vv 2-18

Dog Bites & Insurance
By: Jim Valkenburg / Insurance Insight
When I decided to write about insurance and
dog bites, I thought it would be straight
forward. It isn’t. This is a complex issue. Why?
Generally, because insurance companies treat the situation differently
and states differ in their laws and people differ in their approach to
owning pets.
According to an Insurance Information Institute study, more than
one-third of all homeowners’ insurance liability claims are attributable
to dog bites - costing the industry $571.3 million in 2015. Specifically,
the Centers for Disease Control estimates that dogs bite about 4,500,000
people annually. And 20% of those bites are serious enough to require
medical attention.
Americans file tens of thousands of home insurance liability claims
due to dog bites and other related injuries each year. Combine the
above with statistics that point to a handful of dog types accounting
for more of those costly bites and injuries than others and it’s easy to
understand why some insurers restrict, refuse, or cancel home coverage
if a customer owns a certain breed.
The dog breeds that are most likely to cause a problem with your
homeowners’ insurance company: (1) Akita, (2) Alaskan Malamute,
(3) Chow Chow, (4) Doberman Pinscher, (5) German Shepherd, (6)
Pit Bull, (7) Rottweiler, (8) Siberian Husky, (9) Wolf Hybrid.
Of these identified breeds, one third of dog bite claims were caused
by pit bull terriers and had five times the rate of surgical intervention,
thereby resulting in higher costs for insurers.
It’s legal for an
insurance company to
deny or cancel a homeowner’s
policy if you own a certain dog
breed - UNLESS you live in
Michigan or Pennsylvania.
There isn’t room for this
article to discuss the many varied
state laws. Just be aware that in Nevada, your policy can be canceled or
denied if you own certain dog breeds. But all companies do not adhere
to this guideline. Some will only require that you provide a dog bite
history (probably from a Vet). And some don’t even ask.
But, if you do not tell your insurer about a dog in your household and
there is a claim you could be due for a rude awakening. For starters,
any claim you file could be denied if your dog bites or injures someone
and your insurer didn’t previously know about your pet.
Your insurer may even cancel your policy because of your dishonesty.
And some companies don’t even wait for a claim - if there is evidence
that you have a dog on your property and that breed is on their list of
“undesirables” then the company can cancel your insurance.
What’s the bottom line? Many people love and want dogs; further,
studies suggest that pet ownership is healthy – especially for the elderly.
Dogs also provide security for persons and property.
Those who own a dog must apply some risk management practices
to make dog ownership safe as well as enjoyable. But responsible pet
ownership is a must.
33