Pet Insurance Product Definition

IMPORTANT!  
For the product configurations available in Innovation Studio, consult the Factory Configurations page.

The following business details were used as reference when designing the Pet Insurance generic product and the formulas attached to it:

Main business features:

ID Description Product Modules
1 Product Module Name BRONZE GOLD PLATINUM
2 Insurance Type Non-Life Non-Life Non-Life
3 Insurance Subtype 1 Pet Pet Pet
4 Insurance Subtype 2 N/A N/A N/A
5 Cover Description Health insurance for Dogs and Cats Health insurance for Dogs and Cats Health insurance for Dogs and Cats
6 Coverage and Benefit Annual limits Lifetime limits Lifetime limits
7 Issuing Company Northstar Digital Insurer Northstar Digital Insurer Northstar Digital Insurer
8 Eligibility Pedigree Cats, Crossbreed Cats, Pedigree Dogs, Crossbreed Dogs. Pedigree Cats, Crossbreed Cats, Pedigree Dogs, Crossbreed Dogs. Pedigree Cats, Crossbreed Cats, Pedigree Dogs, Crossbreed Dogs.
9 Exclusions Dangerous Dogs Dangerous Dogs Dangerous Dogs
10 Number of Coverages 1 1 1
11 Minimum Premium N/A N/A N/A
12 Mandatory Excess £100 £100 £100
13 Voluntary Excess (in addition to Mandatory Excess) £50, £100, £150, £200, £250 £50, £100, £150, £200, £250 £50, £100, £150, £200, £250
14 Mandatory Claim Co-payment 20% 20% 20%
15 Rider Flag No No No
16 Min Insured Age 0 0 0
17 Max Insured Age - New 15 9 9
18 Max Insured Age - Renewal 20 15 12
19 Minimum Sum Insured N/A N/A N/A
20 Maximum Sum Insured See Limits See Limits See Limits
21 Coverage Period 1 1 1
22 Coverage Period Unit Year Year Year
23 Premium Payment Period 1 1 1
24 Premium Payment Period Unit Month / Year Month / Year Month / Year
25 Effective Date Rules 30 days in advance 30 days in advance 30 days in advance
26 Any Beneficiaries Policyholder Policyholder Policyholder
27 Beneficiary Options None None None
28 Maximum Beneficiaries 1 1 1
29 Tax Deductible No No No
30 Tax Deductible Options None None None
31 Maximum Amount to Deductible N/A N/A N/A
32 Complete Application on Mobile Yes Yes Yes
33 After-sales Contact Number N/A N/A N/A

Restrictions on product sales:

ID Description Product Modules
    BRONZE GOLD PLATINUM
1 Product quota? NO NO NO
2 Limit by (e.g. Number of products, volume, number of customers etc.) N/A N/A N/A

Default methods of transmitting the insurance documents towards the customer:

ID Communication Method
1 Quote Email
2 Insurance Product Information Document (IPID) Email
3 Policy Document Email

Allowed territories, languages, currencies:

ID Description BRONZE GOLD PLATINUM
1 Territory United Kingdom United Kingdom United Kingdom
2 Language English English English
3 Currency GBP GBP GBP
NOTE  
To further configure the indemnity limits and excess for your product, in Innovation Studio, go to the Main Info tab, the Policy Coverage section of you product record. To see the covered risks, go to the Insurance Risks section.

The following business details were used as reference values for the Pet Insurance product indemnity and excess limits for claims:

See the description of Limits below.

ID Limit - Covered risk Product Modules - Indemnity Limits
    BRONZE GOLD PLATINUM
1 Veterinary Fees 3,500 5,000 10,000
2 Theft or straying N/A 1,000 1,500
3 Advertising and Rewards Payments N/A 250 500
4 Third Party/ Public Liability - Accidental damage to property 250 500 750
5 Third Party/ Public Liability 1,000,000 2,000,000 2,000,000
6 Time off work 250 500 750
7 Complementary Medicine 2,000 3,000 5,000
8 CT/ MRI scans and Associated Costs 875 1,250 1,500
9 Cruciate Ligament Treatment 500 2,500 2,500
10 Dentistry 5,000 7,500 7,500
11 Emergency Boarding N/A 750 1,500
12 Holiday Cancellation N/A 1,000 1,500
13 Life Cover - Illness N/A 1,000 1,500
14 Life Cover - Accident 500 1,000 1,500
15 Special Diet N/A 500 750

Excess for each and every claim unless stated:

