Nationwide Pet is dropping around 100,000 pet insurance policies saying inflation in the cost of veterinary care is threatening the financial sustainability of the company.
Nationwide, which is the largest provider of pet insurance in the U.S. insuring more than 1 million pets, said the “difficult action” was needed now.
“Inflation in the cost of veterinary care and other factors have led to recent underwriting changes and plan availability in some states — difficult actions that are necessary to ensure a financially sustainable future for our pet insurance line of business,” said a statement from the company released on May 29.
Those being dropped will be notified by mail, the company said. Decisions of non-renewal were “not associated with the pet’s age, breed or prior claims history,” according to Nationwide.
Nationwide said it has paid billions of dollars in claims over the last 40 years.
“Given the current environment, our rates will continue to be fair and appropriately priced for the plan, pet, and breed,” the company said in a statement on June 14. “We are making these tough decisions now so that we can continue to be here for even more pets in the future.”
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