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Embrace Pet Insurance

Best for Wellness Add-On

Your deductible actually goes down each year you do not file a claim — no other pet insurer does this

4.4 (4,100+ reviews)
Michael Chen Written by Michael Chen, CFA, CFP
Rachel Kim Reviewed by Rachel Kim, JD, CRCM
Updated: March 7, 2026

At a Glance

Founded
2003
Headquarters
Cleveland, OH
Customers
400,000+ pets
AM Best Rating
A+ (via underwriter)
Products
Dog & Cat Insurance + Wellness
States Available
All 50 + D.C.

Rating Breakdown

About Embrace Pet Insurance

Embrace Pet Insurance, founded in 2003 in Cleveland, Ohio, has built a solid name by combining accident and illness coverage with one of the most generous wellness add-on programs in pet insurance. The company covers over 400,000 pets and has paid more than $500 million in claims since inception. Embrace policies are underwritten by American Modern Insurance Group, an AM Best A+ rated subsidiary of Munich Re, which provides substantial financial backing and claims-paying ability. What distinguishes Embrace from the crowded pet insurance field is its focus on cost optimization through customization — policyholders can fine-tune deductibles ($200, $300, $500, $750, or $1,000), reimbursement percentages (70%, 80%, or 90%), and annual coverage limits ($5,000 to $30,000) to build a plan that matches both their budget and their pet's risk profile. Embrace's signature feature is its diminishing deductible, branded as the Healthy Pet Deductible. Each year that you do not file a claim, your annual deductible decreases by $50. Start with a $500 deductible, go claim-free for 4 years, and your deductible drops to $300. After 10 claim-free years, it reaches $0. This is unique in the industry — no other major pet insurer offers a deductible that automatically decreases over time. The financial implication is significant: for pet owners who use insurance primarily as catastrophic protection (keeping their pet healthy through preventive care while insuring against major accidents or illnesses), the diminishing deductible means that when you finally do need to file a large claim, your out-of-pocket is dramatically lower than where you started. However, filing even one claim in a year resets the reduction for that year, so the feature rewards consistently healthy pets more than chronically ill ones. The optional Wellness Rewards program is Embrace's other differentiator, and it works differently from competitors' wellness add-ons. Rather than covering specific items (vaccines, dental cleanings), Wellness Rewards provides an annual allowance ($250 or $450 depending on the tier) that you can apply to any routine or preventive care expense — including grooming, training classes, supplements, prescription food, and even microchipping. This flexibility makes it one of the most generous wellness programs in pet insurance. The caveat is cost: the Wellness Rewards add-on runs $15-$52/month depending on the tier, which means you are paying $180-$624/year for $250-$450 in reimbursable expenses. For the lower tier, the math only works if you value the convenience of spreading routine care costs across monthly payments.

Key Features

Diminishing Deductible (Healthy Pet Deductible)

Your annual deductible decreases by $50 each claim-free year, potentially reaching $0 over time. Starting at $500, four claim-free years brings it to $300; ten claim-free years reaches $0. No other major pet insurer offers this. The catch: filing even one claim in a year resets the reduction for that year, so the feature disproportionately rewards pets who stay healthy for extended periods.

Flexible Wellness Rewards Program

Unlike competitors whose wellness add-ons cover only specific items, Embrace's Wellness Rewards provides a flat annual allowance ($250 or $450 depending on tier) usable for any routine care — vaccines, dental cleanings, grooming, training, supplements, prescription food, and microchipping. The flexibility is unmatched, but the $15-$52/month cost means you may pay more in premiums than you receive in reimbursements on the lower tier.

Granular Coverage Customization

Choose from 5 deductible levels ($200-$1,000), 3 reimbursement rates (70%, 80%, 90%), and annual limits from $5,000 to $30,000. This creates over 75 possible plan configurations, allowing you to precisely balance premium cost against coverage depth. A young, healthy pet might justify a $1,000 deductible with 70% reimbursement for the lowest premium; a breed-prone-to-illness pet warrants $200 deductible with 90% reimbursement.

Behavioral Therapy and Dental Illness Coverage

Embrace covers behavioral therapy (separation anxiety, aggression, compulsive disorders) and dental illness (gingivitis, tooth extractions, root canals) on standard accident and illness plans — not as add-ons. Many competitors exclude behavioral conditions entirely or charge extra for dental illness coverage. This makes Embrace particularly valuable for breeds prone to anxiety (German Shepherds, Border Collies) or dental problems (small breeds, Greyhounds).

