We’re now in the Chinese Year of the Dog and according to Chinese folk law, anyone born during the year, which runs between 29th January and 28th January 2006, will be honest and loyal. They also aren’t concerned about wealth.

This might explain why there are 5.2 million homes owning dogs without pet insurance cover. As many will have discovered to their cost, this leaves them exposed to huge veterinary bills.

The average cost of treating a dog following a road accident is a wealth damaging £379 and the cost of just a scan could exceed £1,000.

On average, an insured pet owner makes a claim every three years. But do watch out. Pet insurance policies do widely vary in terms of what they cover, excess levels, limits on the maximum that can be claimed each year and various exclusions.

So when you’re shopping for pet insurance it’s important to study the small print. Don’t automatically buy the cheapest. Cheap premiums invariably reflect restricted cover. For example, not all insurers will offer cover for life. This means that if your dog’s problem requires ongoing treatment for more than a year, then cover ceases at the twelve-month stage.

Take Darren Gittins alsatian, Chelsea. Five years ago Darren wisely took out insurance for Chelsea as soon as she joined the family as a pup. All was well until the first spring arrived. Then, Chelsea developed a skin allergy and soon after a hip problem. Treatment turned out to be an ongoing process requiring regular visits to the vet.

Says Darren,” Chelsea is on a special diet plus regular injections to control her allergies. The monthly bill from the vet is usually between £350 and £450 so my decision five years ago to take out insurance, proved a great investment as my insurance premium is just £15 per month. In fact I’m not sure what we would do without it!”

Darren’s budget policy is issued by Pet Plan and covers lifetime conditions up to £4,000 per year. Pet Plan also have two other schemes – their Standard Plan which pays up to £6,000 per year and their Supreme Plan which provides unlimited cover. So you can see that even within the same insurance provider, you can be faced with several policies to choose from.

Some policies even provide protection for kennel fees, or boarding fees if you become ill or even receive a cancellation fee for your holiday if your pet becomes ill before you travel.

Our advice is to visit several pet insurance web sites, including our pet insurance page! Then spend half an hour comparing premiums and see what you get for your money. We know it’s a bore but put a little extra effort in and you will probably be rewarded with a great deal and peace of mind.

And if your dog could talk, we’re sure he’d say thanks too. But perhaps a big lick will have to suffice!