Is Pet Insurance Worth Buying?
Our guide focuses on whether pet insurance is worth it for most New Zealanders, what to consider when buying a policy, and who the top pet insurance providers are. We also list frequently asked questions that New Zealanders have regarding the necessity of pet insurance.
Updated 10 March 2025
Summary
Our guide covers:
Video explainer
MoneyHub's Head of Research, Christopher Walsh, explains this guide in a video, focusing on tips and highlighting must-know facts and considerations:
- While the benefits of having a pet around the house are not insignificant, the cost of keeping your pet healthy can quickly add up.
- If you have a dog or cat, the vet bills can be astronomical, especially for certain specialised procedures. And while some things are purely preventative, it's important to take care of any medical issues as soon as possible.
- Even if you don't want to pay for expensive treatments, waiting until an injury or illness to get worse could mean a significantly higher bill for pet treatment. Our vet pricing research gives an insight into the costs of a wide range of treatments.
Our guide covers:
- What is Pet Insurance?
- When is Pet Insurance “worth it” (or “not worth it”)?
- What does Pet Insurance Cover?
- How Much does Pet Insurance Cost?
- Things to consider when choosing a pet insurance provider
- Must Know Facts about Pet Insurance
- Our Conclusion
- Frequently Asked Questions
Video explainer
MoneyHub's Head of Research, Christopher Walsh, explains this guide in a video, focusing on tips and highlighting must-know facts and considerations:
Compare Pet Insurance Quotes from New Zealand's Most Trusted Insurers, Relied on by Thousands of Pet Owners:
Christopher Walsh
MoneyHub Founder |
Our pet insurance research has identified the top pet insurers offering unbeatable prices and value. We suggest getting instant quotes from Southern Cross, PD Insurance, and Cove before exploring the wider market—this way, you can be confident you're getting the best possible deal. Our view is this:
|
What is Pet Insurance?
- When you get pet insurance, you're essentially paying a small monthly premium to protect your pet's health in case something unexpected happens. Generally, you can choose from different levels of coverage (such as accident-only, basic or premium plans) depending on how much you want to pay per month or year.
- The cost of getting pet insurance has been steadily increasing in line with inflation, especially for pets already in middle age.
- Generally, the older the pet, the less likely a pet insurer is to insure it (as the likelihood of the pet needing surgeries and treatments increases as they age). For example, dogs develop hip dysplasia as a common condition as they age. This condition can cause great discomfort and pain in dogs that don’t get surgery to correct it. A surgery like this would cost thousands of dollars without pet insurance but would likely be fully covered by the insurer if you’re on one of their premium pet insurance plans.
- Pet insurance also provides coverage for other conditions which means that even if a disease strikes unexpectedly, it shouldn't put too big of a dent in your wallet thanks to having insurance with good coverage at an affordable price point.
- However, as the cost of living increases, New Zealanders will wonder whether pet insurance is necessary or a "nice to have" that they can drop in tough times.
Why do I need pet insurance?
A pet is a member of your family that deserves the best care you can give them. However, pets are expensive. The average cost of raising a pet in New Zealand can be anywhere from a few thousand to $10,000+ depending on the breed of pet and how long they live. While common costs of raising a pet include food and general upkeep, the costliest portion usually occurs towards the end of a pet's life. Medical costs or surgeries arising from old age can easily be thousands of dollars for each visit.
Without pet insurance, unexpected veterinary bills can be incredibly difficult for pet owners to handle. Beyond paying out-of-pocket for treatment or medication, your pet may undergo multiple procedures or tests before fully recovering from an injury or illness. The main reason people take out pet insurance is to avoid these unexpected costs, even if the percentage chance or possibility that their pet gets into one of these situations is relatively low.
Without pet insurance, unexpected veterinary bills can be incredibly difficult for pet owners to handle. Beyond paying out-of-pocket for treatment or medication, your pet may undergo multiple procedures or tests before fully recovering from an injury or illness. The main reason people take out pet insurance is to avoid these unexpected costs, even if the percentage chance or possibility that their pet gets into one of these situations is relatively low.
