PawPay functions by verifying coverage and collecting only the deductible and coinsurance from the pet owner at the time of service. The platform then pays the veterinary clinic directly, managing the reimbursement process with the insurance carrier on the backend. This approach avoids the debt-heavy models of traditional financing, instead unlocking existing insurance benefits to remove financial friction during medical appointments.

Peter Glassman, DVM and co-founder of VANE, noted that the platform creates a more efficient ecosystem where owners gain immediate access to benefits and practices receive prompt, full payment. For veterinary teams, the platform integrates with existing practice management software, requiring only the upload of an invoice and medical record. David Franklin, CEO of PawPay, stated that the company is currently focusing on scaling its partnerships with clinics and insurance carriers. The startup has developed a patent-pending system and is actively onboarding new veterinary practices to expand its commercial footprint.