Is Pet Insurance Worth The Cost in 2025? Experts Answer
Reviewed by Kari Steere, Licensed Insurance Producer
Contributions by Dr. William Hodges
Pet insurance is worth the cost with the right coverage because it covers 70–100% of expenses, letting owners approve critical care without delay. With one in three pets requiring emergency treatment annually and costs often exceeding $1,500, a policy protects against unexpected expenses of $ 7,000 or more.
As most Americans struggle to afford a $1,500 emergency vet bill, and one out of every three pets will require emergency treatment each year, the right pet insurance can be a lifesaver.
Dr. William Hodges
As most Americans struggle to afford a $1,500 emergency vet bill, and one out of every three pets will require emergency treatment each year, the right pet insurance can be a lifesaver.Benefits of Pet Insurance
- Pet insurance can reimburse anywhere from 70% to 100% of unexpected veterinary costs, depending on your policy, and for those seeking immediate coverage, exploring pet insurance with no waiting period options may be beneficial.
- Most pet insurance plans can be used at any licensed veterinary practice.
- Knowing that you'll be reimbursed for covered costs grants the peace of mind to say "yes" to the care your pet needs.
Drawbacks of Pet Insurance
- Pet insurance usually works on a reimbursement model, which means you still need to pay the vet bill upfront.
- Pet insurance doesn't cover preventive care (like vaccines or spaying/neutering), nor does it cover treatment costs related to pre-existing conditions.
- Many people waste money on a plan that doesn't cover their pet's breed-specific health risks. (This is why it’s so important to use Pawlicy Advisor to see which plan is best-fit for you)
See if pet insurance is worth it for you and get a personalized recommendation.
Our pets’ lives come with uncertainties. No matter how careful or responsible we are, our puppies find and devour socks, our kittens climb and stumble off shelves, and we have a responsibility to mend them back to health.
Why Pet Insurance Is Worth It
When your pet gets sick or injured out of the blue, the last thing you want to worry about is expensive vet bills. But in this day and age, is it really worth paying a monthly premium for pet insurance?
Rising Veterinary Costs
Veterinary care has become significantly more expensive in recent years. Data from the Bureau of Labor Statistics shows that the cost of veterinary services in urban areas jumped 7.9% between February 2023 and February 2024.1
A vet from Utah shared that in the ’90s, surgery for a dog might have cost around $2,000. Today, the same case could involve advanced imaging, such as an MRI or CT scan, a board-certified specialist, and a full surgical team, bringing the total closer to $10,000.2
Pet insurance helps smooth out these large, unexpected expenses. So, instead of a sudden financial hit, you pay manageable monthly premiums. In return, you get help covering the cost when life throws you (and your pet) a curveball.
Peace of Mind and Financial Confidence
When your pet’s health is on the line, worrying about the treatment cost is the last thing you need. That’s why pet insurance takes that pressure off, so you’re never forced to choose between your finances and your furry friend’s life.
One magazine writer was relieved to have coverage when her St. Bernard’s cancer treatment totaled $28,000. Insurance covered $25,000, leaving her with just $7,500 in out-of-pocket costs, which included her $3,000 copay and previous premiums.3
We’ve seen it ourselves that a $50 monthly payment might seem like a lot until an unexpected emergency turns it into the best decision you ever made.
Increased Veterinary Visits Lead to Better Health
Insured pets visit the vet more often and these visits help catch health issues early before they become emergencies.
Think of the early-stage kidney disease spotted during a routine blood panel, or a small lump found during an annual exam that turned out to be early-stage cancer. Early detection like this can mean simpler, less expensive treatment, and more than anything else, a better outcome for your pet.
Insurance removes any hesitation. When cost isn’t a barrier, it becomes easier to say yes to the care your pet needs.
Growing Industry Reflects Rising Demand
Pet insurance is transitioning from a niche to a mainstream market, with total U.S. pet industry expenditures projected to reach $157 billion by 2025.4 Last year, roughly $66 billion was spent on pet food and treats alone. 5
Today, coverage seems to be a routine part of being a responsible pet parent. It’s the new leash law of pet wellness, right alongside microchips and annual vaccines.