When is Pet Insurance “worth it” (or “not worth it”)?
Getting pet insurance is the only way to protect your finances from the costs or hard decisions that come with unplanned visits to the vet. As with any insurance, it's arguable that you're insuring from things you can't afford to cover.
We believe pet insurance won't be for everyone. As an example, here are a few situations where it may not be worthwhile to take out pet insurance:
Here are a few situations where it may be worthwhile to take out pet insurance:
We believe pet insurance won't be for everyone. As an example, here are a few situations where it may not be worthwhile to take out pet insurance:
- Your pet is relatively old already (and thus, insurers are unlikely to underwrite pet insurance for your pet)
- If your pet already has many pre-existing conditions (usually these conditions would be excluded)
- If your pet is an apartment pet or spends the majority of the time indoors (although other issues related to obesity may be cause for concern/rationale to get pet insurance). These pets could still be at risk of many non-infectious illnesses (arthritis, diabetes, cancers, organ failures) and indoor accidents (ingestions, falls, burns).
- If you have the disposable income to pay for any future pet operations that arise
Here are a few situations where it may be worthwhile to take out pet insurance:
- If your pet is past “early age” but younger than seven or eight
- Pure breed pets (which may be predisposed to some congenital conditions)
- If you don't have an emergency savings account and would struggle to pay off a significant unexpected vet bill (as a result of emergency surgery or operation)
- If your pet predominately spends time outdoors
What Does Pet Insurance Cover?
Pet insurance covers the cost of treatment for illnesses, accidents and operations. It also covers the cost of routine health checks, vaccinations, and flea treatments. Pet insurance can also include dental care, behavioural therapy and ongoing conditions such as chronic kidney disease. Pet insurance coverage will vary depending on the "tier" or "level" of pet insurance you purchase.
If your pet needs emergency veterinary treatment, it will be covered by pet insurance if you have the appropriate policy (some policies have an excess or co-payment clause that may apply). Some policies also cover travel costs to get your pet to the veterinarian (including after-hours services) if they’re injured or ill while travelling away from home.
Generally, the tiers of pet insurance are split into three main buckets:
If your pet needs emergency veterinary treatment, it will be covered by pet insurance if you have the appropriate policy (some policies have an excess or co-payment clause that may apply). Some policies also cover travel costs to get your pet to the veterinarian (including after-hours services) if they’re injured or ill while travelling away from home.
Generally, the tiers of pet insurance are split into three main buckets:
1. Accident Only Pet Insurance (Basic plan)
This pet insurance plan will usually only cover minor accidents, such as if your pet comes home injured or gets into a fight. This plan's premium usually costs anywhere from $10 - $40 a month.
2. Accident and Illness Pet Insurance (Plus plan)
This pet insurance plan will cover all of the elements of the accident (basic) plan listed above and includes certain common long-term illnesses that your pet may contract. This plan's premium usually costs anywhere from $30 – $60 per month.
3. Fully Comprehensive Pet Insurance (Premium plan)
This pet insurance plan will cover all the elements of the Accident and Illness (plus) plan listed above but also includes the most expensive procedures and operations that your pet may need (usually with a very high threshold or benefit limit). As a result, this is the highest quality pet insurance you can buy and ensures that you're fully covered in the event of a serious life-threatening operation required for your pet. This plan's premium usually costs anywhere from $40 to $100 per month.
More details: Our pet insurance comparison guide has more details around expected costs and policy inclusions and exclusions.
More details: Our pet insurance comparison guide has more details around expected costs and policy inclusions and exclusions.
How Much does Pet Insurance Cost in New Zealand?
Pet insurance costs vary depending on the insurance provider, as well as from policy to policy. To get an accurate estimate of what your pet's insurance will cost you, it's best to shop around and get quotes from different providers. Our guide to pet insurance has more details and sample pricing.