How It Works

1

Get a Free Quote

Enter your pet's breed, age, and zip code online for an instant premium estimate with multiple coverage options.

2

Customize Your Plan

Select your deductible, reimbursement level, annual maximum, and whether to add Wellness Rewards.

3

Enroll Your Pet

Complete enrollment online or by phone. Accident coverage begins after 2 days; illness coverage after 14 days.

4

Submit Claims Easily

Upload vet invoices through the Embrace app or online portal. Most claims are processed within 5-10 business days.

What They Do

  • Dog Insurance
  • Cat Insurance
  • Wellness Rewards
  • Accident-Only Plans

Debt Types They Take On

  • Dog Medical
  • Cat Medical
  • Wellness/Preventive
  • Accident-Only
  • Hereditary Conditions
  • Dental Illness
  • Behavioral Therapy

Fee & Cost Structure

Avg Monthly Premium (Dog)
$40 - $95/month
Avg Monthly Premium (Cat)
$20 - $50/month
Wellness Add-On
$15 - $52/month depending on tier

Regulatory & Trust

BBB Rating
A+
CFPB Complaints
N/A (pet insurance)
Accreditations
AM Best A+ (American Modern) BBB A+ NAPHIA Member
States Served
All 50 states + D.C.

Review Summary

4.4
Trustpilot
4.2
Google
4,100+
Total Reviews

Notable Case Studies

Chronic Hip Dysplasia with Diminishing Deductible Benefit

Golden Retriever in Portland, OR, enrolled at 8 weeks old with a $500 deductible, 85% reimbursement, and $15,000 annual limit. The dog was claim-free for the first 2 years, reducing the deductible to $400 through the Healthy Pet Deductible feature. At age 3, diagnosed with bilateral hip dysplasia requiring ongoing physical therapy and two FHO (femoral head ostectomy) surgeries over 4 years.

Total veterinary costs over 4 years: $14,600. Embrace covered $12,070 (85% reimbursement after the reduced $400 deductible in year 3, with the deductible resetting to $500 in subsequent claim years). The owner's out-of-pocket was $2,530 across 4 years for a condition that would have cost $14,600 without insurance. By comparison, Trupanion would have covered $12,710 (90% after a one-time $500 per-condition deductible that never resets), making Trupanion roughly $640 cheaper for chronic conditions. However, Embrace's monthly premiums were $18 less than Trupanion's for the same breed, so the net difference over the 4-year treatment period was negligible.

Behavioral Therapy Coverage for Separation Anxiety

Rescue Border Collie mix in Austin, TX, developed severe separation anxiety after adoption, exhibiting destructive behavior (destroyed furniture, door frames) and self-harm (excessive licking causing hot spots). The veterinary behaviorist recommended a 6-month treatment program including behavioral modification sessions ($150/session, 2x monthly), an SSRI medication ($45/month), and a follow-up assessment.

Total behavioral treatment cost: $2,370 over 6 months. Embrace covered $1,676 at 80% reimbursement after the $500 annual deductible, leaving the owner with $694 out-of-pocket. Critically, most competitors (Spot, Nationwide, ASPCA) either exclude behavioral conditions entirely or classify them as pre-existing after the first diagnosis. Embrace covered all 12 sessions and the ongoing medication without dispute because behavioral therapy is included in their standard accident and illness policy. The dog improved significantly and the destructive behavior resolved by month 4, but the owner continued the medication on the behaviorist's recommendation — also covered by Embrace.

Pros & Cons

Pros

  • Healthy Pet Deductible has no real competitor — no other major pet insurer offers a deductible that automatically decreases by $50 per claim-free year, potentially reaching $0, which rewards responsible pet ownership and significantly reduces out-of-pocket costs when a major claim eventually occurs
  • Wellness Rewards program is the most flexible in the industry, covering not just vaccines and checkups but grooming, training, supplements, prescription food, and microchipping with a flat annual allowance — no other pet insurer offers this breadth of routine care coverage
  • Behavioral therapy and dental illness are included in the standard accident and illness policy without additional cost — competitors charge extra or exclude these entirely, making Embrace particularly valuable for breeds prone to anxiety, aggression, or dental disease
  • Over 75 possible plan configurations through granular deductible ($200-$1,000), reimbursement (70%-90%), and annual limit ($5K-$30K) selections allow precise budget-to-coverage matching that most competitors cannot replicate with their simplified 2-3 tier structures
  • Underwritten by American Modern Insurance Group (AM Best A+, subsidiary of Munich Re), providing institutional financial backing that pure-play pet insurers like Spot and Lemonade cannot match — your claims-paying ability is backstopped by one of the world's largest reinsurers

