Vet bills are notoriously expensive, which is why many pet parents invest in pet insurance. Most policies follow a reimbursement model; however, some pet insurance companies pay the vet directly. Direct pay can help pet parents in a pinch, but is pet insurance that pays upfront worth it?

Do pet insurance companies pay the vet directly?

Just a few major pet insurance companies — Trupanion, Healthy Paws and Figo are three of them — pay vets directly. This payment approach appeals to policyholders because it allows them to avoid paying out of pocket for expensive vet bills.

However, most pet insurance companies don’t pay vets directly; they rely on a reimbursement model instead. A traditional reimbursement model requires you to pay for services upfront, submit a claim and then receive reimbursement based on your policy’s reimbursement rate.

How does direct vet pay work?

Pet insurance companies that offer direct pay can pay eligible veterinarian bills directly instead of requiring you to pay out of pocket first. How the payment gets processed depends on your insurer and whether or not your vet is set up to receive direct payments.

For example, if you have Trupanion pet insurance and your vet accepts Trupanion Vet Direct Pay, then you can use Trupanion’s direct pay feature to cover eligible expenses at checkout.

However, PetsBest requires you to file and submit a claim along with a signed reimbursement release form from your vet. Payment will be sent directly to your vet once your claim is approved.

“The direct pay process may vary depending on your insurance provider as some have software vet offices bill directly while others require a reimbursement release form,” said Tom Bean, vice president of insurance services operations at Figo Pet Insurance. “It’s always best to confirm the process with a customer experience representative before visiting the vet to ensure you’re prepared and don’t encounter any unexpected issues with the payment process.”

Regardless of which direct pay provider you use, remember that any deductibles, coinsurance and annual coverage limits are applied to the total bill before your insurer pays. This means you’ll eventually have to pay your share

Which pet insurance companies offer direct vet pay?

Only a handful of pet insurance providers pay vet bills upfront, and each handles the direct payment process differently. Here’s what you can expect from each one:

• PetsBest: Offers Vet Direct Pay for all of its pet insurance plans. You must download and complete a veterinarian reimbursement release form, get your vet to sign it and then submit it online, via fax or email or through PetsBest’s mobile app. The payment will be sent directly to your vet once the claim is approved.
• Progressive: Offers pet insurance through PetsBest, which means direct pay is an option for all plans.
• Trupanion: Can pay eligible vet bills directly at checkout if your veterinarian has Trupanion’s software. There is no need to file a claim if the vet uses Trupanion Vet Direct Pay. However, you’ll need to pay any applicable deductibles plus 10% of the costs at checkout.
• State Farm: Offers pet insurance through Trupanion, which provides direct pay.
• Geico: Partners with Embrace and Trupanion for its pet insurance policies. If you acquire a policy through Trupanion, direct pay will be an option if your vet carries Trupanion’s direct pay platform. Unfortunately, Embrace doesn’t have a direct payment option.
• Healthy Paws: Allows policyholders to arrange direct payments in advance. You will need to notify Healthy Paws’ claims department before any treatment. However, receiving direct pay approval doesn’t guarantee coverage for your claim. If both your direct pay request and claim are approved, the claims department will coordinate payment with your vet. However, Healthy Paws’ direct pay option is only available during business hours.
• Figo: Doesn’t advertise direct pay; however, it can pay the vet directly at the policyholder’s request as long as it’s indicated during the claim submission process.

Advantages of pet insurance that pays vets directly

Utilizing a direct payment option for vet bills appeals to many pet parents. Top benefits include:

• Avoiding out-of-pocket, upfront costs: Treatment for covered incidents like broken bones, wounds or cancer can rack up four-digit vet bills. A direct payment option helps you avoid paying for the entire cost of care at checkout, a move that could force you to max out a credit card or deplete your savings.
• Shorter claims process: With Trupanion’s vet direct pay, you can skip the entire claims process and get covered expenses paid immediately. PetsBest and Healthy Paws require signed paperwork and preapproval, respectively, which can jumpstart the claims process before you make your claim.
• You don’t have to wait for reimbursement: A traditional claims process requires policyholders to wait to be reimbursed. With direct pay, you avoid waiting on reimbursement. You’re responsible for your deductible and your share of the bill according to your policy’s reimbursement rate, but that’s it.

“If a pet has an [un]expected costly vet visit that goes beyond the available funds of a pet parent, direct reimbursement to the vet is extremely helpful and relieves some of the financial stress so they can focus on getting their pet the care they need,” Bean said.

Is direct pay pet insurance worth it?

Finding the best pet insurance that pays the vet directly can be complicated. Only a few companies offer it, and of the ones that do, accessibility is a challenge.

For example, if you have Healthy Paws and your pet has an emergency, you wouldn’t have time to arrange a direct payment for treatment in advance. Instead, you’ll rush in for care and need to pay for all covered services out of pocket, thus defeating the primary benefit of having pet insurance with direct pay.

“Since not all veterinary offices offer direct pay, having this as your only payment option can limit the accessibility to care for your pets,” Bean said. “If you are in a remote location with limited veterinary offices, you may only have the option for traditional reimbursement.”

If your home veterinary office has Trupanion’s software, accepts Healthy Paw’s direct payment option or is agreeable to PetsBest’s reimbursement release, then direct pay pet insurance can be worth considering.

However, its limited accessibility and potential roadblocks with emergency care raise concerns about its overall efficiency and desirability.

Alternative to direct vet pay pet insurance

Pet parents have a few alternative payment options if direct pay isn’t available.

• CareCredit is a health-based credit card that can be used for human or pet-related medical expenses. It usually has deferred- or no-interest promotional financing offers, depending upon the total bill amount. As with any credit card, you’ll need to be approved and pay the balance back over time.
• ScratchPay offers a variety of online payment plans and medical financing loans. Loan terms range from six to 24 months and require $15 to 20% down. Rates and plan options are based on credit history and other factors. Payments can be biweekly or monthly.
• Vet payment plans are offered by some vets as a financing option for pet parents. They may use a payment management tool like VetBilling.com or provide an in-house payment plan.
• Pawp emergency fund is a paid upgrade that provides coverage for one emergency visit up to $3,000 annually for Pawp members. Approval is required before emergency treatment in nearly all cases.
• Nonprofit organizations and grants are alternative financial assistance options to help pet parents with vet bills or fund life-saving treatments.

Frequently asked questions (FAQs)

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