ID Limit Product Modules - Excess
    BRONZE GOLD PLATINUM
1 Veterinary Fees Policy Excess Policy Excess Policy Excess
2 Theft or straying N/A Policy Excess Policy Excess
3 Advertising and Rewards Payments Policy Excess Policy Excess Policy Excess
4 Third Party/ Public Liability - Accidental damage to property 100 250 250
5 Third Party/ Public Liability Policy Excess Policy Excess Policy Excess
6 Time off work Policy Excess Policy Excess Policy Excess
7 Complementary Medicine Policy Excess Policy Excess Policy Excess
8 CT/ MRI scans and Associated Costs Policy Excess Policy Excess Policy Excess
9 Cruciate Ligament Treatment Policy Excess Policy Excess Policy Excess
10 Dentistry Policy Excess Policy Excess Policy Excess
11 Emergency Boarding Policy Excess Policy Excess Policy Excess
12 Holiday Cancellation Policy Excess Policy Excess Policy Excess
13 Life Cover - Illness Policy Excess Policy Excess Policy Excess
14 Life Cover - Accident Policy Excess Policy Excess Policy Excess
15 Special Diet Policy Excess Policy Excess Policy Excess
ID Limit/ covered risk Description
1 Veterinary Fees Maximum amount of vet fees that will be paid relating to each incident involving an accident or illness.
2 Theft or straying Up to purchase price of the pet / benefit limit stated in the policy schedule.
3 Advertising and Rewards Payments Covers the cost of local advertising that a pet is missing, and payment of a reward for return of the pet.
4 Third Party/ Public Liability - Accidental damage to property Accident – Accidental damage to a third parties personal property caused by your pet.
5 Third Party/ Public Liability Accident – Third Party/ Public Liability (Dogs Only). Where property is damaged or someone is killed, injured or becomes ill as a result of an incident involving the insured pet and the policyholder is legally responsible.
6 Time off work Accident – Personal Accident The event of the Policy Owner having to take time off work as a result of being injured by the pet.
7 Complementary Medicine Refers to Complementary treatments such as Hydrotherapy, Massage and Acupuncture.
8 CT/ MRI scans and Associated Costs Refers to the cost of CT/ MRI scans as part of an incident of care.
9 Cruciate Ligament Treatment Separate specific coverage for treatment of Cruciate Ligament Damage.
10 Dentistry Covers the payment of dental treatment that is required as a result of an accident.
11 Emergency Boarding Kennel/ Cattery Fee’s This is a benefit that is paid should the pet owner be admitted to hospital for more than 96 hours, requiring the Pet to be Boarded. It covers the Boarding costs up to the limits shown in the Policy Schedule. It also provides a benefit of up to £5 per day for Pet sitting at home services.
12 Holiday Cancellation The cancellation or curtailment of the Policyholders holiday where the pet needs life-saving surgery following an accident or illness within 14 days of your holiday.
13 Life Cover - Illness Life Cover - Payment of benefit if death occurs due to Illness. Not applicable to Dogs and Cats over 9 years old (we should assume ANB of 10 Years for the purposes of this rule). Covers the purchase cost of the Pet, up to the Limit provided under the policy.
14 Life Cover - Accident Life Cover - Payment of benefit if death occurs due to an injury. Covers the purchase cost of the Pet, up to the Limit provided under the policy.
15 Special Diet Refers to a benefit that pays towards the cost of specific dietary requirements that may be identified by a vet’s diagnosis.

The following is the commission structure for the Pet Insurance product:

Item Value Rate / Fee Percent/ Amount
IPT YES RATE 12.00%
Other Tax NO N/A N/A
Broker Commission NO N/A N/A
Administration Costs YES RATE 20.00%
Other Fees NO N/A N/A

The following are the payments and disbursements options for premium and claim payments:

Item Description
Premium payment frequency 12 Monthly* , 1 Yearly
Premium payment method Direct Debit*, Card PayPal
Account Type Current Account
Card Type Debit*, Credit
Card Provider Visa, Mastercard, or Amex
Number of Installments 12 or 1
Claim Payment Bank transfer*, Cheque

*Default Value

By controlling to whom the product is offered, the Pet Insurance solution helps underwriters to protect themselves from insuring pets that might have a higher than average chance of making a claim.

The following are the default rules that govern the purchasing of the Pet Insuranceproduct:

Area ID Field / Description Product Modules    
      BRONZE GOLD PLATINUM
Product Holding 1 Policy restrictions N/A N/A N/A
  2 Total sum insured limit N/A N/A N/A
  3 Purchase rules N/A N/A N/A
Customer profile 4 Nationality UK resident UK resident UK resident
  5 Age Must be over 18 years Must be over 18 years Must be over 18 years
Accessibility / 6 Ability to understand N/A N/A N/A
Vulnerability 7 Purchase experience N/A N/A N/A
  8 Age N/A N/A N/A
  8 Comply with W3C standard NO NO NO
Area ID Field / Description Product Modules    
      BRONZE GOLD PLATINUM
Customer Identity 1 OTP NO NO NO
  2 Face Recognition NO NO NO
  3 ID scan NO NO NO
  4 KYC NO NO NO
Area ID Field / Description Product Modules    
      BRONZE GOLD PLATINUM
Exclusion 1 Death benefit - Illness No cover for any cat over 9 years old No cover for any dog over 9 years old. No cover for any cat over 9 years old No cover for any dog over 9 years old. No cover for any cat over 9 years old No cover for any dog over 9 years old.
Claim 2 Theft or Straying Excluded within 14 days of policy start date. Excluded within 14 days of policy start date. Excluded within 14 days of policy start date.
  3 Theft or Straying Benefit is paid after 45 days of Theft or Straying is reported. Benefit is paid after 45 days of Theft or Straying is reported. Benefit is paid after 45 days of Theft or Straying is reported.
HINT  
If you need to increase the pet eligibility threshold, you can do so by adjusting your product underwriting formula, in Innovation Studio.