Many insurers will provide simple calculators using just a few details to give you a quote on how much you will likely need to pay in monthly premiums to insure your specific pet. For a comprehensive guide to vet pricing, check out the definitive guide here.
Many insurers will provide simple calculators using just a few details to give you a quote on how much you will likely need to pay in monthly premiums to insure your specific pet. For a comprehensive guide to vet pricing, check out the definitive guide here.
Who are the top pet insurance providers in New Zealand?
There are two types of pet insurance providers:
While pet insurance is a growing sector within insurance generally, the majority of pet insurance is underwritten by large-scale international insurers. Only three insurers focus exclusively on pet insurance (PD Insurance, Petcover and Pet-n-sur).
Some of the most popular large-scale pet insurance providers in New Zealand include:
Some of the most popular pet-specific insurance providers in New Zealand include:
Each of the insurers above will specialise in different types of pet insurance and use different risk models, pricing structures and excess limits. For the definitive guide to pet insurance providers in New Zealand, check out our policy comparison.
- First, large-scale insurance conglomerates will underwrite pet insurance amongst many other types (such as car, health, etc.)
- Pet-specific insurers will focus specifically on certain pets, breeds and types of insurance.
While pet insurance is a growing sector within insurance generally, the majority of pet insurance is underwritten by large-scale international insurers. Only three insurers focus exclusively on pet insurance (PD Insurance, Petcover and Pet-n-sur).
Some of the most popular large-scale pet insurance providers in New Zealand include:
Some of the most popular pet-specific insurance providers in New Zealand include:
Each of the insurers above will specialise in different types of pet insurance and use different risk models, pricing structures and excess limits. For the definitive guide to pet insurance providers in New Zealand, check out our policy comparison.
Compare Pet Insurance Quotes from New Zealand's Most Trusted Insurers, Relied on by Thousands of Pet Owners:
Christopher Walsh
MoneyHub Founder |
Our pet insurance research has identified the top pet insurers offering unbeatable prices and value. We suggest getting instant quotes from Southern Cross, PD Insurance, and Cove before exploring the wider market—this way, you can be confident you're getting the best possible deal. Our view is this:
|
Things to Consider when Choosing a Pet Insurance Provider
When considering which pet insurance provider to go with, it's important to weigh up several factors, including:
Important:
Know This: Pet insurers generally have a good reputation for paying claims. However, claims are usually rejected when a preexisting condition hasn't been disclosed to the insurer. For this reason, it's essential to be fully transparent with the insurer about your pet's condition before any policy is purchased.
- The type of plan (e.g. accident only vs full cover)
- The ultimate cost of the plan
- The reputation of the insurer
- The likelihood your pet will need cover in the next 12 months
- Your ability to cover any short-term costs (should they arise)
Important:
- You should check the provider's policy details to see what they cover and don't. For example, some insurers only cover accidents (e.g. accident only policies), while others may include illnesses or hereditary conditions.
- Check the reputation of the pet insurance provider and anecdotal and data-driven customer reviews online. Generally, many Facebook, Google, or Reddit groups will describe how these insurance providers treated New Zealanders.
- If possible, speak to someone at your chosen pet insurer who can answer any questions you have about their customer service or claims process before starting up an insurance plan with them.
- Read through the information on the pet insurer's website carefully (including the terms and conditions) so that you fully understand what is covered by the potential policy and how much it costs (including the excess or benefit limit).
Know This: Pet insurers generally have a good reputation for paying claims. However, claims are usually rejected when a preexisting condition hasn't been disclosed to the insurer. For this reason, it's essential to be fully transparent with the insurer about your pet's condition before any policy is purchased.
