Auto Insurance for Pets a Draw: Drivers Switch to Firms With

Apr. 25--In Lonnie Olson's car, Saikou and Kozette are safer than most dogs that go for a ride.

The pooches -- a border collie and boxer -- are strapped in tight whenever they get a ride. But Olson, 55, of St. Helen didn't want to take chances that the canines in her family were left unprotected in a crash.

So when she heard that the auto insurance policies offered by Progressive, an Ohio-based insurer, included coverage for pets injured in vehicle crashes, she knew she had found a new insurance company.

"Any company that supported animals like that, I wanted to support," she said. "I just hope I never have to use it."

In 2007, Progressive, the fourth-largest provider in Michigan, became the first to add coverage for pets to its auto policies. Customers don't pay a higher premium for it.

"We did it because we know how much our customers love their dogs and cats," said Miriam Deitcher, director of marketing for Progressive. "At first, we provided $500 worth of coverage, but in March, we increased that to $1,000, to make sure we're covering even more."

Other companies have followed suit, including Farmers Insurance, Auto Owners and AAA Michigan. All offer at least $500 in coverage.

And while those companies are some of the largest insurers in the nation to add pet coverage, they are the exceptions, said Michael Barry, spokesman for the Insurance Information Institute.

At Farmers, which offers the coverage in 20 states including Michigan, the company is constantly researching what customers want, said spokesman Jerry Davies.

Adding pet coverage was an easy decision, he said.

"We estimate more than 63% of our customers have pets, and caring for them after an accident can be expensive," said Bryan Dwyer, senior vice president with Farmers.

At AAA Michigan, the largest provider in the state, customer surveys convinced the company to add pet coverage.

"Pet owners love to travel with their pets," said Nancy Cain, spokeswoman for AAA Michigan.

Because the coverage is relatively new, there aren't reliable numbers to show how many pet owners have filed claims, although Cain said AAA Michigan has had a "handful." Progressive doesn't reveal those numbers.

Veterinarians in metro Detroit haven't seen many claims, either. Several said their customers usually pay cash, then are reimbursed if they have insurance.

"I've seen a number of dogs who have jumped out of car windows," said Beverly Hills veterinarian Kevin Windsor. "But I can't think of many people who have been in accidents with their pets."

Contact KATHLEEN GRAY: 313-223-4407 or kgray99@freepress.com

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