Why might pet insurance cost more at renewal?

The short answer

There are many reasons why pet insurance might cost more at renewal. Put simply, it’s because the future risk of insuring your pet is higher than it was last year. Your pet’s getting older, vet bills keep rising, and the overall number and cost of claims across the UK has gone up. If you’ve claimed, that can also affect your renewal price.

Why did my pet insurance go up?

Your pet is getting older

If you’ve ever looked at your furry pal and thought “you’re still my puppy/kitty”, you’re not alone. But the reality is, insurance has to look forwards, not backwards.

As pets age, they’re more likely to need vet visits, tests and treatment. Even if your pet seems perfectly well today, the chances of a health issue cropping up next year are higher than when they were younger.

That’s why you might see a bigger jump in price at certain ‘milestone’ ages. It’s simply that as pets get older, they tend to need more care. Just like us!

It helps to remember why lifetime cover exists. It’s there for emergencies, and supporting your pet throughout their life by covering the expensive surprises that get more common with age.

Vet care is getting more expensive

Veterinary care has changed a lot in the last few years. Many treatments that used to be rare (e.g. advanced scans, specialist surgery, long-term medicines) are now more widely available.

That’s brilliant for pets. But it also means the average vet bill is higher than it used to be. Other considerations include:

• More expensive medication and supplies

• Higher staffing costs

• More specialist referrals

• More diagnostic tests to get answers quickly

So even if nothing changes about your cover, the price of providing that cover may increase in line with the price of vet care.

To help offset rising costs, the Competition and Markets Authority (CMA) will be making changes to how veterinary practices operate, starting from September 2026. The aim is to improve transparency on pricing, ownership and treatment options - vets will need to publish price lists, give written estimates and prescriptions, cap prescription fees, ease switching, and have a proper complaints process in place.

Does making a claim increase my premium?

Yes it does. If you make a claim, you’ve used the policy for what it’s for: helping with unexpected vet bills. Any increase in your price will be specific to your pet’s situation, as lots of things are weighed up at renewal including your pet’s age, breed, and the wider cost of vet care.

If you haven’t claimed, you might still see a renewal increase. That’s because renewal pricing doesn’t work on a ‘no-claims bonus’ system. Insurance premiums are based on future risk, which increases as your pet gets older.

Keeping your dental cover valid

Dental cover is one of the most misunderstood parts of pet insurance, and not all insurers cover it. That’s because teeth problems are often preventable (or at least manageable) with regular dental care, so most insurers need you to keep up with routine checks.

If you want your dental cover to stay valid with Napo pet insurance, it usually comes down to a few simple habits. You must:

• keep up with your pet’s annual dental checks with a vet

• follow any advice you’ve been given (e.g. cleaning routines or follow-up appointments)

• don’t ignore early signs of dental disease, like bad breath, sore gums, or not wanting to eat hard food

Pet insurance requirements aren’t there to catch anyone out. They help ensure dental issues are treated early, before they turn into bigger (and more painful) problems!

Still not clear on what’s needed? Learn more about pet insurance dental cover in our blog. It’s also worth checking your policy documents before renewal, so you understand what’s expected.

Why switching might not always be the answer

When a renewal price goes up, it’s completely normal to shop around. You want to protect your pet and your budget.

But switching isn’t always the easy fix it looks like on the surface. Here’s why:

Pre-existing conditions can become exclusions on a new policy

Even if a condition wasn’t formally diagnosed, anything your pet has shown signs or symptoms of before you switch could be treated as a pre-existing condition by a new insurer. If in doubt, speak to your new insurer before you move.

Waiting periods may apply 

New policies often don’t cover certain conditions straight away. For instance, you may not be covered for accidents and illnesses at the start of your policy, with a short wait period before you can claim. If you’re ever unsure about this, please check with your new insurance provider before you switch.

The cover might not be like-for-like 

Two policies can look similar on a comparison site, but work differently when you actually need to claim. Important factors to consider include lifetime cover, policy cover limits, and any exclusions. 

Lifetime cover means an insurer will look to continually cover a condition once they’ve approved it, provided you keep meeting their policy requirements and renew each year. This cover can provide peace of mind should your pet ever get diagnosed with a long-term illness that needs treatment year-on-year.

Term cover protects you for a fixed period (usually 12 months). While these policies may be priced lower, if your pet is diagnosed with a long-term illness that continues outside of the policy period, this condition may be considered pre-existing by other insurers.

Many policies also have ‘outer and inner limits’. Your outer limit is the overall policy cover limit, and the inner limits (or ‘caps’) are the limits on certain conditions or treatment types. For example, an £8,000 policy with Napo means you have up to £8,000 for vet fee cover (the outer limit), and inner limits within that, such as £2,000 for dental cover and £1,000 for behavioural treatment.

Some insurers place caps on more specific treatments, like how much you can claim for scans such as X-rays or MRIs. They also may cap certain conditions such as IVDD. Considering your pet’s needs, breed, and what they may be prone to in the long-term can help inform your decision. If you’re ever unsure, your vet can provide professional advice for your four-legged friend.

Before you decide to switch, it’s always worth double checking whether your pet’s pre-existing conditions will be covered, and confirming that your new policy meets your needs, as well as your pet’s.

Your options at renewal

If a renewal increase is worrying (or you’re trying to plan ahead), there are some options you could consider.

Review your cover level

If your policy isn’t on the lowest vet fee cover limit, you could consider a lower level with your existing insurer that suits your budget, as long as that level still meets your pet’s needs. You might also be able to adjust your excess payment, or add a voluntary co-payment (co-pay). All of these options could help to reduce a renewal price increase, while still keeping protection in place.

The trade-off is you’d have a lower annual claims limit, or you’d have to contribute more towards accepted claims, so it’s worth thinking about what you’d be comfortable paying if something big happened. It’s totally up to you.

With Napo, you can reduce your vet fee cover limit or add voluntary co-pay for pets under 9 years old. Other pet insurance companies may offer different adjustments, so it's always best to speak to your insurer first to see how they can help!

Make sure your details are up to date

Accurate information matters. If anything has changed (e.g. your address, or pet details) you must update it and let your insurer know so your renewal quote reflects the right level of risk.

Ask questions before you decide

Each pet has different needs, which means each renewal has a different price. If anything is unclear, your insurer will be happy to walk you through the factors that impacted your renewal and any options available to you.

Frequently asked questions

If I didn’t claim, why did my price still go up?

Because premiums are based on future risk, along with factors like your pet’s age and the wider cost of vet care - not just what happened to your pet last year.

Will my premium go up every year?

It often can, because pets are getting older and vet costs tend to rise over time. But it’s not a fixed percentage, and it won’t always increase by the same amount. Each pet is assessed individually. 

If you’re worried about your premium increase, speak to your pet insurer to see if there are any options you could consider that might reduce your premiums.

Does my premium go up if I claim?

Yes. The type of claim and the overall context matter, and it won’t always translate into the same pet insurance renewal price rise for everyone. Every pet is unique.

I’m worried about my premium payments. What can I do? 

If you’re feeling concerned, you could consider options such as moving your policy to a lower cover level, increasing your excess, or adding a voluntary co-payment. Speak to your pet insurer, as different product options may be available to you.

Is it worth switching insurers?

That’s up to you! Check your policy documents carefully for exclusions for pre-existing conditions, any waiting periods for cover, and whether the cover is truly like-for-like (e.g. limits, what’s included, and what isn’t). If your pet’s had any health hiccups in the past, this is especially important.