The strong pet ownership culture in the U.S has skyrocketed the demand for pet insurance, especially in the last few years. And the industry is adapting to this soaring demand. MetLife, for example, allows pet parents to mix-and-match deductibles, reimbursement rates, and wellness add-ons to build a policy as unique as their pet, all from a phone.
Affordable Plans Are Available
Believe it or not, pet insurance is not as expensive as you think. In reality, you can find pet insurance with premiums starting at $46–$60 for dogs, and $25–$32 for cats.
Basic plans typically cover accidents and emergencies, providing protection from sudden, high-cost events such as broken bones or swallowed toys. More comprehensive plans may include coverage for illnesses, diagnostics, prescriptions, and even routine care, such as vaccines or dental cleanings.
But no matter the level of coverage, the goal is the same: peace of mind that when the unfortunate time comes, you never have to choose between your finances and what’s best for your pet.
Employer-Sponsored Options Can Reduce Costs
Pet insurance is making its way into the workplace as more companies are including pet coverage in their benefits packages.
Just like traditional health insurance for people, employer-sponsored pet insurance helps reduce monthly costs. It makes it easier for employees to protect every member of the family, including the four-legged ones.
Employers across the U.S are recognizing the emotional and financial value of pet parenthood. Pet care company, Kinship, gives pet parents an annual stipend of $750 for pet products. Amazon also provides pet insurance employee benefits.6
What Pet Insurance Really Costs
On average, dog insurance costs $56.30 per month and cat insurance costs $31.94 per month.7 Your actual costs may be higher or lower depending on a few variables:
- Where you live and vet costs in your area
- The age and breed of your pet
- How you customize your policy
Beyond average pet insurance costs, the only way to truly understand what price to expect is to compare real quotes across top companies side-by-side (something Pawlicy Advisor does really well).
Compare Top Pet Insurance Companies Side-by-Side
Use Pawlicy Advisor to get personalized quotes from leading brands and see how each plan stacks up — instantly.
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What Does Pet Insurance Cover
Pet insurance reimburses 70–100% of approved costs paid to licensed veterinarians. Core coverage protects against accidents, sudden or chronic illnesses, and related medical expenses like diagnostics, surgery, and medication.
Good plans also cover hereditary and dental conditions. Optional benefits may include rehab, lost pet rewards, or end-of-life care. Policies exclude pre-existing conditions, wellness care, cosmetic procedures, and routine services unless a wellness add-on is purchased. Because coverage varies by provider, always read exclusions and waiting periods before buying.
Most Plans Cover:
- Accidental injuries (foreign object ingestion, broken bones, bite wounds, and more)
- Unexpected illnesses (skin allergies, gastrointestinal issues, glaucoma, and more)
- Chronic disease (diabetes, arthritis, heart conditions, and more)
- Dental illnesses (periodontal disease, gingivitis, tooth resorption, and more)
- Hereditary conditions (i.e. hip dysplasia, hyperthyroidism, von Willebrand disease, and more)
- Surgery (bloat, cruciate ligament conditions, cataracts, and more)
- Cancer diagnosis and treatment
- Prescription medications
- Diagnostic testing (i.e. fecal exams, allergy tests, x-rays, bloodwork, MRIs, and more)
- Emergency exam fees
Some Plans Cover:
- Alternative treatments like physical therapy, acupuncture, and chiropractic care
- Behavioral modification therapy
- Vacation cancellation fees
- Lost pet advertising and reward
- Breeding and pregnancy expenses
- End-of-life care, euthanasia, and cremation or burial
No Plans Cover:
- Pre-existing conditions
- Pet supplies (food, toys, treats)
- Cosmetic procedures
- Elective surgeries
- Routine care/Wellness exams*
- Preventive care*
- Spay/Neuter*
- Vaccinations*
- Boarding or daycare
- Personal liability claims
PRO TIP: If you're interested in plans that reimburse for routine and preventive care (checkups, vaccinations, spay/neuter, dental cleaning, etc.), consider a wellness plan add-on. You can easily add a wellness plan to your policy when using Pawlicy Advisor to shop for pet insurance.
