Cheap pet insurance

Vet fees are often expensive, and can quickly add up – an X-ray can cost  over £300 and chemotherapy can hit £5,000. So it's no surprise MoneySavers have faced eye-watering bills for their pet's treatment...

The question is – could you afford to pay for vet fees at the drop of a hat by not having insurance? If not, it's something you should strongly consider.

Self-insurance is where, instead of paying premiums, you regularly put money away yourself, so if your moggie or doggie gets poorly, there's money to pay for it.

To earn some interest, put money in an easy-access or a regular savings account each month to pay for any potential pet emergency. Of course, if there are no problems, you get to keep the cash. However, there are two big dangers to consider:

• The problem strikes before you've built up cash: Self-insurance relies on having enough cash to hand when the vet needs paying. The risk here is if your pet needs expensive treatment before you've saved enough, it could mean you get into debt or face the sad choice of putting your companion down. Another option is to go for a policy with a high excess and ensure you save enough money to cover it should you have to make a claim.

• You get sued: Dogs aren't covered for public liability without insurance, so if Rex causes a car accident, and the driver sues, you'll be liable for the cost. This may be covered on your home insurance but quadruple-check this before taking the risk. Cats are considered 'free spirits' by law and so, as an owner, you're not legally responsible for their actions.

You could consider liability-only cover for dogs

A halfway house for dog owners is to become a member of the Dogs Trust. The charity offers third-party only cover among its perks for a £25/year membership fee (it's £750 for life membership), or £12.50/year if you're over 60. Anybody over the age of 18 can become a member.

This covers you up to £1 million for any damage or injury caused to other people, their property or pets by ALL the dogs you own (though if you own a breed deemed to be a 'dangerous dog', it's very likely to be excluded).

Bear in mind £1 million is a low amount compared with most cover levels for personal liability – if people sue for loss of earnings due to life-changing injuries, the amounts can snowball fast.

As a rule of thumb, and it does depend on your individual policy, pet insurance covers the big, non-routine costs, including:

• Broken bones/injuries from accidents

• Many illnesses, from cancer to asthma, skin infections to bone diseases and arthritis

• Third-party liability cover

• The cost of advertising and a reward if you fall victim to dog/cat-napping

What does pet insurance usually exclude?

Your pet likely won't be covered for the following:

• Routine injections such as flu, tetanus, parvovirus, annual boosters 

• Routine check-ups

• Worming treatments

• Anti-flea medications

• Whelping costs

Typically, you also won't be covered for pre-existing conditions if switching to a new policy, though ongoing problems should continue to be covered by your current insurer.

There are exceptions to what each pet insurer will pay out for, so it's important to check the small print when taking out a policy.

Pet insurance, or self-insuring by putting money aside in a savings account, could prove expensive if you're short on cash. However, charities such as the PDSA, Blue Cross and the RSPCA may be able to help.

These charities offer free or subsidised vet care for pets whose owners are on certain means-tested benefits, among other criteria. As charities, though, they rely on donations to continue their work and some, such as Blue Cross, actively ask for a contribution towards costs.

To see if you could benefit from charity help, check eligibility criteria from the PDSA, Blue Cross and the RSPCA.

Dog breeds deemed to be more aggressive than others often can't be insured, such as pit bulls, Japanese tosas and Brazilian mastiffs. If your dog was crossed with any of these, it won't qualify.

From 1 February 2024, it became illegal to own an American bully XL in England and Wales without having a Certificate of Exemption. This ban was extended to Scotland on 31 July 2024. See the Government's website for more information and advice on how to apply for exemption.

It's also difficult to get standard pet insurance for pets used for commercial purposes, such as racing, hunting or farming.

And if you do have a pet with a behaviour issue – usually caused by a mental or emotional disorder – some policies will pay for treatment, which can include therapy for your pet.

It is also worth knowing that if you've a posh pooch, certain pedigree breeds are more likely to develop hereditary conditions. For example, some suffer from weak joints or hips due to generations of being inbred, and can require regular support and treatment.

Some policies specifically exclude treatment for hereditary conditions, so check to see whether this is the case. Many insurers also exclude conditions animals are born with.

As a rule, pedigree owners pay more as insurers factor in their tendency to run a higher risk of long-term conditions, plus their heightened appeal to pet burglars. Never lie about your pet's origins to save money on monthly premiums; declaring a dog a mongrel when it's anything but can void your policy and see any potential claims being rejected.

When you take out a new policy, most insurers won't cover your pet for pre-existing conditions, whether that's a chronic problem that they need regular treatment for, or for recurrences of or complications from historic injuries or illnesses.

So if you're still claiming for a particular treatment on your current insurance policy, and haven't yet hit the maximum amount or 'length of time' payout, or you have a top-end 'lifetime' policy which does not have these exclusions, you may be better off staying put.

