DAILY TIMES (Salisbury, Maryland) 18 January 06 Dog owners beware: Insurance costs bite back (Roxann Moore)
Man's best friend could cost more than veterinarian fees and dog food bills.
Some insurance companies -- and it differs from company to company -- will either charge a higher premium or won't issue a policy at all if a pet is considered a vicious or dangerous breed.
"Different companies have different policies regarding homeowner's insurance and pets," said Jeanne Salvatore with the Insurance Information Institute.
She said some policies could be canceled or rates increased if a homeowner's dog has a history of biting people, even if the breed is not on the list of those breeds considered dangerous.
For pet owners already insured, this may not be an issue unless they decide to change insurance companies or move.
Catalyst for change
According to information on the Insurance Information Institute's Web site, the attack and subsequent death of Diane Whipple in San Francisco, Calif. in 2001 was the catalyst for the changes.
According to that information, Whipple was in the doorway of her apartment when two Presa Canario dogs attacked her.
"The owner of the dogs, Marjorie Knoller, a San Francisco lawyer, was convicted of involuntary manslaughter and keeping a mischievous dog that killed a person -- she was sentenced to four years in prison for involuntary manslaughter and was ordered to pay $6,800 in restitution," the sites says. "Her husband, Robert Noel, was convicted of two lesser charges but also received a four year prison sentence. Knoller became the first Californian convicted of murder for a dog's actions. This was only the third time such charges have been upheld in the United States, the first coming in Kansas in 1997," the site reports.
According to industry professionals, many insurance companies are limiting their coverage to those who own dogs.
Other pets included
However, not every policy stops with dogs, according to Robin Bowman, customer service representative of Muncie Insurance & Financial Services, a Nationwide affiliate in Selbyville.
Bowman said some companies are also restricting coverage to owners of reptiles such as boa constrictors, certain Iguanas and pet alligators or crocodiles.
She said she had a friend with a pet Iguana and an insurance company specified the type of cage the pet owner had to have and had requirements for the latch as well.
"People are somewhat surprised by these conditions. But people know what their pet's temperament is," she said, adding. "But insurance companies don't, so it makes sense."
Policies conditional
Those companies that offer coverage to homeowners with pets may put certain conditions on the homeowner before issuing the policy such as posting signs about the animal or requiring it to be kept inside.
Bowman said insurance companies won't issue a policy if a dog has ever bitten someone even if it's not listed as a vicious or dangerous dog.
And if the dog bites anyone after the policy is issued, it would not be renewed.
Steve Hartstein of the Insurance Market in Millsboro said he's been in the insurance industry for 25 years and things were not always this way. He said the attack of Whipple was the major catalyst for the change.
He said consumers can get a list of the dogs their insurance company considers vicious or dangerous.
"Dog bites could be serious and insurance companies are just getting selective on everything," Hartstein said. "They prefer to write a policy for a home that doesn't have a dog."
He said dogs pose an additional risk in the opinion of the insurance company officials.
"That's the insurance company, not the agent," Hartstein pointed out, saying insurance companies are simply trying to minimize their losses.
Restrictions vary
Some companies will issue homeowner's policies to dog owners, but they have restrictions.
According to the Institute's Web site, State Farm, the nation's largest homeowners insurer, says it welcomes all dogs, except those with a history of biting; American Family Insurance has a list of five breeds it won't insure, saying they cause more liability claims than others; Farmers Insurance Group has dog-by-dog restrictions and has a no-tolerance policy for bites.
Prospective Farmers policyholders are asked to report whether they have a "vicious animal" on the premises, which leaves some discretion up to the homeowner. But if there is a claim, the pet is specifically excluded from coverage. The company also won't take new business from people who have had dog-bite claims in the last three years, even if the family no longer owns the pet.
Mercury Casualty Company offers a 10 percent discount on homeowners insurance for families that don't own a dog or are willing to take their dog off their policy.
For more information on insurance coverage and pets, visit Insurance Information Institute's Web site at www.iii.org.
The Insurance Information Institute is a non-profit commercial organization that provides information on the insurance industry.
Dog owners beware: Insurance costs bite back