American Pet Insurance Company (APIC) is proposing an overall rate increase of 15.4% for its “Trupanion for Chewy Health” pet insurance product in New Mexico. The proposed changes are slated to be effective on November 1, 2025, for both new business and renewals. The filing was submitted on June 19, 2025.

This rate adjustment is primarily driven by increases in veterinary industry costs across the United States, attributed to factors such as corporate consolidation of hospitals, rising labor costs, and advancements in technology. Although the Trupanion for Chewy Health program, launched in New Mexico on July 19, 2022, does not yet possess fully credible experience, APIC has supplemented its data with trend observations from its “Trupanion Pet Health Insurance Program” to determine the indicated rate need. A loss trend of 5.9% was selected based on the March 2025 Consumer Price Index for Veterinary Services.

The filing indicates that 150 policyholders will be affected by these changes, with a current written premium for the program totaling $61,306. The proposed rate increase will result in an estimated $9,467 change in written premium for the program. While the overall rate impact is 15.4%, the proposed changes vary by plan, with Accident Only Plan rates increasing by 13.7% and Accident & Illness Plans by 15.6%. Individual policyholder impacts are expected to range from a minimum of 8% to a maximum of 16.9%.

Key changes in the Underwriting Rules and Rate Guidelines (Version 4.2025) include the expansion of policy coverage for “Physical and Behavioral Therapies” (e.g., acupuncture, chiropractic). The Complete Accident & Illness Plan will now automatically include “Coverage for Accident & Illness Exam Fees” and “Coverage for Physical and Behavioral Therapies”. Discounts, such as Multi-Pet Factor and Employee discounts, remain available. The statistical reporting agent for the program is NISS.

The last rate revision for this program was a 7.9% increase, effective July 1, 2024.