For anyone who owns a family pet, veterinary bills can represent a major expense, particularly if the pet falls ill or has a serious accident.  In recent years, most western countries with high levels of pet ownership have seen a rapid increase in spending on veterinary care. 

This is largely attributable to the increased availability of advanced medical procedures and treatments for animals due to improved technology.  There has also been a growth in awareness among the public about what can actually be done to treat a sick pet, related partly to a spate of TV reality programmes about veterinary hospitals, which has increased the demand for such services.

According to the Animal Health Alliance, the incidence of pet ownership in Australia is one of the highest in the world, with an estimated 63% of households owning some kind of pet, most commonly a cat or dog.  In 2005, it was estimated that Australian consumer expenditure on veterinary services and products amounted to $990 million, accounting for nearly a quarter of all pet-related spending including food.  Of this total expenditure on veterinary services, 71% was for the treatment of dogs, 24% for the treatment of cats, and the remainder for veterinary care for other types of animals.

Similarly high levels of expenditure on vet bills have been reported for other western countries.  In the UK, for example, pet owners spend more than £1 billion a year on veterinary bills, while in the U.S.A. household expenditure on veterinary services increased by 76% between 1994 and 2003, from US$4.8 billion to US$8.5 billion.

The growth of expenditure by Australian pet owners on veterinary services may mirror this American trend over the next few years and as such the need for pet insurance has become more acute.  It has been reported that the cost of an operation to repair a broken limb, for example, can be in excess of $3000. However, it seems that for many pet owners, no expense is spared if it can save their pet’s life.  American surveys of pet owners have revealed that around half would spend any amount of money to save their pet's life, and that nearly three-quarters are prepared to go into debt if necessary in order to do so.

By taking out an affordable pet insurance policy in advance, you could save yourself going into debt and still be comfortable knowing that your pet(s) have access to the best care possible.