It's a good idea to always read the fine print of your pet insurance policy so you know exactly how it works, what's covered, and what's not.
Pet insurance doesn't work like human health insurance. Because pets are seen as property by U.S. law, pet insurance is a type of property insurance and only covers new damages (health issues) that are not related to any pre-existing conditions.
Kari Steere, Licensed Insurance Producer
Get expert guidance to help you find the best policy for your best friend.
Pet Insurance Protects Against Unexpected Veterinary Bills
Unforeseen (and expensive) emergency veterinary care is almost impossible to predict — and all too common. In fact, one in three pets will need emergency treatment each year.8
1 in 3
pets require emergency treatment each year
Accidents like dog bites, fractures, and object ingestion can cost thousands of dollars to treat. A ligament repair — a common issue for active dogs — can cost $3,000 to $7,000, not including X-rays, anesthesia, and follow-up care.
Medical expenses can quickly compound after the initial exam as the treatment plan calls for blood tests, x-ray imaging, pain medications, IV fluids, and whatever else the patient might need.
Dr. William Hodges, DVM, says, "One example, feline urinary obstructions — a fairly common health issue in indoor cats — often require lab testing, antibiotics, and even surgery that can add up to $3,000."
In the worst cases, a pet medical emergency can lead to long-term expenses.
Dr. William Hodges
When this happens, not only do you need to cover the cost of your visit to the emergency vet, but you also have to factor in long-term costs.
Common Emergency Cost Examples
The cost of vet visits depicted above may vary based on the geographical area, hospital size, level of care facility, and other factors.
PRO TIP: What injuries and illnesses are considered emergencies can vary by insurance company. There are some standards, like blunt trauma (hit by a car) or kidney failure, but others can be more grey, like toxin exposure.
If you need help understanding what a policy actually covers, please contact Pawlicy Advisor to speak with a licensed insurance expert at (866)729-5429.
What Veterinarians & Customers Are Saying in 2025
"Depending on the problem, a pet health emergency can cost anywhere from a few hundred dollars to over $7,000. For instance, the estimate to treat parvo disease in puppies — a life-threatening disease prevalent in young, unvaccinated dogs — is $1,000 at some hospitals versus $5,000 to $8,000 at others, and often results in fatality without immediate treatment," says Dr. William Hodges.
Pet insurance can grant peace of mind so that treatment conversations can be about what’s the right thing to do, instead of how much it will cost.
Dr. William Hodges
Reddit user shostakofiev responded to the thread "Q: Is Pet Insurance worth the price?" in r/Frugal, saying, "I bought pet insurance for my dog, not because I thought it would save money, but because I never wanted to have to make a decision about his medical treatment based on money." 9
It turned out to be worth it. 3 months after we got him he started acting weird and wouldn't eat. Took him to the vet, they did an X-ray and said he had swallowed some metal wire. Surgery was $3,500.
shostakofiev
Dr. Ricky Walther advises, "If you're uncertain whether pet insurance is worth the cost, you should also be mindful of breed-specific health risks that can significantly increase the cost of pet ownership throughout your pet's lifespan."
Your pet's risks of developing certain illnesses or hereditary conditions are an important factor you must consider when budgeting for the costs of keeping your pet healthy.
Dr. Ricky Walther
"My new puppy has a bad habit of eating everything in sight, you name it, she's chewed on it. Just like a baby, we have to keep an eye on her constantly. So I signed her up for pet insurance, in case she swallows something dangerous," said Vicki Barbosa, a Pawlicy Advisor customer who purchased pet insurance for her puppy.
Having raised 4 kids, I know it's not unlikely, fingers crossed. Pawlicy Advisor was very helpful in figuring out which one to sign up for.
Vicki Barbosa
The Verdict
For many people, especially in 2025, pet insurance is worth the cost if you have the right coverage.
