A pet insurance program for dog owners wanting to cover health care expenses at vet clinics is gaining in popularity after being relaunched in November.

Insurance sources said about 120 dogs have been subscribed to the insurance program in just two months.

According to Samsung Fire & Marine Insurance Co. its Familiaris Dog Insurance pays veterinary costs if the dog becomes ill or injured in an accident. The coverage also includes paying indemnities at an annual fee of 500,000 won ($444,000) for one year.

The company stopped offering the program in April 2010. Samsung and other insurers such as Hyundai Marine & Fire Insurance, LIG Insurance and Chartis had suffered losses from running similar products in 2008 and 2009 on soaring claims from owners about sicknesses and accidents.

Samsung Fire has adopted a comprehensive list of fees to be exempted from the core coverage to prevent running deficits again. It includes vaccination, caesarean section, contraceptive treatment, plastic surgeries, pedicure services, bath services and the cost of euthanasia. Dog owners who take out a policy are liable for up to 30 percent of vet clinic expenses to prevent reckless claims from being made.

By Cynthia J. Kim (cynthiak@heraldcorp.com)