Pet insurance is rapidly gaining traction as a valuable tool in veterinary medicine, yet only around 3–4% of North American pets are insured as of 2023 (naphia.org). This low adoption presents a significant opportunity for independent practices. Recognizing this, organized veterinary medicine has shifted stance in recent years – the American Veterinary Medical Association officially endorsed pet insurance in 2019 and encouraged clinics to proactively educate clients about using insurance as a financial tool for care (pawlicy.com). Increasingly, veterinary teams are finding that teaching pet owners about insurance isn’t just about finances; it can directly improve patient care and drive practice growth. Below, we explore real-world examples and data showing how client education on pet insurance leads to better compliance with care, higher revenue, improved client retention, and overall practice growth in the U.S. and Canada.
Better Care through Improved Compliance
Educating clients about pet insurance can dramatically boost compliance with recommended care. When cost concerns are eased, pet owners are more willing to say “yes” to diagnostics and treatments that veterinarians recommend. In a recent North American survey, 92% of veterinary professionals agreed that pet insurance leads to better care, enabling clients to provide their pets with the best possible treatment without hesitation (pawlicy.com). This is echoed in day-to-day practice: veterinarians often note that when a client has insurance, conversations center on the quality of care rather than the cost. As one practice owner observed, “When a client has pet health insurance, the conversation is about quality of care… When she doesn’t have insurance, the conversation more often is about cost.” This shift means clients are far more likely to accept preventive, diagnostic, and treatment recommendations (dvm360.comnaphia.org).
Real-world case studies reinforce this trend. In a two-year study of four independent veterinary hospitals that implemented proactive pet insurance discussions, staff reported a tenfold jump in clients’ acceptance of recommendations. Before the initiative, only 3% of team members felt clients “almost always” accepted their treatment recommendations; afterward, 33% felt that way (markets.businessinsider.com). In other words, educating pet owners about insurance removed financial fear from the equation and empowered them to follow veterinary advice. Patients ultimately received more complete care. As Dr. Cindy Hoisington of New Hampshire notes, “Pet health insurance definitely affects the way patients get treated. With insurance, it’s so much easier for clients to accept the treatment we recommend.” Veterinary teams find this highly rewarding – pets get the care they need, and vets experience less frustration from declined services. It’s a win-win that also alleviates the ethical stress of seeing pets go untreated due to cost. Not surprisingly, the vast majority of veterinarians say pet insurance improves compliance and makes clients more likely to pursue optimal treatments (naphia.orgnaphia.org).
Financial Benefits: Higher Spending and Revenue
When clients have pet insurance – or even just a better understanding of it – they tend to invest more in their pets’ health, which boosts practice revenue. Multiple studies have quantified this effect. A research study funded by the AVMA found that dog owners with pet health insurance spent an average of $211 more per year on veterinary services compared to those without insurance (pmc.ncbi.nlm.nih.gov). Similarly, the North American Pet Health Insurance Association (NAPHIA) reports that insured pet owners significantly outspend uninsured pet owners on care – 29% more annually in the case of dogs, and an astounding 81% more for cats (naphia.org). Cats traditionally visit the vet less often than dogs, so this 81% jump indicates that insurance education can especially unlock needed care for feline patients. The increased spending reflects owners’ willingness to authorize recommended tests, procedures, or specialist referrals once they know reimbursement will soften the financial impact.
For independent clinics, these behaviors translate directly into greater revenue per client. A landmark case study by Crum & Forster Pet Insurance Group tracked four privately owned animal hospitals after implementing consistent pet insurance discussions. Over the study period, the average total gross revenue in those hospitals rose by 30.5% – far above the 9.8% revenue growth observed in benchmark hospitals without such client education (markets.businessinsider.com). In essence, educating clients about insurance enabled these practices to perform more services and capture more revenue from existing clients. Notably, this revenue growth did not require taking on more patients; it came from existing clients approving more of the care that was recommended (lifelearn.com). This is a crucial point for practices facing capacity limits – you can grow the business by increasing the care each pet receives, rather than simply adding new clients. One industry report summarized the dynamic well: pet insurance allows clinics to “say goodbye” to uncomfortable cost conversations while increasing the bottom line, since clients with coverage are prepared to spend what’s needed for their pet’s health (vetsource.com).
