(Is Pet Insurance worth it?)

I was reading an article a few days ago and according to fairinvestment 74% of pet owners don't have any form of pet insurance based on a survey of 2000 pet owners.
This got me thinking "do you need pet insurance?"
The pet ownership figures in the UK show that almost 50% of households own a pet with dogs being the most popular at around 7.5 million followed by cats at just over 7 million then rabbits and birds. So for the insurance industry that is a lot of potential pet insurance business they are missing out on.
So is Pet insurance worthwhile?
Well research by Sainsburys showed that one million Britains believed that they had a cat or dog stolen in the last 5 years but it also showed that 25% of pet insurance policies will not provide financial assistance to owners who want to try and find their pet and offer no reward for the return. 
What struck me as more worrying though as i researched the subject was that over the last 5 years 927,000 dogs and 822,000 pets were estimated to have been put down as the owners could not afford the treatment and 2.5 million pet owners had declined the treatment their vets recommended due to cost and not having any form of pet insurance. I am sure for many of those owners the heartbreak it must have caused the families was terrible.
With these figures in mind i did a bit of digging to see what pet insurance costs and based on a 5 year old Labrador Retriever i received quotes varying from £84 to £312 (where you live with make a difference to figures quoted) and found that an average vet bill for a dog is over £300.
The table below shows examples that a typical pets insurance policy might cover you for.
Vet's Fees£2,000**£3,000 £7,000
12 month / Max-Benefit / ReinstatmentMax BenefitMax BenefitMax Benefit
Death from Illness*- £500£500
Death from Accident*- £500£500
Third Party Liability & Legal Expenses (Dogs Only)£1,000,000 £1,000,000 £1,000,000
Accidental Damage£250£250
Recovery expenses-£500£500
Boarding Fees- £650£650
Loss- £500£500
Holiday Cancellation- £1,000£1,000
Bereavement Counselling
Pet Legal
Pet Minders
Veterinary Helpline
Pay Vet Direct
Overseas Travel

The thing i noticed on the above pet insurance quotes was something that had never struck me before which is 3rd party liability as if a dog caused a road traffic accident it suggests the owner could be liable.

So do you need pet insurance?

When i first started looking at the subject i was of the believe that it was probably just another way for insurance companies to make a fast buck and on the highest quotes i came across it probably is, but if by shopping around you can get dog insurance at a competitive price (which appears feasible) the peace of mind it gives i think probably makes pet insurance worth having although as with all forms of insurance get a number of quotes, read the small print carefully and make sure you are comparing like with like and check the exclusions. 

pet insurance is it worth it?