Why Get Pet Insurance

Why Get Pet Insurance?

Pet insurance helps you pay for any medical expenses incurred after your pet has become injured or sick.  It can be a valuable safety-net that protects you from a sudden financial shock when visiting your vet.  It helps to ensure that your much-loved pet immediately gets the health they need.

Despite having some clear benefits, many Australians are still unsure if pet insurance is a wise investment.  This article will take a closer look at how Australian pet insurance works and why buying it makes sense.

How does pet insurance work?

Pet insurance is similar to private health insurance.  You pay an insurance company an annual or monthly premium.  In return, they will help you pay for your pet’s medical expenses if they become injured or sick.  Similar to private health insurance, most Australian pet insurance policies have an “excess” you must pay when making a claim.    

Pet insurance policies will cover between 65% to 80% of your veterinary bills.  However, there is a limit on how much they will pay out each year.  This limit usually ranges from $3,000 to $20,000 per annum on most policies.  

There are 3 main types of pet insurance available in Australia.  The most basic form of coverage is accident-only insurance.  This type of pet insurance only covers medical costs associated with your pet being in an accident.  

Accident and illness pet insurance will also cover the medical costs from illnesses that your pet suffers.  This can range from minor illnesses like skin conditions through to diabetes or cancer.  The final type of Australian pet insurance is comprehensive pet insurance.  In addition to covering accidents and illnesses, it helps you pay for preventative and routine care treatments.

The types of conditions and treatments covered by Australian pet insurance plans can vary.  Some plans have special rules for hereditary conditions, homeopathic treatments, physiotherapy, and chronic diseases. 

Some Australian pet insurance policies have optional extras that help you pay for:

  • The loss or theft of your pet
  • Enrolment in training schools
  • Costs associated with the death of your pet
  • Damage to third parties caused by your pet

How many Australians have pet insurance?

The popularity of pet insurance has grown very quickly in recent years.  In 2016, about 26% of households with a dog and 19% of households with a cat had pet insurance.  Pet insurance is particularly popular with younger pet owners.

What does Australian pet insurance cost?

The cost of pet insurance ranges from about $30 a month through to $70 a month.  The cost will depend on a number if factors including your pet’s age and breed.

Why Get Pet Insurance?

There are plenty of reasons why having pet insurance makes sense for you and your pet.  They include:

Veterinarian bills have become very expensive

Visiting a vet in Australia is incredibly expensive.  The cost of drugs and laboratory tests has sky-rocketed.  Some veterinarians have also employed more support staff, which further increases costs.  Blood tests can cost hundreds of dollars and many surgical procedures are well above $5,000.  Without pet insurance, you may find yourself facing some very large bills.

You can avoid financial stress

Many Australian families don’t have $5,000 or $10,000 sitting in a bank account ready to be spent on their pet.  If you have pet insurance, you can still obtain help for your pet without spending all of your savings.  You won’t have to sell assets or use your credit cards to pay for their treatment either.  Pet insurance helps you avoid some serious financial stress.

Animals of all ages can have medical problems

It can be worth purchasing pet insurance even if your pet is young.  Young pets often eat unsafe food or injure themselves.  If you have a comprehensive insurance plan, you can also obtain discounts on their routine care treatments.

Your pet’s hereditary conditions will be covered


Certain breeds of animals have common hereditary conditions.  For example, Labradors often suffer from hip dysplasia.  In many cases, these conditions can require expensive surgery.  Having pet insurance means you can obtain the help you pet may need.

Premiums are fairly cheap

Compared to private health insurance and car insurance, pet insurance is incredibly cheap.  For around a dollar per day, you can ensure your pet will receive the medical care they require. 

You can save the life of your pet


It can be very distressing if you lack the funds to buy medical treatment for your pet.  Just ask anyone who has had to put down their dog because they couldn’t afford treatment.  Having pet insurance means you won’t have to make decisions about your pet based on your finances.