Increased Visit Frequency and Service Utilization
Client education about pet insurance also correlates with more frequent veterinary visits and higher utilization of services – another driver of practice growth. When pet owners know that insurance can defray costs, they tend not to delay or avoid appointments. They bring pets in sooner and more often, which can lead to catching health issues early and providing timely care. In the four-hospital study mentioned above, participating clinics saw a significant rise in patient visits after emphasizing pet insurance. There was a 23.8% increase in annual visits for insured dogs, and a 17.6% increase for insured cats at those practices (markets.businessinsider.com). This means insured clients were coming in for checkups and follow-ups far more regularly than before. Other analyses have noted similar trends. For example, internal data from one major pet insurer showed that owners with pet insurance visited veterinary clinics 80% more often than owners of uninsured pets (ezyvet.com). While exact figures vary by study, the clear pattern is that insurance removes the hesitation around visit cost. Pet owners don’t “wait and see” as long, and they are more diligent with rechecks and chronic condition management when they know they have financial support (vetsource.com).
It’s worth noting that even when the total number of visits isn’t dramatically higher, the scope of care during each visit often expands with insured clients. Owners may address multiple concerns in one go or agree to additional diagnostics since they expect reimbursement. This was seen in an AVMA economic study which found insurance did not significantly change visit count, but it did significantly increase the amount spent per visit, as owners approved more services during each appointment (pmc.ncbi.nlm.nih.gov). In practice, whether through more visits or more robust care at each visit, pet insurance education helps ensure pets receive comprehensive healthcare. For the clinic, this means higher utilization of appointments and services that would otherwise be underused, contributing to overall growth.
Client Satisfaction, Retention, and Loyalty
Educating pet owners about insurance doesn’t just yield medical and financial upsides – it also improves the client experience, which in turn bolsters retention and loyalty. Pet owners who feel empowered to care for their animal without constantly worrying about the bill tend to have a more positive relationship with their veterinary provider. In the proactive insurance education study, client satisfaction scores rose notably after implementation. By the end of the trial, 76.3% of clients reported being highly satisfied with the hospital (up from 71% before), including a 5.3% increase in those “extremely” satisfied (markets.businessinsider.com). Happier clients are more likely to return and refer others, feeding a cycle of growth. In fact, many veterinarians now view pet insurance as a practice-builder: in a 2023 survey with over 500 veterinary professionals, the consensus was that pet insurance improves client loyalty and retention, ultimately promoting practice growth (average agreement 4.13 out of 5) (pawlicy.com). When surveyed, 56% of vets rated pet insurance as a positive factor for both their clinic and clients, and a quarter went so far as to call it “extremely important” to their practice’s success (pawlicy.com).
From the client perspective, insurance often translates into peace of mind and trust – feelings that they directly associate with their veterinarian if the clinic helped educate them. A satisfied, financially-confident pet owner is far less likely to drift away to another hospital. Some data even suggest that insured clients are significantly more loyal. For example, one practice management software company reports that according to its insurance partner’s figures, customers with pet insurance are about three times more likely to stay with their veterinary clinic than those without insurance (ezyvet.com). They keep coming back for routine care and future pets, viewing the practice as a long-term healthcare partner. Additionally, by guiding clients to insurance solutions, independent vets demonstrate they care about the pet and the owner’s financial well-being, which builds goodwill. All these factors improve client retention in a competitive market. Veterinarians also benefit from this loyalty in terms of job satisfaction – it’s gratifying to work with clients who can approve care and who appreciate the value of your services, rather than only seeing those who are frustrated by costs. As one veterinarian who worked in the U.K. (where pet insurance is more common) noted, when up to 50% of patients were insured, it made a “huge difference” in the level of care they could provide and eased many difficult money conversations (naphia.org). In short, pet insurance education helps create a trusting, collaborative atmosphere that keeps clients coming back.
