What is Animal Bailee Insurance?
Animal bailee insurance (also called care, custody, and control insurance) is a specialized policy that protects professional pet handlers against financial liability if an animal in their care is injured, becomes ill, dies, or is lost while under their supervision.
The term "bailee" refers to someone who temporarily takes possession of property (in this case, a pet) that belongs to someone else. As a pet transporter, you become a bailee when you accept custody of a client's animal for transport.
This insurance is critical because it covers scenarios that your commercial auto insurance does not address. While commercial auto insurance covers vehicle accidents and liability to third parties, it typically does not cover harm to the animals you're transporting.
Why It's Important for Pet Transporters
Financial Protection
Pets can be extremely valuable, especially purebred dogs or show animals. If something happens to an animal in your care, you could face claims of tens of thousands of dollars. Animal bailee insurance protects your business from devastating financial losses.
Professional Credibility
Carrying animal bailee insurance demonstrates professionalism and commitment to your clients. Many pet owners will only work with transporters who have this coverage. It shows you take your responsibilities seriously.
Platform Requirements
Many pet transportation platforms and marketplaces require animal bailee insurance as a condition of joining their network. Without it, you may not be eligible to accept transport contracts through these services.
Peace of Mind
Even the most careful, experienced transporters can face unforeseen circumstances. A pet could have a hidden medical condition that manifests during transport, escape despite proper precautions, or be affected by events beyond your control. Insurance provides peace of mind for both you and your clients.
What Animal Bailee Insurance Covers
Animal bailee insurance typically covers the following events that occur while an animal is in your care, custody, and control:
Injury
Physical harm to the animal including fractures, lacerations, or other trauma that occurs during transport or while in your care.
Illness
Disease or sickness that develops or manifests while the animal is under your supervision, including infectious diseases or stress-related conditions.
Death
The death of an animal while in your care, whether from accident, illness, or other covered causes. This is often the most significant coverage component.
Loss or Theft
If an animal escapes, goes missing, or is stolen while under your responsibility, coverage helps compensate the owner for their loss.
Coverage typically includes veterinary expenses, the value of the animal, and related costs up to your policy limits. Some policies also cover legal defense costs if you're sued.
Typical Coverage Amounts
Animal bailee insurance policies vary in coverage limits. Common structures include:
Per Animal Limits
Coverage for individual animals typically ranges from:
- Basic Coverage: $5,000 - $10,000 per animal
- Standard Coverage: $10,000 - $25,000 per animal
- Premium Coverage: $25,000 - $50,000+ per animal
Aggregate Annual Limits
Total coverage across all claims per year typically ranges from:
- $100,000 - $250,000 for small operations
- $250,000 - $500,000 for established businesses
- $1,000,000+ for high-volume or specialized transporters
This is Separate from Commercial Auto Insurance
Animal bailee insurance and commercial auto insurance are two different policies that cover different risks. Commercial auto insurance covers vehicle accidents and liability to third parties. Animal bailee insurance covers the animals themselves. You need both types of coverage to be fully protected as a professional pet transporter.
Learn about Commercial Auto InsuranceHow to Get Animal Bailee Insurance
Animal bailee insurance is specialized coverage that not all insurance companies offer. Here's how to find a policy:
Contact Specialized Brokers
Work with insurance brokers who specialize in pet industry or animal-related businesses. They have access to carriers that offer animal bailee policies.
Industry Associations
Join professional pet transportation associations. Many offer group insurance programs with preferred rates for members.
Package Policies
Some insurers offer business owner's policies (BOPs) that bundle commercial auto, general liability, and animal bailee coverage together, often at better rates than separate policies.
Compare Quotes
Get quotes from multiple sources. Coverage and pricing can vary significantly. Make sure to compare not just premiums but also deductibles, per-animal limits, aggregate limits, and exclusions.
Tip
When shopping for coverage, be prepared to provide details about your business operations, annual revenue, number of animals transported, types of animals, safety protocols, and driver qualifications. This information helps insurers assess risk and provide accurate quotes.