The main benefit of having pet insurance is that it provides a financial safety net in the event of high veterinary expenses, should your pet have an accident or become ill.  Some surgical procedures or treatments can cost thousands of dollars.  If you could not bear to have your pet put to sleep, pet insurance is likely to be a worthwhile option.  Pet insurance may be particular worthwhile if you don’t have any savings to cover unexpected expenses.

Having pet insurance also gives you peace of mind that you can always afford good veterinary care for your pet, either in case of emergency or for routine treatment if you have a comprehensive policy.  It also means that if your pet is being looked after by someone else and needs treatment, you can assure them that the cost will be covered by your insurance.

In general, existing policyholders report that their pet insurance policies are worthwhile.  A UK survey found that, on average, policyholders make a claim about once every three years, and 88% said that they felt their policy represented good value for money. 

However, pet health insurance can be expensive, and if you only have one pet the lifetime cost of the policy may exceed its benefits, particularly for a young pet in good health. Typically, premiums for accidental injury cover are at least $15-$40 per month. These premiums must be paid even if you don’t ever make a claim.

Also, very few companies cover 100% of the cost of medical treatment or other pet-related costs, so you will still have to make payments over and above the cost of the premiums.  If you have more than one pet, however, health insurance is much more likely to be cost-effective, especially as most companies offer pet insurance discounts for multiple pets.