In this time of economic uncertainty (a potential recession looming ahead and the most drastic rise in inflation that we’ve seen in years), pet insurance is becoming a more important consideration. You need to ask yourself: What would I do if my pet had a $5,000 vet bill?
How To Find a Plan That Fits Your Coverage Needs and Budget
Here's how to compare pet insurance plans:
- Identify your pet's health risks
- Determine your budget
- Compare quotes and coverage from top companies
- Narrow in on options that fit your coverage needs
- Read the fine print and make sure there aren't unique exclusions
- Customize the policy details to fit your budget if needed
"It's important to read coverage details carefully, as policies may note different waiting periods for specific conditions," says Kari Steere, Licensed Insurance Producer. "For example, one policy might note a 10-day waiting period until coverage kicks in but have a unique clause that says cruciate ligament injuries will have a 6-month waiting period. If you have a dog whose breed is prone to knee injuries, you need to know this information upfront."
PRO TIP
If you don't want to fill out quote forms on each insurance company's website, sift through the fine print in each policy, and deal with managing a spreadsheet - we don't blame you. Pawlicy Advisor will do it for you.
Compare Top Pet Insurance Companies Side-by-Side
Use Pawlicy Advisor to get personalized quotes from leading brands and see how each plan stacks up — instantly.
100% free to use. No fees. No commitment.
Frequently Asked Questions
Is pet insurance worth it for indoor cats?
"Pet insurance can be worth it for indoor cats as 50% of cats over the age of four develop dental disease. Additionally, there are many toxic household plants and items that require a trip to the vet if your cat eats them." - Kari Steere, Licensed Insurance Producer
Is pet insurance worth it for older dogs?
"Pet insurance can be worth it for older dogs as many dogs over the age of 10 develop cancer. But, it really depends on how old your dog is compared to his/her expected lifespan, and how many pre-existing conditions are already present." - Kari Steere, Licensed Insurance Producer
What are the alternatives to pet insurance?
As a pet owner, you only have a few alternatives to pet insurance for covering the cost of veterinary care if you are paying out-of-pocket.
- You could set aside enough savings to pay when the time comes
- You could borrow from friends and family
- You could launch a crowdfunding campaign
- You could apply for charitable grants
- You could acquire veterinary financing
If you look online, you might find people touting the importance of financing your own pet care and setting aside money each month over a pet’s lifetime to pay for veterinary bills. However, this does not work if your pet needs expensive surgery or test before you've accumulated enough savings... nor does it work if you have more than one incident.
What's the best pet insurance?
"The best pet insurance varies from person to person and pet to pet. There is no one-size-fits-all pet insurance, so you’ll want to compare top companies and find the option that covers your pet’s breed-specific health risks and has the best deal." - Kari Steere, Licensed Insurance Producer
At Pawlicy Advisor, we provide personalized recommendations based on your pet's breed-specific health risks and expected lifetime value. Learn more about our methodology (and why the American Animal Hospital recommends Pawlicy Advisor as the Preferred Business Provider for pet insurance).
Do all vets take pet insurance?
"Yes, because pet insurance reimburses you instead of paying the doctor. This means your pet insurance will work at any licensed veterinary clinic or animal hospital in the U.S." - Kari Steere, Licensed Insurance Producer
When is pet insurance not worth it?
"Pet insurance may not be worth the cost if your pet already has several pre-existing conditions." - Kari Steere, Licensed Insurance Producer
When is pet insurance not worth it?
"Pet insurance may not be worth the cost if your pet already has several pre-existing conditions." - Kari Steere, Licensed Insurance Producer
How can Pawlicy Advisor help?
We match you with the right pet insurance that covers what matters most, at no cost to you–almost instantly. Our platform analyzes your pet’s info to help you compare hundreds of quotes across top companies and highlights unique advice tailored to your pet’s breed. Pet owners can compare plans, customize policies to fit their budget, and enroll in the right coverage all in one place.
Our licensed agents are not biased toward any one insurer, so you can get objective guidance. Feel free to call us at (866) 729-5429 or email us at info@pawlicy.com.
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