How to get the pet insurance you need at the right price

Whilst it's tempting not to insure pets, unless you are the sort of person who has no qualms about putting their pet dog or cat in a bag and throwing it in the river at the first sign of illness, you will probably need pet insurance.

Self insurance
If you'd rather not shell out for insurance you don't think you need and are a disciplined type you might like to consider self insurance. Instead of paying premiums to an insurer you just put money aside every month to cover any costs, earning interest in the process. Of course, if your pet requires treatment in the first month of this scheme you will still be left with a big bill or if you are not as disciplined as you thought you might end up with a lot less than anticipated in your fund.

Pet insurance
Pet insurance protects you from rising vets' fees - it can can cost close to £1,000 just to deal with a broken leg on a cat, for example. Many policies also provide additional benefits such as pet theft insurance as part of their offering. If you have expensive or exotic pets consider a specialist insurer who may be able to offer you an appropriate policy at a more competitive price.

You might think you've got a great deal, but check carefully to ensure that it includes everything you need - and excludes things that sound good but that you don't need, especially if they come at a premium. Choosing the wrong policy could leave you with a choice of going into debt, seeing your pet suffer or having to have it put down.

Things to watch out for
As with human health insurance, pet insurance won't cover the insured for pre existing medical conditions. So, if your pet develops a problem you probably won't save any money attempting to switch insurers

Many insurers set an annual pay out limit, or one that only pays out a certain amount per ailment, no matter how long it lasts. Read the small print carefully.

Keep an eye on the excess level of your policy. Raising the excess can save you a lot of money, but be sensible.

Getting the best price
Shop around for the best deal, and don't forget to play competing companies against each other by challenging them to beat quotes you have already obtained. Insurance companies can be surprisingly generous when chasing a sale!

4 top insurance tips for the new year

As the credit crunch dips into a full on recession, choosing the right insurance cover becomes more important than ever. So today Insurance News Blog offers you 4 top insurance tips for the new year.

1. Avoid payment protection insurance
Number one in any list. Although banks and loan companies often try to force payment protection insurance (PPI) on customers taking out loans, they hide the true cost and fail to make it clear to their customers that taking out their cover is not mandatory. Lenders' PPI is usually vastly overpriced, and if you shop around you can always get a better deal.

2. Get your gadgets insured
Crime tends to go up in a recession, especially street crime so it's best to make sure all your desirable gadgets are covered.

Rather than insuring them separately get them added to your home contents policy. If you've acquired more gadgets over Christmas ensure that you are covered for the full amount.

3. Review your critical illness cover
Check whether the terms and conditions have changed, and whether it's still worth having.

In recent years these policies have become more and more expensive and with more exclusions. Insurers are also using unsavoury methods to avoid paying out. You might find permanent health insurance or an income protection policy actually represent better value.

4. Car breakdown cover
Especially in winter motor breakdown cover is a must. Make sure it includes at least these basic features: tow to garage, fix at roadside, take you and your passengers home, fix at home, and car hire or accommodation if your car cannot be fixed.

The following options are also desirable if offered: cover whilst driving on the continent, recovery for accident, theft or vandalism, and provision of a relief driver.

7 key tips to keep in mind when buying travel insurance

If you're thinking about booking a trip abroad then, in these times of folding airlines and disappearing travel companies, you'll need the peace of mind insurance brings.

Keep these tips in mind before you part with your cash and you won't go wrong:

1. Before buying travel insurance through your airline or tour operator check that you can't get a better deal from a specialist offering a higher level of cover for less money.
2. If you go abroad more than once a year annual insurance may be a better option than a single trip policy.
3. Make sure your policy includes at least £1 million worth of medical cover in Europe (£2 million outside Europe), and personal liability of at least £1 million.
4. Check that there's a 24-hour emergency helpline.
5. Declare any existing medical conditions or risk invalidating your cover when you need it most.
6. Make sure your cancellation and curtailment cover are enough to reimburse you for the cost of your holiday.
7. Check the small print for exclusion clauses and excess amounts.