The Pet Insurance Act establishes a comprehensive legal framework for the sale of pet insurance in New Jersey, aimed at promoting public welfare and ensuring consumer protection. The Act mandates that pet insurance policies issued to residents must comply with specific requirements, including clear definitions of terms such as "preexisting condition," "chronic condition," and "wellness program." Insurers are required to disclose important information to consumers, including any exclusions related to preexisting conditions, hereditary disorders, congenital anomalies, and chronic conditions. Additionally, the Act stipulates that waiting periods for coverage cannot exceed 30 days for certain conditions and prohibits waiting periods for accidents.

Furthermore, the Act emphasizes the need for transparency in the marketing of pet insurance and wellness programs, ensuring that consumers are not misled about the nature of the products being offered. It requires that wellness programs be distinctly separate from pet insurance policies, with clear disclosures about their non-insurance status. The bill also sets forth training requirements for insurance producers to ensure they are knowledgeable about the nuances of pet insurance, including the differences between insurance and wellness programs. The Department of Banking and Insurance is authorized to enforce penalties for violations of the Act and to adopt necessary regulations to implement its provisions.