Cons

  • Annual payout limits of $5,000-$30,000 cap your coverage in a given year — if your pet needs $40,000 in emergency surgery and ongoing treatment, you absorb everything above the limit, whereas Trupanion and Spot offer unlimited annual payouts that would cover the full amount
  • Wellness Rewards add-on costs $15-$52/month ($180-$624/year) for $250-$450 in annual reimbursements — on the lower tier, the math is negative (you pay more in premiums than you receive back), making it a convenience product rather than a money-saving benefit
  • Claim processing averages 5-10 business days with no direct vet payment option — you must pay the full bill at the veterinary office and wait for reimbursement, which can be a financial hardship for unexpected bills exceeding $5,000
  • Filing even one claim in a year resets the Healthy Pet Deductible reduction for that year, meaning the diminishing deductible feature primarily benefits pets who stay healthy for extended periods and is less valuable for pets with chronic conditions requiring annual claims

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Frequently Asked Questions

Each policy year you do not file a claim, your annual deductible decreases by $50. Start with a $500 deductible, and after 4 claim-free years it is $300; after 10 claim-free years, it reaches $0. The reduction is automatic — you do not need to apply or request it. If you file a claim in a given year, the deductible does not increase, but the $50 reduction is not applied for that year. For the math: a pet enrolled at 8 weeks who stays claim-free until age 5 (4 full claim-free years) enters their first major illness with a $300 deductible instead of $500 — saving $200 on the first claim and every subsequent claim year where the deductible was reduced. Over a pet's lifetime, the cumulative savings can be $500-$1,000 in reduced deductibles.
Trupanion is generally better for chronic conditions because of its per-condition lifetime deductible (you pay the deductible once per condition, ever) and 90% reimbursement with no annual limit. Under Embrace, you pay the annual deductible every year and are subject to annual limits ($5K-$30K). For a chronic condition costing $5,000/year over 8 years, Trupanion's total out-of-pocket would be approximately $4,500 ($500 one-time deductible + 10% of $40,000). Embrace's total at 85% with a $500 annual deductible would be approximately $10,000 ($4,000 in deductibles + 15% of $40,000). However, Embrace's monthly premiums are typically 15-25% lower than Trupanion's, so the total cost of premiums plus out-of-pocket may narrow the gap. If your pet has or is likely to develop a chronic condition, Trupanion is the better value.
Embrace does not cover pre-existing conditions — no pet insurer does. However, Embrace distinguishes between "curable" and "incurable" pre-existing conditions. A curable condition (ear infection, urinary tract infection) that has been fully resolved for 12 months is no longer considered pre-existing and can be covered on future claims. An incurable condition (hip dysplasia, diabetes, chronic allergies) diagnosed before enrollment or during the waiting period is permanently excluded. This is why enrolling puppies and kittens as young as possible is critical: a condition diagnosed at 8 weeks with insurance is covered for life, but the same condition diagnosed the week before enrollment is permanently excluded.
It depends on the tier. The lower tier ($250 annual allowance at $15-$20/month) costs $180-$240/year for $250 in reimbursements — you are paying nearly as much or more than you receive. The higher tier ($450 annual allowance at $35-$52/month) costs $420-$624/year for $450 in reimbursements — even worse mathematically. The Wellness Rewards add-on is a convenience product, not a money-saving product. It spreads the cost of routine veterinary care across monthly payments, which can help with budgeting, but it does not reduce your total spending. If you have the cash to pay for routine care out of pocket, skip the add-on and redirect that $15-$52/month toward a higher reimbursement percentage or lower deductible on the accident and illness policy.
Submit vet invoices through the Embrace mobile app, online portal, or email. Embrace reviews the claim against your policy terms, verifies the condition is not pre-existing, and applies your deductible and reimbursement percentage. Most claims are processed within 5-10 business days, with payment issued via check or direct deposit. There is no direct vet payment — you must pay the full bill at the vet's office and wait for reimbursement, unlike Trupanion which can pay the vet directly at checkout. For large bills ($3,000+), this means floating the cost on a credit card for 1-2 weeks. Embrace does offer a portal where you can track claim status in real time, and they have a dedicated claims support phone line if processing exceeds 10 business days.

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  • Insurance premiums, coverage limits, and deductibles vary based on your location, driving record, claims history, credit score, and other underwriting factors. The quotes and rates referenced on this page are for informational purposes only and do not constitute a guarantee of coverage or pricing.
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Last Updated
March 7, 2026
Fact-Checked
March 5, 2026