However, you can still switch to a new insurer as long as you're prepared to accept your pet won't be covered for the ailment it's already been treated for.

For example, say your dog suffers cataracts in both eyes and is cured, with the treatment covered by your existing insurer. The cost of the cataract treatment may well have reached a specified limit but this won't stop you from switching away to a cheaper policy with the same T&Cs as your existing insurer – just be aware that your new insurer will now treat the cataracts as a pre-existing condition, and will exclude it, so won't provide cover if there's a recurrence.

You may also decide the cost of the existing policy is now so high, you are prepared to take the risk of switching to a cheaper policy and hoping the old injury or illness does not reoccur.

And remember, it’s important to declare all pre-existing conditions – even if your new insurer is likely to exclude them – to avoid the chance of invalidating your policy.

The older your pet, the pricier it becomes, and some policies start to impose an upper age limit as well as additional contribution costs (known as 'co-payment' in the insurance world) should you make a claim.

Here are three main things to look out, and be aware of:

• Ageing pets cost more to insure. The age, combined with the breed, of your pet affects the price you need to pay. This information helps the insurer calculate the likelihood of your pet becoming ill, or picking up an injury. And as that increases with age so does the cost of insuring your pet.

• It's harder to get cheaper cover for an old pet as there is less choice of policies. Once your pet hits a certain age –  which varies from insurer to insurer, and depends on your pet – you might have trouble switching policies. For example, many insurers will say a cat or dog needs to be nine years old or younger when your policy starts with them, meaning you're then stuck with your current insurer.

• A claim's payout may not be as comprehensive as you thought. This is not something that is always made easy to read in a policy. Not only are you expected to pay more for the insurance once your pet gets older, many policies also state you must pay 20% of any treatment cost – on top of the excess – once your dog or cat reaches a certain age.
  

  For example, if you have a £500 vet's bill, you may be asked to pay 20% of the bill (£100) because of the age of your pet, on top of the policy excess (for example, £100) – meaning your contribution has doubled from £100 to £200, and almost half of the bill.

If you have one of these clauses in your policy, your share of the 'co-payment' can turn very costly, very quickly.

It is therefore important you scrutinise the small print of the policy as the co-payment condition is usually found in the main body of the policy document instead of next to the excess that appears on your schedule.

Changing the excess you pay – the amount you immediately contribute towards any claim – can typically cut the cost. Pay a higher excess, and your willingness to foot a greater part of the bill means the insurer will reward you with a lower premium.

To decide on your excess, consider how much it would have to cost you before you were happy to claim on the policy. If you wouldn't bother claiming for less than £200, for example, choosing a £50 excess is pointless.

Many insurers often offer a 5% to 10% discount if you insure two or more cats or dogs at the same time (on a so-called multi-pet policy). However, don't let it stop you looking for a better, cheaper policy elsewhere. After all, 10% off is no good if you can get two individual policies elsewhere for 12% less.

Three comparison sites, MoneySupermarket*, Gocompare and Confused.com*, will let you get quotes for multiple pets. They also allow you to combine cats and dogs on to one policy, and include any multi-pet discounts. You won't be guaranteed the cheapest premium doing this, but it'll help make life easier to compare against individual policies.

You can also go direct to the following insurers which give multi-pet discounts – Argos, Direct Line, More Than and Petplan. Then use our full comparison system outlined below for each pet to compare the overall cost.

It's compulsory to have any dog over the age of eight weeks microchipped in the UK. It also became a legal requirement in June 2024 to have any cat aged 20+ weeks microchipped in England.

Failure to comply can land you with a £500 fine and more trouble with the law.

Microchipping also helps owners get reunited with lost pets. A scannable chip is inserted under its skin, then registered. It means the pet can be returned to its owner if it gets lost and is then found.

This usually costs £10 to £30 per pet, but you may be able to get your mutt microchipped for free at Dogs Trust rehoming centres, via a Blue Cross centre or even by some councils.

Similarly for cats, occasionally local charities offer a free service or host events where the service is provided for free.

Always ensure your pet has the proper vaccinations, supplied by a vet, and you're provided with certificates. If you don't bother, or forget to keep your pet up to date with routine jabs, it could mean you aren't covered, and it could invalidate your insurance.

Fortunately, the Association of British Insurers has confirmed that due to limited access to veterinary surgeries because of Covid-19, insurers have agreed to be flexible on policy conditions, and particularly the requirement for pets to have up-to-date vaccinations and regular dental examinations – but they expect you to arrange an appointment as soon as reasonably possible.

Once you are able to get your pet vaccinated, remember to keep your vaccination certificates in a safe place – you might need to produce them if you need to make a claim.

