Three ways to manage surging pet care costs

In 2023, Americans shelled out a staggering $147 billion on their pets, according to the American Pet Products Association’s “State of the Industry” report. This expenditure included $64.4 billion on pet food and treats, $38.3 billion on veterinary services, $32 billion on live animals, supplies, and medications, and $12.3 billion on various other services such as boarding, grooming, insurance, and training.

Joy Benson, an executive personal assistant from Dallas, faces escalating costs for her Shih Tzu, Jasper. The 11-year-old dog has required expensive dental cleanings and surgeries, which have added up to over $25,000 in care expenses. Following a job loss, Benson turned to GoFundMe to help cover Jasper’s medical bills.

This scenario is becoming increasingly common. Many pet owners are struggling with rising vet bills, a trend attributed to a 6.2% increase in veterinary service costs from July 2023 to July 2024, according to the Bureau of Labor Statistics. Senators Elizabeth Warren and Richard Blumenthal have criticized private equity firms for acquiring veterinary practices, consolidating the industry, and driving up prices while compromising care quality.

To manage pet care costs, consider these suggestions:

1. Evaluate Wellness Plans: Be cautious with wellness plans that cover routine visits but exclude emergency care. Instead, set aside money in a dedicated savings account for pet expenses.
2. Assess Pet Insurance: Pet insurance can be beneficial, especially for major health issues. For example, Maureen Carrig’s insurance with Trupanion covered significant expenses for her dog’s cancer treatment. However, it’s essential to understand the policy details, including coverage limits and deductibles. In 2023, the average annual premium for dog insurance was $676, up from $595 in 2019.
3. Explore Financial Assistance: If you’re struggling to afford care, look into community resources. The Pet Help Finder tool can help locate affordable options in your area. Many animal shelters, veterinary schools, and organizations like The Pet Fund and RedRover offer emergency assistance or reduced fees based on income.

By being proactive and exploring available resources, pet owners can better manage the costs associated with keeping their furry friends healthy.