Quick take
- Vet bills can spike suddenly – insurance may help with eligible costs
- Optional extras, like dental or routine care, may be available on some plans
- Read the PDS and check exclusions, waiting periods and pre-existing conditions
- Choose a policy that matches your pet’s life stage, breed and your wallet
Why pet insurance matters
Your pet is part of the family – and you're not alone in feeling that way. According to the Australian Institute of Family Studies, Australia is one of the most pet-loving nations in the world, with an estimated 28.7 million pets living in 6.9 million households. In fact, of the nearly 6000 people surveyed, 52% of Australians consider their pets to be family members, not just companions.
Whether it’s a dog that joins you on daily walks or a cat curled up beside you during quiet moments, pets bring joy, comfort and connection. They support mental health, reduce stress, and offer unconditional love – which is why so many Australians refer to themselves as “pet parents” and treat their animals with the same care and consideration they’d give any loved one.
But when illness or injury strikes, the emotional bond can be tested by financial strain. Vet bills can climb quickly, and making tough decisions under pressure is never easy. That’s where pet insurance may help with managing some costs – helping you plan for the unexpected, while protecting your wallet.
What does pet insurance usually cover?
Here’s a list of things pet insurance can cover:
Accident and illness
Most policies typically cover treatments for injuries and a wide range of illnesses – from minor infections to serious conditions – up to your annual limit and benefit percentage.
Optional add-ons
Some insurers offer extras like prescription medications, dental, physio or routinecare. Availability and limits vary between insurers – always check the details to know what your pet’s individual policy covers.
Third-party liability
Certain comprehensive policies include cover if your pet injures someone or damages property. Terms differ by insurer so be sure to check your policy.
Why consider pet insurance
- Unpredictable costs – a single surgery can run to thousands
- Save for the small stuff, insure the big stuff – routine costs are easier to plan; emergencies are where cover shines
Common insurance terms
Here are terms to keep in mind when choosing a policy to ensure you understand how your pet cover works:
- Annual limit – the maximum you can claim in a year
- Benefit percentage – the portion of eligible bills the policy pays
- Excess – what you contribute per claim or per policy year
- Inclusions and options – hereditary conditions, dental, alternative therapies
- Waiting periods – how long before different benefits begin
- Pre-existing conditions – check definitions and review rules
- Additional items – routine care, telehealth or emergency boarding if offered
Common watch-outs
- Pre-existing conditions are typically excluded or need assessment
- Some treatments and elective procedures may not be covered
- Sub-limits can apply to certain services
- Missed payments or lapsed policies can affect claims
Claims – what to expect
Most insurers support digital claims. Keep invoices, clinical notes and your pet’s history handy. For smoother claims and make sure the treatment aligns with your policy wording.
GapOnly® – quick claims
GapOnly® is a fast and flexible claims service available through participating vets and insurers. Instead of paying the full bill upfront and waiting for reimbursement, GapOnly® lets you claim on the spot – with your insurer assessing the claim in real time and you only paying the gap (the difference between the vet’s invoice and your policy benefit).
It’s designed to reduce out-of-pocket costs and simplify the claims process, so you can focus on your pet’s recovery, not paperwork. Just check if your vet and insurer support GapOnly® before your appointment.
Curious about Buddy Pet Insurance?
Buddy Pet Insurance offers flexible cover designed specifically for dogs and cats – because every pet deserves protection that fits their lifestyle. Whether you’ve got a curious kitten or a senior pup, Buddy’s three levels of cover (Bronze, Silver and Goldare great options to choose from, depending on your needs and budget.
- Bronze – Up to 70% back on eligible vet bills, with a $11,000 annual limit
- Silver – Up to 80% back on eligible vet bills, with a $20,000 annual limit
- Gold – Up to 90% back on eligible vet bills, with a generous $35,000 annual limit
You can also choose your excess level and payment frequency (fortnightly, monthly or annually) and enjoy perks like GapOnly® claims and multi-pet discounts.
Buddy’s policies are easy to manage and backed by a commitment to animal welfare, with $1 million committed to support Australian pet charities through our Giving Program.
Final thoughts
The right policy helps you say yes to care when it counts. Match cover to your pet’s needs and your budget, and always read the Product Disclosure Statement (PDS) and Target Market Determination (TMD) before you buy.
Back your best mate with Buddy
From puppy school to golden-oldie naps, life with pets is full of moments worth protecting. Buddy Pet Insurance can help keep things simple and supportive while you enjoy your pet’s playful antics.
FAQsFrequently Asked Questions about pet insurance
Got questions? You’re not alone. Pet insurance can feel complex at first, so we’ve answered some of the most common queries to help you make sense of the basics – from what’s covered to when to take out a policy.
Is pet insurance worth it?
If a major accident or illness would strain your budget, cover can help you manage costs and keep treatment options open.
What is the difference between annual limit and benefit percentage?
Your annual limit is the total you can claim in a policy year. The benefit percentage is how much of each eligible bill the insurer pays up to that limit.
Are pre-existing conditions covered?
Usually not. Some insurers review stable conditions after a set period – always check the policy wording.
Can I use my regular vet?
Many policies allow you to choose any registered vet. Confirm this in the PDS for your chosen plan.
When should I take out cover?
Earlier is often simpler – younger pets generally have fewer pre-existing issues and may access broader cover, subject to waiting periods and eligibility.
27 May 2026