BREA, Calif., Sept. 8, 2003 (PRIMEZONE) -- More than 91 million customers and employees of the HSBC Insurance Agency (see Note A) and Household International (HHI) (see Note B) now have access to pet insurance through a new partnership with Veterinary Pet Insurance Co. and D.V.M. Insurance Agency (jointly "VPI") adding to more than 700 organizations that currently offer VPI policies to their employees.
HSBC, one of the nation's largest commercial banks, will distribute VPI pet insurance plans through its HSBC Insurance Agency. HSBC is licensed to sell insurance nationwide and will promote VPI plans to its more than 3 million deposit customers. Additionally, nearly 14,000 HSBC employees in 600 New York branch offices can now select Veterinary Pet Insurance plans as a voluntary benefit.
HHI provides consumer loans, credit cards, auto finance and credit insurance products in the United States, the U.K. and Canada. Under the terms of the agreement, VPI's insurance products will be offered to more than 40 million customers in HHI's consumer lending, mortgage and credit card divisions.
"Pet insurance is a natural extension of our insurance benefit options to our customers and employees," notes David Fried, president of HSBC Insurance Agency. "Offering VPI plans helps us provide insurance products for every member of the family."
According to Paris Roselli, assistant vice president for e-business at HSBC, the bank promotes VPI plans directly to its customers through an online marketing campaign. The campaign is driven primarily through the bank's Internet banking site and paid placements on Internet sites including Yahoo!.
VPI, a provider of more than 80 percent of the nation's pet insurance policies, experienced a 125% increase in the number of groups participating in its voluntary employee benefits program last year. The rapid growth in group policies has continued into 2003. Procter & Gamble, Chipotle Restaurants, General Motors Acceptance Corp., American Express and major trade associations are among the 700 organizations that currently offer VPI policies to their employees.
According to Dr. David Goodnight, executive vice president of business development for VPI, a growing number of pet owners are turning to third-party payment options in an attempt to keep pace with advancements in veterinary care.
"Today, many people love their pets like children, and will go to any length to provide veterinary care," says Goodnight. "A majority of U.S. households own at least one pet so it's no surprise that the popularity of pet insurance is on the rise."
There are three Veterinary Pet Insurance plans available: the VPI Standard Plan and the VPI Superior Plan both provide coverage for medical conditions related to accidents and illnesses dogs and cats may encounter, including cancer; the VPI Avian & Exotic Plan covers birds and a variety of exotic pets including rabbits, reptiles and pot-bellied pigs. Riders are available on all three plans to help pay the cost of vaccinations and routine care coverage.
About HSBC Bank USA
HSBC Bank USA has more than 400 branches in New York State, giving it the most extensive branch network in New York. The bank also has eight branches in Florida, two in Pennsylvania, three in California and 15 in Panama. HSBC Bank USA is the 11th largest U.S. commercial bank ranked by assets and is a subsidiary of HSBC USA Inc., an indirectly held, wholly owned subsidiary of HSBC Holdings plc (NYSE:HBC). Headquartered in London, and with over 9,500 offices in 80 countries and territories, the HSBC Group is one of the world's leading banking and financial services organizations.
About Veterinary Pet Insurance
Veterinary Pet Insurance is the nation's oldest and largest health insurance plan for pets. Founded in 1980 to help end economic euthanasia, VPI is committed to making the miracles of veterinary medicine affordable for all pet owners. Approximately 350,000 VPI policies are in force covering dogs, cats, birds and exotic pets for medical problems and conditions relating to accidents, illnesses and injuries. Optional vaccination and routine care coverage is also available.
Policies are available in all 50 states and the District of Columbia. VPI policies are underwritten by Veterinary Pet Insurance Company in California and in all other states by National Casualty Company, an A+15 rated company, in Madison, Wisconsin and a subsidiary of Nationwide Mutual Insurance Company. For more information about VPI policies, call 800-USA-PETS (800-872-7387) or visit www.petinsurance.com.
VPI's parent company, Veterinary Pet Services, Inc., is an SEC-reporting company whose stock is not publicly traded.
Footnotes:
(A) HSBC Insurance Agency (USA) Inc., a division of Buffalo-based HSBC Bank USA.
(B) Household International (HHI), a subsidiary of HSBC Holdings.