Real-World Examples of Success
Across the U.S. and Canada, an increasing number of independent practices have begun implementing pet insurance education initiatives – and seeing measurable benefits. The case of the four-hospital study (conducted in geographically diverse clinics) is a prime example. Those practices trained their teams to introduce pet insurance information during routine visits and make it a normal part of client education. Over the next year or two, they observed not only the financial and compliance improvements already noted, but also a cultural shift in their hospitals. Team members became more confident discussing payment options, and clients grew more receptive. By proactively removing cost as a taboo topic, these practices created an environment where pet owners felt “cared for” and informed about managing pet health expenses. It’s telling that after the program, one-third of the staff in these hospitals felt their clients almost always accepted recommended care, compared to virtually no one feeling that way before (markets.businessinsider.com). This illustrates how an educational initiative can transform client attitudes and practice morale in a relatively short time.
Individual clinics have shared similar stories. For example, Brea Veterinary Hospital in California makes a point to remind clients if their pet is insured whenever a major procedure is needed. In one case, an elderly client hesitated at a large surgery estimate until the staff reminded her that her dog’s policy would reimburse a significant portion – “it made the decision easy for her and her family,” the veterinarian reported (naphia.org). This kind of insurance counseling at the point of care ensures that pets don’t miss out on treatments simply because the owner forgot their benefits. Another common approach is for clinics to assist with filing insurance claims on behalf of clients. Many Canadian and U.S. practices do this as a courtesy, and 85% of pet owners said they’d be more likely to purchase insurance if their vet submitted claims for them (naphia.org). By integrating such services, practices like those in Ontario and elsewhere have seen more of their clientele adopt insurance, which in turn feeds the cycle of better care and increased revenue. These examples show that provider-neutral pet insurance education – from waiting room brochures and exam-room conversations to claim support – can tangibly elevate a practice’s performance. Independent veterinarians who once hesitated to discuss insurance (for fear of appearing “salesy” or due to confusion over policy details) are finding that a neutral, informative approach is welcomed by clients. Removing the stigma around the topic is often the first step; once teams treat pet insurance as just another aspect of preventive pet health (much like nutrition or exercise), clients respond positively.
Conclusion
Educating clients about pet insurance is emerging as a smart growth strategy for independent veterinary practices. It enables veterinarians to practice the level of medicine they trained for – providing the best care – while easing clients’ financial anxieties. The result is more pets receiving recommended treatments, higher revenue generated per patient, and stronger loyalty to the clinic. Importantly, these gains come without having to dramatically increase client volume or upsell unnecessary services; they simply flow from helping pet owners afford the care their pets genuinely need. Real-world data and case studies from across the U.S. and Canada underscore the impact: from double-digit revenue growth and more frequent visits to improved client satisfaction scores and compliance rates (markets.businessinsider.com). Provider-neutral initiatives, such as educating staff and clients on the basics of pet insurance and sharing unbiased resources, have proven effective in capturing these benefits. In an era when veterinary practices are busier than ever and pet owners expect high-quality care, pet insurance education offers a timely solution. It aligns the interests of pets, clients, and the practice – healthier pets, happier clients, and a thriving practice. By embracing pet insurance discussions as a standard part of client communication, independent veterinarians can foster trust, enhance care, and secure sustained growth for their hospitals in the years to come.
Sources: Real-world studies and surveys (Crum & Forster Pet Insurance Group, NAPHIA, AVMA, Pawlicy Advisor) and industry publications were referenced to provide quantitative and qualitative evidence of the outcomes described (markets.businessinsider.com), ensuring a provider-neutral analysis based on credible data. All statistics are cited to their respective sources for verification.
