be and whether it is something necessary under your homeowner insurance. [3] 

Do pets impact home insurance?[4]

Pets can impact your home insurance policy, especially if they are considered pets that are a liability. What this means is that while a goldfish is unlikely to hurt or cause harm to any individual that enters your home, a large dog or a cat could scratch or bite someone. This is something that home insurance companies take into consideration when deciding what the rate of your home insurance will be. In most cases, the more likely your pet is to harm someone, the more likely they are to lead to an increase in your home insurance. 

What kinds of animals affect your home insurance rates?

In most cases, insurance companies mainly want to know about the existence of large dogs on your property. This is because large dogs are often considered the pet with the most potential to harm someone in a serious manner. This is mainly due to their size and strength, and it is for that reason that most home insurance companies have specific breed lists that they are willing to cover under their policy. So, the first step to determining how your home insurance rate will be affected by your dog is by making sure you know which dogs are on your home insurance exclusion list. If your home insurance policy does not cover the dog breed you have, then it is unlikely that you will see an increase in your home insurance rates. 

In the case that your dog breed is covered by your home insurance, you will need to check with them if your pet is considered a high-risk dog for your home insurance. In most cases, dogs that are restricted on homeowners’ insurance policies, are dogs that belong to breeds that are considered aggressive. Examples of such breeds normally include the American Pit Bull Terrier, Cane Corso, Great Dane, Siberian Husky, and Rottweiler among other breeds. If your pet belongs to one of the breeds that are considered high-risk by your insurance policy you will likely see your insurance rates go up by a substantial amount. This is the way in which the insurance company will make sure that in the case of an accident where they are called to handle legal and medical bills caused by an insurance claim caused by your pet, they will be able to do so. [5]

Do I have to tell my homeowners insurance that I have a dog?

If you want your insurance policy to cover potential damages caused by your dog then you will need to tell your homeowners insurance to add your dog into your plan. Failure to do so may lead to dire results if an accident does occur and someone files a claim for damages against you. In this case, those results will be having to cover the entire cost incurred by the claim on your own, as your homeowner’s insurance policy will not include your dog. This is why it is always best to ensure that you have notified your insurance company and that provisions have been put in place so that damages caused by your dog will be covered under your home insurance policy. [6]

What breed of dogs are not covered by homeowners’ insurance?

The dogs that are covered by your home insurance policy will oftentimes entirely depend on the company that you are with. Still, there are some dogs that are considered high-risk dogs for home insurance and as such, they are often banned from a home insurance policy. These breeds most usually include: 

• Akita
• Cane Corso
• Chow Chow
• Doberman Pinscher
• German Shepherd
• Husky
• Pitbull
• Rottweiler
• Wolf dogs and Wolf hybrids

While these are some of the most common breeds not allowed in home insurance policies, that does not necessarily mean that you will not be able to get insurance for your home if you own one of these breeds. Each insurance company has its own policies and owning one of these breeds can be allowed under some companies. Still, it is important to note that even in those cases it is very likely that your home insurance rate will go up, simply because you own this particular breed of dog. [7]

Does having a dog affect homeowners’ insurance?

Having a dog can affect your home insurance rates. This is because dogs can be considered high-risk dogs for insurance policies. This is especially true in cases where the dogs in question belong to aggressive breeds or are larger dogs. Depending on the breed of your dog it may be considered more likely that your dog will cause damage to others’ properties or harm others. If that is the case then your home insurance policy will need to directly cover the costs of any medical and legal costs caused by the claims against you, this is why they are likely to set a higher insurance rate for your home. 

Does having a cat increase insurance?

Most pets do not tend to add to your home insurance rates. In fact, for most companies, it is only larger dogs that cause such increases to your insurance rates. As such, cats do not usually have any effect on your home insurance. This is because cats are considered unlikely to cause any serious damage to someone. As such, it is unlikely that anyone will file and claims against you if you own a cat. This in turn means that your home insurance policy will remain unaffected even if you do declare that you have a pet cat. 

How much does a dog add to home insurance?

