As technology has advanced, so has the cost of veterinary care. Vets today offer treatments such as MRIs, ultrasounds, transplants and chemotherapy, which is great news for the health of our pets, but these new treatments are not cheap; veterinary costs have risen over 70% in the past five years, to over $19 billion last year. Having pet health insurance can help make sure you never have to choose between your pet’s well-being and your personal finances.

Pets also need more attention these days simply because they are living longer, a result of better preventative care, medicine, vitamins and food. Pets develop signs of aging just as humans do, like aches and pains, but they can also develop chronic diseases, such as cancer and diabetes that require costly medical treatments.

Even if your pet is not elderly or sick, accidents happen. Treating your dog for swallowing a foreign object can easily average $1600! This is where pet health insurance can help cover you for accidents and illnesses, and you can also choose plans that cover wellness care like check-ups, vaccinations, and dental cleanings.

Americans spend about $11 billion on veterinary care annually, according to the American Pet Product Manufacturers Association. But pet owners with insurance are still in the minority. Less than 3% of the nation’s estimated 71 million pet owners have policies.

Pet health policies are similar to human insurance policies; annual premiums, deductibles, and various coverage based upon what the owner chooses. Most plans also have co-pays and caps that limit how much will be paid out annually.

Treating your sick pet can be a very emotional situation. You may have already ruled that x amount is too much to spend on a veterinary treatment for your cat, but the kids are crying, the vet says a treatment would be successful, and it’s easy to break down and spend the money. Pet health insurance might be a preferable alternative to going into debt, especially in these tough economic times.

Do your homework before you buy:

• Shop around. Policies and premiums can vary widely.
• Check with your state. Like human health insurers, pet insurers should be registered with your state regulators.
• Scrutinize policies and understand their exclusions.
• As veterinary care becomes more sophisticated and expensive, pet health insurance offers valuable peace of mind. With pet health insurance, you’ll have financial support to pay for the medical care your pet deserves.