A contribution payment is where you pay a percentage of the treatment costs.

Most pet insurance policies (but not all) require you to pay a contribution payment for older pets. Some now require you to make these payments for pets of any age.

The percentage will depend on the policy but generally 10-35%.

Contribution payments are also referred to as** co-insurance payments** or **variable excess payments**.

## Calculation of Contribution Payments

Contribution payments are calculated after the fixed excess has been deducted.

The calculation is best illustrated by way of an example.

### Example 1 – 10% Contribution Payment

Say the treatment cost is £500 and your standard excess is £80.

If there were no contribution payment the insurance company would pay £420.

If there was a 10% contribution payment you would pay £42 of the £420.

This is in addition to the standard excess.

So in this case you would pay £122 of the £500 treatment cost.

### Example 2 – 35% Contribution Payment

Taking the same example with a treatment cost of £500 and standard excess of £80.

If there was a 35% contribution payment you would pay 35% of £420 which is £147.

So together with the fixed excess of £80 you would pay £227 towards the treatment cost.