How Expensive Is Pet Insurance?

Everybody wants to do what’s best for their pets. But some people baulk at the word “insurance”, assuming it’s unaffordable or doesn’t provide enough value. How expensive is pet insurance? Really?

And is it a necessary expense?

You might be surprised to hear pet insurance doesn’t have to break the bank. In fact, it can be surprisingly affordable to protect your most precious assets – such as your fur family.

Importantly, getting in early – before medical conditions emerge – often means you have greater insurance coverage across your pet’s lifetime. Pre-existing conditions aren’t covered by pet insurance, though plenty else is.

How expensive is pet insurance, really?

Normally when we think about needing to insure something, its high monetary value is the top consideration.

Pet insurance is different. Unlike your home or car, you’re likely not going to (or will want to!) sell your pet for a small fortune. Although more and more these days breeders are asking lots for a purebred pup… And while purebred kittens aren’t fetching as much, prices have risen for cats too.

Whether you’ve paid a token amount – thank you animal shelter supporters – or top dollar, it doesn’t really matter. In our opinion pets are priceless.

For years, we’ve insured the things that are most valuable to us. Almost without thinking. Because protecting homes, cars, businesses, and even our lives is a necessity.

So it makes sense that pet insurance take-up is on the rise. After all, pets are some of our most valuable assets. And they’re becoming increasingly valuable, both monetarily (not just to buy but with the amount we invest in gourmet pet food, toys, equipment, etc) and for our physical and mental health (see here how pet love helped us navigate COVID).

“But it must be so expensive. I could probably just save up for vet bills instead” you might think. Admittedly, it is possible to open up a separate account for vet bills. You’d just better hope you don’t get a big one quickly. Or they don’t flow thick and fast, running into the thousands in little time.

Regardless though, the great expense of pet insurance is a myth. You don’t have to break the bank to offer your pet a soft landing in times of crisis.

Pet insurance can be affordable

You might be surprised to find out the real cost of pet insurance. PD Insurance’s plans** start from very little for our Accident plan (see further down).

If your dog gets hit by a car or your cat falls off a balcony, or either become ill out of the blue, paying only a small amount monthly means you can visit a vet without worrying about a big vet bill.

The $$$

High quality pet insurance really doesn’t cost much. Even when we’re talking about comprehensive plans, which cover lots of treatments and have a high defined benefit limit (like our Deluxe plan).

And if you are strapped for cash, you can always opt for an accident-only plan.

Let’s look at some real figures to answer the ‘how expensive is pet insurance?’ question. We’ve picked an imaginary dog – three-year-old male beagle Charlie. His owners live in New South Wales. Using PD Insurance’s online quote system, as at early April 2021 Charlie’s premiums are as follows:

• Accident Plan: $20.45 per month
• Classic Plan: $85.40 per month
• Deluxe Plan: $113.86

Note that in all instances above the excess was set at 20%. This was correct at the time of writing; excess calculations/payments will change over time.

** UPDATE: PD INSURANCE PLANS NOW HAVE A FIXED DOLLAR AMOUNT EXCESS PER CLAIMABLE EVENT

Accidents only

For the Accident policy, we reimburse up to $5,000 per year* for claimable expenses on treatments needed for accidents, plus third party liability cover, prescribed medication and more. Which means you could potentially cover your dog each month for less than the price of a main meal in a restaurant. Home-cooked tastes better anyway.

Mid to high range

For our Classic cover, which covers everything in the Accident plan plus illnesses and hereditary conditions, you’d still pay less than $90 a month for Charlie. And that comes with a $10,000* defined benefit limit per year.

Then there’s our Deluxe plan, with its $20,000 annual defined benefit limit* and inclusion of dental on top of everything else.

Discounts

If you sign up online with us you’ll get one or more months of free pet insurance depending on the age of your pet. Plus, we have a multi-pet discount if you’re insuring two pets or more, depending on your policy. Check our pet insurance page for details.

Another big perk of PD Insurance? We don’t lock you into a contract – it’s month to month all the way with us.

Make your plan choice according to the circumstances of you and your pet.

Pet insurance calculations

Of course, at the insurer’s end, each pet’s premium is calculated individually. The premium that you’re given depends on a variety of different factors, including:

• Type of animal
• Breed of animal
• Age of animal
• Whether a multi-pet discount is applied
• Your excess
• The level of cover/benefits you’re looking for

Your pet might be more expensive or cheaper to insure than imaginary Charlie. But if you haven’t got a quote on pet insurance before, it’s probably cheaper than you thought.

We know. It’s surprising. Because your pet’s health and wellbeing (and your back pocket) beat out occasional little luxuries, right? Obviously.

If you’re starting to think seriously about pet insurance and wonder what else you’ve heard might be wrong, read our article on busting pet insurance myths.

Not sure what all of these plans cover, which one is a good fit, or if you’d be getting value for money? Compare dog insurance plans here and cat insurance plans here to find out. We keep things jargon-free so pet insurance coverage is simple to understand.

Is pet insurance necessary?

We often get asked whether pet insurance is really necessary. The short answer is that it depends on your financial circumstances. And that yes, there are some situations in which pet insurance might not be a necessity.

If you can fork out for a few large vet bills in a row in cash (and won’t worry about what you might’ve saved with pet insurance protection), then you mightn’t take out insurance. It’s important to keep in mind that anything can happen at any time when it comes to animal illness and injury. You need to be able to pay for the big vet bills now, not some time in future.

Some people in this situation open a separate account and transfer money regularly to keep aside for vet bills and emergency treatment. This is an option if your disposable income will allow you to absorb the cost of a hefty bill. Or two…or three…

However, if you know a big bill would cause you financial trouble or – more importantly – mean you couldn’t offer potentially lifesaving treatment to your pet due to the expense, then pet insurance is a good idea.

It isn’t just about the money

Doctor Melanie Bowden says that not being able to treat life-threatening situations due to pet owners’ finances is the most heart-breaking part of being a vet. Aside from recognising that pet insurance helps you to make a treatment-based decision rather than a finance-based decision, Dr. Bowden advocates for pet insurance because it can contribute towards better vet mental health.

Sure, your pet might only ever need routine check ups and vaccination. But they might not. An accident and illness free lifetime can’t be guaranteed, unfortunately. Not even with bubble wrap and eyes in the back of your head. We all know how mischievous pets can be.

As our beloved furkids get older, they face a higher probability of illness and injury. Not unlike their humans!

So, as we say in our Is Pet Insurance Worth It? article, we think that it’s often an investment in your pet’s future. And the future of your own financial and emotional health.

Get a quote to cover your pets

So, how expensive is pet insurance? It turns out, not that expensive.

If, after reading this, you’re thinking that you might be able work pet insurance into your budget to give your pet the best chance of a long and healthy life, get an online quote by clicking below. 

How expensive is pet insurance? More like how much can you claim back with pet insurance!

**All PD Insurance plan details accurate at time of writing
*sub-limits apply