Pethealth Inc. - Press Releases

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Press Releases 2005

Over 500,000 Shelter Pets Insured by ShelterCare Pet Insurance Program
The Gift of Pre-Paid Insurance Provides Pets and Pet Owners Valuable Protection

Oakville, ON. – February 21, 2005. Pethealth Inc. (“Pethealth” or “The Company”) (TSXV: PTZ), owner of the ShelterCare® Pet Insurance Program for newly adopted pets, is pleased to announce that more than 500,000 dogs and cats have now been enrolled in the program.

Andrew Sage of Oceanside, California, was the lucky 500,000th person to enrol his new dog, Scout, in the ShelterCare program. He adopted Scout, an 8-month-old Shepherd mix from the North County Humane Society & SPCA in Oceanside, CA. To celebrate this milestone, Pethealth will be providing Andrew and Scout with a $500 shopping spree at a PETCO store.

The ShelterCare Pet Insurance Program was introduced in January 2002 and is one of several pet insurance programs offered by Pethealth, a leading North American provider of pet health insurance. Enrolments in the ShelterCare program now average 23,000 adopted dogs and cats per month. More importantly, more than $2.7-million in claims has been paid under the ShelterCare Program since its inception.

ShelterCare, which covers 11 named perils, is available to every dog and cat adopted from a Petfinder.com member shelter or breed placement group in 47 U.S. states, the District of Columbia and all 10 Canadian provinces. The first 30 days of ShelterCare coverage is pre-paid by Petfinder.com, North America 's largest searchable database for adoptable pets. There is no cost to the shelter to offer the program or to the new pet owner to enrol. To receive their ShelterCare gift, new adopters need only call 1-866-375-PETS, or go online to www.ShelterCare.com to activate the ShelterCare policy. Enrolment must take place within 10 days of the adoption date. Approximately, 13% of those who enrol in the ShelterCare program convert upon expiry of their 30-day gift to one of the many pet insurance programs offered under the Company’s PetCare brand name.

“While the success of ShelterCare is no surprise, we are delighted by the immeasurable impact it has had not only on shelters and placement groups and their pets but also on the lives of the families adopting pets,” says Betsy Saul, Petfinder.com founder and Chief Executive Officer. “ Anything we do to strengthen the bond between pets and people is saving lives -- lives of pets and their people.”

Mark Warren, CEO of Pethealth Inc., says that he is delighted with the outstanding response from shelters to the ShelterCare Pet Insurance Program. He attributes the success to the fact that the program enables shelters to re-direct their limited financial resources elsewhere in the shelter rather than having to use them to cover unexpected veterinary fees post-adoption or provide 30-day health guarantees. "People often return their newly adopted pets to the shelter due to post-adoption illnesses or accidents that occur as the animal adjusts to its new home. The ShelterCare Pet Insurance Program tackles this issue by providing shelters and responsible pet owners with a way to better manage the financial costs associated with their pets' health care."

About Pethealth
Founded in February 1998, Pethealth, the second largest provider of pet insurance in North America, is currently offering its PetCare pet insurance programs in 10 provinces, 47 states and Washington, D.C. In addition to the PetCare Pet Insurance Programs, Pethealth offers its pet insurance programs under a variety of names, including QuickCare Pet Insurance Programs, ShelterCare and Union Plus Pet Insurance. As of September 30th 2004, Pethealth's paid policies in force exceeded 137,000. Additionally, the Company on behalf of its underwriters has paid out over $21.8-million in claims.

In the United States, the PetCare Pet Insurance Programs are underwritten by Lincoln General Insurance Company and administered by PetCare Insurance Brokers Ltd. and PetCare Insurance Agency, Ltd. Coverage is available in all states other than AK, MN and MA. PetCare is a trademark of PETCO Animal Supplies, Inc. and is used with permission. In Canada, the Company’s pet insurance is underwritten by ING Novex Insurance Company of Canada and Kingsway General Insurance Company, administered by PetCare Insurance Brokers Ltd., and distributed in Quebec by P. Morin Courtier en assurances Inc. Coverage is available in all provinces, excluding the Territories. In Canada, PetCare is a registered trademark of Pethealth Inc.

In addition, Pethealth, through its wholly owned subsidiaries Pethealth Services Inc. and Pethealth Services (USA) Inc., is a leading provider of companion animal microchip technology and related pet recovery and database managed services. Pethealth operates this under the trade name 24PetWatch. Pethealth is based in Oakville, Ontario. To find out more about Pethealth Inc. (TSXV:PTZ), visit the website at www.pethealthinc.com.

About Petfinder.com
Petfinder.com, founded in 1995, is the largest searchable database of adoptable pets on the Web. It facilitated over a million adoptions in 2002. At Petfinder.com visitors can currently "meet" over 160,000 adoptable pets from over 8,000 animal shelters and rescue groups across the U.S. and Canada. The site also has a resource library and message boards to help educate new adopters about pet health, behaviour and care. Petfinder.com has partnered with the American Society for the Prevention of Cruelty to Animals to ensure that visitors and member shelters have access to advice from the top pet experts. Support from sponsors such as the Ralston Purina Company, PETCO Animal Supplies Inc., BISSELL, Inc., Merial and Pethealth Inc. ensures that the site remains free to both shelters and rescue groups as well as to potential adopters. Forbes Magazine named Petfinder.com one of the 300 Best of the Web, and Family PC ranks it as one of the 100 best family sites.

Statements contained in this news release, if not historical, are forward-looking statements, which involve risks and uncertainties that could cause actual results to differ materially from the results described in forward-looking statements.

For further information contact:
Mark Warren , President & C.E.O., Pethealth Inc. at (905) 339-4428
Glen Tennison, Chief Financial Officer, Pethealth Inc. at (905) 339-4429