The amount that your dog will add to your home insurance rate will widely depend on the company that you are with. Still, there are some things that you will need to consider when you are adding your pet to your home insurance policy. 

1. Coverage

One of the most important things that you have to decide regarding the addition of your pet to your home insurance policy is how much coverage you want to have. In most cases, for larger dogs, the suggestion is that your personal liability coverage should be at least $300,000. In general, most companies will be able to offer you coverage of an amount that falls somewhere between $300,000 and $500,000. If you know that your pet is more likely to cause damage to others then you may want to go for an insurance policy that covers a higher amount just so that you can be covered. 

2. Breed

Depending on the breed of your dog you are likely to see a smaller or a larger increase in the insurance rates that you are called to cover. In general, dogs belonging to one of the following breeds may cause obstacles when you are trying to add them to your home insurance policy. This is because they are considered more aggressive and thus, higher risks for your home insurance company. Some companies may outright choose to not cover these dogs, while others will simply impose higher insurance rates. Breeds that are considered high-risk for homeowners’ insurance: 

• Akita
• Alaskan Malamute
• Cane Corso
• Chow Chow
• Doberman
• German Shepherd
• Pitbull
• Rottweiler
• Siberian Husky
• Wolf-Dog Hybrid

3. Pet Ownership responsibilities

Some companies may look more positively at adding your dog to your homeowner’s insurance if you show that your pet has been regularly going to their veterinarian visits or if they have taken obedience classes. Dogs that are well trained are much less likely to cause any harm and that is something that in some cases will assist you to add your dog to your home insurance policy at a lower rate. Still, this is not always the case as there are always companies that simply determine your insurance rates by[8] looking at the breed that you own so as to determine whether your pet is a high-risk or low-risk case.

Why do pets alter the cost of your home insurance?

Pets alter the cost of homeowners insurance policies because they are considered liabilities. In cases where your dog harms someone else, you may face liability claims that are brought on against you. If that is the case your home insurance policy will need to be equipped to cover the cost of the damages incurred by your pet. This is why your home insurance policy and home insurance rates both need to be altered after you bring a pet into your home. 

Why do insurance companies ask if you have a dog? 

Insurance companies ask if you own a dog because in most cases dogs can be considered liabilities. This is because they could cause harm to others who visit your home and as a result, you could face liability claims. Your home insurance company will need to account for that and if you are a dog owner, they may need to include that in your home insurance policy. This may also affect your home insurance rates. 

Conclusion:

Understanding the reasons why your pet may be considered a liability and will thus, need to be added to your home insurance policy is a crucial part of being a pet owner. When adding your pet to your home insurance policy you will need to determine the type of coverage that you need. Adding your pet to your home insurance could in the long run save you a lot of trouble and money. 

  [1] https://miainc.com/blog/how-having-pets-impacts-home-insurance-rates-and-coverage-needs/ and https://getjerry.com/advice/how-pets-affect-your-home-insurance-rates-by-brady-klopfer 

[2] https://www.investopedia.com/terms/p/pet-insurance.asp 

[3] https://www.thebalance.com/how-does-getting-a-dog-affect-your-home-insurance-5093225 

[4] https://miainc.com/blog/how-having-pets-impacts-home-insurance-rates-and-coverage-needs/ 

[5] https://www.coverage.com/insurance/home/dog-breeds-that-drive-up-home-insurance-rates/ and https://www.mutualbenefitgroup.com/insurance-101/personal-insurance-101/dog-breeds-affect-homeowners-insurance/ and https://rates.ca/resources/how-different-pets-may-affect-your-home-insurance

[6] https://www.thetruthaboutinsurance.com/do-i-have-to-tell-my-homeowners-insurance-company-i-have-a-dog/ and https://clearsurance.com/blog/do-i-have-to-add-my-dog-to-my-homeowners-insurance 

[7] https://www.forbes.com/advisor/homeowners-insurance/banned-dog-breed-lists/ 

[8] https://www.surfky.com/dogs-and-home-insurance