Must Know Facts about Pet Insurance
|
The older your pet (and the more pre-existing conditions they have), the higher your monthly premiums are likely.Generally, once your pet has passed infancy, they are less likely to run into health problems or require additional vaccinations. However, as they age, the likelihood of needing some support or maintenance rises. Therefore, it's important to know that your monthly premiums will likely increase as your pet ages
The risk of changing policies is that the new insurer may exclude any pre-existing conditions from the new policy. Know This: If you switch to another provider, you run the risk of paying higher monthly premiums, given your pet has now aged, and you will have to disclose any pre-existing conditions (which your pet may have incurred while the first policy was in place). |
|
You won't be able to buy a policy for the first time for a pet past a certain age depending on the breed and type of pet (usually from seven or eight onwards).Because insurers use pricing models based on the likelihood of a pet running into an illness or unexpected injury after a certain period, the insurer works out that it is not cost-effective for them to underwrite a pet after a certain age. This policy is put in place because as your pet ages, the risk that they run into some illness, disease or long-term health problem that requires surgery increases exponentially (after all, unfortunately, pets don't live forever).
This means that insurers will usually not issue new policies to any elderly pets (generally, this cut-off is when pets reach beyond halfway or in the last third of their usual life expectancy). |
|
Above and beyond covering the actual pet healthcare costs, having pet insurance can give New Zealanders peace of mind that their pet will get the best care possible if something unexpected happens.While the financial benefits of pet insurance are clear, it's important not to overlook the non-financial benefits of pet insurance. There's nothing worse than the uncertainty associated with being unable to provide or support your pet in a time of need. Comprehensive pet insurance can give New Zealanders comfort that regardless of what happens in the future, their pet will get the best care possible and won't cost you thousands to support them.
|
Our Conclusion
- With the right pet insurance, you’ll be able to get the best treatment for your pet at the lowest cost possible.
- Pet insurance can help with unexpected expenses and give you peace of mind that your pet will get the best care possible.
- Many different providers are available, so you must do some research before choosing one.
- The intention of this guide is to provide insight into whether pet insurance is worth it in New Zealand and the factors you should consider when considering buying pet insurance.
Frequently Asked Questions
Who is pet insurance for?
Pet insurance is ideal for people who:
- Want a piece of mind that any unexpected incidents are covered
- Want their pets to receive quality care for their whole life
- May not have the ability to pay unexpected vet bills should they arise
- If your pet spends the majority of the time outside (especially if it is aggressive or gets into fights)
- Want the peace of mind that their pet is protected
I’m finding pet insurance expensive, and my pet doesn't ever get sick. For these reasons I'm considering stopping pet insurance. What are the implications of not having pet insurance?
While the short-term benefits of dropping pet insurance can be a benefit, the potential downside, both from a monetary perspective of expensive operations and the non-monetary perspective of worrying about your pet’s health, cannot be overlooked. When thinking about dropping your pet insurance, make sure to consider a range of factors, including:
- Age of your pet
- The likelihood your pet may run into issues in the next 12 months
- The ability for you to pay out of pocket for an emergency surgery
- Whether the cost savings would make a significant difference (Cost of Living or just discretionary)
- Whether you have an emergency fund set up to cover unexpected costs
Do I need pet insurance if I live in the city/apartment and my pet isn't exposed to the outdoors?
- Generally, pets that spend most of their time indoors are less likely to get injured or fight with other pets. That said, they still may pick up age-related diseases or illness
- es regardless of whether they spend time indoors or outdoors.
Does ACC cover pet injuries or accident?
Unfortunately, ACC only covers injuries related to humans. Therefore, ACC will not reimburse or cover pets in the event of injury or illness.
Compare Pet Insurance Quotes from New Zealand's Most Trusted Insurers, Relied on by Thousands of Pet Owners:
Christopher Walsh
MoneyHub Founder |
Our pet insurance research has identified the top pet insurers offering unbeatable prices and value. We suggest getting instant quotes from Southern Cross, PD Insurance, and Cove before exploring the wider market—this way, you can be confident you're getting the best possible deal. Our view is this:
|
