The biggest cat insurance news this September is price: the average U.S. cat accident-and-illness premium now runs $435 a year, about $36 a month, up 12.6% from 2024, according to NAPHIA's latest industry report.
At the same time, more cat owners are buying in than ever — insured cats reached 1.75 million, growing 9% in a year and making cats the fastest-growing segment of the pet insurance market. September is also National Pet Health Insurance Month, the industry's annual push to explain what policies do and do not cover. Between new state disclosure laws, flat cat pricing in current provider surveys, and veterinary costs still rising faster than general inflation, this is a useful moment to look at whether a policy makes sense for your cat.
Table of Contents
- What cat insurance costs right now
- Why premiums keep climbing
- More cats are insured, but most still aren't
- New state rules standardize the fine print
- How to decide for your own cat
- Frequently Asked Questions
What cat insurance costs right now
The industry-wide average of $435 per year for cats compares with $836 for dogs, per NAPHIA — insuring a cat costs roughly half what insuring a dog does. That gap reflects lower average claim costs for cats, and it is holding steady. There is encouraging near-term news on price.
CNBC Select's provider survey, updated September 2026, found cat premiums roughly flat year over year at about $44 a month in its sample, while dog accident-and-illness policies got pricier at around $81. The two figures differ from NAPHIA's because CNBC surveys current provider quotes while NAPHIA averages the whole in-force book, but both tell the same story: cats remain markedly cheaper to insure. Your own quote will vary with your cat's age, breed, ZIP code, deductible, and reimbursement level. A young indoor domestic shorthair in a lower-cost area can come in well under these averages; a senior cat in a major metro will come in above them.
Why premiums keep climbing
Premiums track veterinary prices, and veterinary prices are still outrunning inflation. Veterinary services inflation ran about 5.6% year over year through 2025 — more than double the 2.4% general CPI rate — and the AVMA notes veterinary prices have outpaced inflation consistently since 2019, per Healthy Paws' cost analysis.
That pressure shows up in owner behavior. Cat owners averaged $529 in annual veterinary spending, with a routine feline visit averaging about $138, and the AVMA reports rising price sensitivity, with wellness visits down 3.8% in 2025. Skipped wellness visits are a particular problem for cats, who hide illness well — kidney disease, hyperthyroidism, and dental disease are all cheaper to manage when caught early.
More cats are insured, but most still aren't
Cats' share of insured pets rose to 25.1% from 23.5% in NAPHIA's latest count — the fastest growth in the market. Yet the bigger picture is the gap: only about 4.27% of U.S. pets carry insurance at all, a figure Insurance Business America highlights from NAPHIA's 2026 data.
Most cat owners still pay every vet bill out of pocket. That gap is why September's National Pet Health Insurance Month campaign exists: veterinarians, shelters, and insurers use it to promote coverage and correct common myths about what policies cover. The most persistent myth is that pet insurance works like human insurance with copays at the counter — most policies instead reimburse you after you pay the clinic and file a claim.
New state rules standardize the fine print
Regulation modeled on the NAIC's 2022 Pet Insurance Model Act now covers a growing list of states — including Maine, Mississippi, New Hampshire, California, Washington, Maryland, Minnesota, and Arkansas — and Florida's version took effect January 1, 2026, per the NAIC's pet insurance topic page and Insurify's state analysis. These laws do not change what is covered. They standardize how insurers must disclose preexisting-condition exclusions, waiting periods, and the difference between insurance and wellness programs.
In a Model Act state, you should see those terms spelled out plainly before you buy rather than buried in policy documents. The practical takeaway is unchanged: no U.S. policy covers preexisting conditions, and the new laws standardize how that exclusion is disclosed, not whether it applies. A cat diagnosed with a chronic condition before enrollment will not have that condition covered by any insurer.
How to decide for your own cat
The single most consequential move is timing. Insuring a cat young — before any diagnosis lands in the medical record — locks in eligibility for conditions that would otherwise be excluded forever. When comparing policies this month, check: If a policy isn't affordable, a dedicated savings account funded with that same $36 a month is the honest alternative — it just carries the risk that the big bill arrives before the balance does.
- Whether the quote is accident-only or accident-and-illness; the averages above are for accident-and-illness.
- The waiting periods, especially for illness, which vary by insurer and are now a required disclosure in Model Act states.
- Reimbursement percentage and annual limit — a cheap premium with a $2,500 cap won't do much against a serious illness.
- How premiums rise with your cat's age; ask the insurer for its age-band pricing, not just today's quote.
- Whether a "wellness plan" add-on is insurance at all; under the new state rules, insurers must tell you it isn't.
Frequently Asked Questions
Why is cat insurance so much cheaper than dog insurance?
Cats generate lower average claim costs. NAPHIA puts the average cat premium at $435 a year versus $836 for dogs, and CNBC's September 2026 survey shows a similar gap in current quotes.
Do the new state pet insurance laws mean preexisting conditions are covered?
No. Laws based on the NAIC Model Act standardize how exclusions must be disclosed, but no U.S. policy covers preexisting conditions.
Is a wellness plan the same as pet insurance?
No. Wellness programs cover routine care like exams and vaccines and are not insurance; Model Act states now require insurers to disclose that distinction clearly.