Some pet insurers extend their cover abroad – if you regularly travel with your pet, it'll be worth considering this add-on, which usually covers vet fees of up to £1,000. Some insurers will also cover the cost of replacing your pet's travel documents, or quarantine costs incurred as a direct result of you losing any documentation. Holiday cover can also be arranged in the event you want to cancel your trip completely, or curtail it and come home – to help with the cost of travel and accommodation expenses.

The process of taking your pet to Europe and Northern Ireland has changed following the end of the transition period put in place after the UK's departure from the European Union.

Until the end of 2020, owners of dogs, cats and ferrets could travel with their animals to and from EU countries under the EU Pet Travel Scheme, provided they held a valid EU pet passport. To get a passport, pets had to be taken to a vet before travel, microchipped and vaccinated against rabies.

But if you're travelling to the EU or Northern Ireland now, you'll need to take the following steps on your first trip. These steps are similar to the previous process, but you'll need an animal health certificate (AHC) instead of a pet passport:

• You must have your dog, cat or ferret microchipped.

• You must vaccinate your dog, cat or ferret against rabies – your pet must be at least 12 weeks old before it can be vaccinated and you must wait 21 days after the primary vaccination before travel.

• You must visit your vet to get an AHC for your pet no more than 10 days before travel.

• In addition, if travelling to Finland, Malta, Northern Ireland, Norway or Republic of Ireland with a dog, you need to ensure it's received treatment for tapeworm one to five days before arrival in these countries. This needs to be recorded on the pet's AHC.

As long as you keep your pet's rabies vaccinations up to date, you will not need to get repeat vaccinations for subsequent trips to the EU or Northern Ireland (other than for tapeworm treatments for dogs visiting those countries listed above). But you will need to visit your vet to apply for a new AHC for each trip.

More details can be found on the Gov.uk website.

A greater number of insurers now provide cover for kennel and cattery fees, with the sums insured ranging from £250 up to £2,000. This can help if you're needed for an emergency – or have to go into hospital, say – and there's nobody else available to look after your pet.

Some policies even provide the option to have dog-walking cover, if injury or illness means you can't do this yourself.

Usually your stay in hospital needs to be longer than four consecutive days for this to pay out – though some policies are more lenient.

Cats clawing your furniture to death are a fact of life. Dogs are also partial to an expensive bit of chewing – carpets, shoes, you name it – but finding an insurer to provide this cover is difficult.

For instance, Saga's 'Super cover' pet policy states that "accidental damage caused by your pet to personal property that you and/or your family own" is provided. But it also says "damage caused by biting, chewing, scratching, fouling, urinating or vomiting" is excluded – so most things they'd do aren't covered!

However, you may already be covered for accidental damage on your home contents policy, so give your provider a call to check.

More insurers will pay for your pet to be put down, if a life-threatening accident or serious illness means this is the kindest option. A few will also cover the cost of cremation or burial expenses (up to limits, with the most generous using the current market rate for your pet).

As there are so many variables, and premiums are so personalised to the pet and pet owner, we can't highlight a certain age or price point where insurance becomes definitively 'not worth it'. 

This depends on what your expectations are for your pet's health and, crucially, how much you are willing to pay. When a pet gets older and becomes more susceptible to illnesses and injury, unfortunately pet insurance premiums will start getting very expensive. You may end up paying a large chunk of the veterinary fees yourself anyway and some insurers even won't insure pets over a certain age.

Yes, you should be able to downgrade your pet insurance – it may be that you decide you don't need a premium level of cover or you want to reduce your bills. Do consider though that if you lower your level of cover to save money, you may end up having to pay out for an expensive vet bill later down the line anyway. Also note that if you want to make a change midway through a policy, you may have to pay a fee to do so.

Pet cover is like home, car, travel or life insurance – if a provider goes bust, the Government-backed Financial Services Compensation Scheme (FSCS) kicks in.

There are two main ways it protects you:

• If you need to claim from a bust insurer

  The FSCS's main objective is to 'maintain continuity'. If your insurer goes bust, it will try to find another provider to take over your policy, or issue a substitute policy.

  If you have any ongoing claims, or need to make a claim before a new insurer is found, the FSCS will cover these.

• If it goes bust and you paid upfront

  If you've paid for cover for a year, but the company goes bust after a month or two, you'd lose out.

  To protect you, if the FSCS can't transfer your policy to another provider, you'll be given a period of time to take out alternative insurance, and any money you've already paid will be refunded as compensation via the FSCS.

The limits of the compensation depend on whether the policy is compulsory or not.

Compensation for policies such as third-party car insurance, which you're required to have by law, are unlimited, so you get 100% of the premium back.

Non-compulsory policies, such as pet, home, travel, life and PPI, cover 90% of the money paid. So it's possible, in the worst case scenario, that you could lose 10% of the money you paid out (though it's more likely you'll be transferred to a new insurer).