PetQuick Answer
This glossary defines the pet insurance terms Canadians actually run into — on quotes, policy documents, and our own guides. Each term links to a deeper explainer or cost guide where one exists. The four that decide most claims: deductible, reimbursement rate, annual payout cap, and pre-existing condition.
Policy & cost terms
Premium
What you pay the insurer to keep a policy active, usually monthly or yearly. Premiums rise with your pet's age and vary by breed and postal code. See how much pet insurance costs in Canada.
Deductible
The amount you pay out of pocket before the insurer starts reimbursing. Can be annual (paid once per policy year) or per-condition (paid once per condition for life). Raising it lowers your premium. See deductibles explained.
Reimbursement rate
The percentage of an eligible vet bill the insurer pays back after your deductible — typically 70%, 80%, or 90%. The rest is your co-pay. See reimbursement vs direct vet pay.
Co-pay (coinsurance)
Your share of an eligible bill after the deductible — for example, 20% on an 80%-reimbursement plan.
Annual payout cap
The maximum an insurer will reimburse in a policy year. A low cap can be exhausted by a single catastrophic event; an unlimited cap keeps paying through the whole treatment. Often the most important feature on a policy.
Rider (add-on)
An optional extension of coverage bought on top of a base policy — most commonly a wellness add-on.
Underwriter
The licensed insurance company that actually backs (and pays out) a policy. The brand you buy from isn't always the underwriter — for example, Petline underwrites Petsecure, and Pets Plus Us underwrites CAA Pet Insurance.
Coverage types
Comprehensive (accident & illness)
The broadest standard tier — covers both accidents and illnesses. The only tier that meaningfully covers catastrophes. See coverage explained.
Accident-only
Cheaper coverage that pays for injuries but not illness. Since illness is statistically the bigger expense, it's a poor fit for most pets. Compare in accident-only vs comprehensive.
Wellness (routine-care add-on)
An optional add-on covering routine care — vaccines, annual exams, dental cleaning — that base policies exclude. See average vet visit costs.
Direct vet pay
When the insurer pays the clinic directly at checkout, so you only cover your deductible and co-pay — instead of paying the full bill and waiting for reimbursement. See reimbursement vs direct pay.
Eligibility & exclusions
Pre-existing condition
Any condition that showed signs or was diagnosed before your coverage started (or during a waiting period). Never covered by any Canadian insurer — the main reason to enrol early. See pre-existing conditions.
Waiting period
The interval after enrolment before coverage takes effect (often a few days for accidents, ~14–30 days for illness, longer for some orthopedic conditions). See waiting periods explained.
Exclusion
Anything a policy doesn't cover — pre-existing conditions, cosmetic procedures, routine care without a wellness add-on, and more. See what pet insurance doesn't cover.
Hereditary condition
A condition inherited genetically (e.g., hip dysplasia in large breeds). Covered by comprehensive Canadian policies if not pre-existing.
Congenital condition
A condition present from birth, whether or not it's symptomatic early. Covered if not pre-existing and within the policy's terms.
Bilateral condition
A condition that can affect both sides of the body (e.g., cruciate ligaments, hips). If one side was pre-existing, insurers often exclude the other side too.
Common medical terms
Cruciate / CCL (ACL)
The cranial cruciate ligament in a dog's knee — the equivalent of a human ACL. Rupture is one of the most common and costly claims. See ACL surgery cost.
TPLO
Tibial plateau levelling osteotomy — the most common surgical repair for a cruciate rupture in medium and large dogs. See ACL surgery cost.
FHO
Femoral head ostectomy — a hip surgery that removes the femoral head, often used for smaller dogs. See hip dysplasia cost.
IVDD
Intervertebral disc disease — a spinal condition common in Dachshunds and other long-backed breeds, often requiring expensive neurosurgery. See cost of owning a Dachshund.
GDV (bloat)
Gastric dilatation-volvulus — a sudden, life-threatening twisting of the stomach in deep-chested dogs that needs emergency surgery within hours. See bloat (GDV) surgery cost.
BOAS
Brachycephalic obstructive airway syndrome — the breathing problems common in flat-faced breeds like French Bulldogs. See cost of owning a French Bulldog.