Faye van Wyk, 25, has pet insurance and said she wouldn't live without having it for her two dogs, a Maltese cross Jack Russell called Jess and Chihuahua Pomeranian called Steve. Picture: Alex Coppel. Source: News Limited

There are more than 25 million pets nationwide but only five per cent of owners fork out money each year to insure their dearly-loved animal.

Frustrated veterinarians constantly find themselves telling owners they are up for exorbitant charges — sometimes thousands of dollars — to have their pet treated.

And it could all be averted by an insurance policy, some costing as little as $250 per annum.

Pet owners can be left with hefty insurance bills running into thousands of dollars if they don’t have pet insurance cover. Picture: Supplied. Source: Supplied

One of the nation’s largest pet insurers, Greenstone, this week announced it was preparing to list on the stock market and was aiming to see close to 400 million shares between $2 and $2.50, a move that is tipped to increase competition in the pet insurance game.

But the Australian Veterinary Association established a pet taskforce in 2013 to deal with the dog’s breakfast that can be pet insurance.

It has been known to leave animal lovers confused around policy exclusions and inclusions resulting in many cases of refused claims.

Faye Van Wyk, 25, from Kensington in Melbourne’s inner northwest, pays about $65 per month to insure her two pooches, Jess and Steve, and said she wouldn’t live without pet insurance.

“Growing up I had dogs that got sick and one that got hit by a car and got put down, the vet bills were too expensive,’’ she said.

“Once I got my own dogs I thought if anything happens they are covered, they’re my little babies and I don’t want it to be an issue if something goes wrong.”

Financial comparison website Canstar’s research manager Mitchell Watson said it’s a complicated industry with policies having caps on what you can claim.

Canstar research manager Mitchell Watson Source: Supplied

“Pet insurance is still a relatively new product in comparison to other insurance, it’s still in it’s infancy and there’s a lot of new players coming into the market,’’ he said.

“Pets can cost a considerable amount of money when it comes to medical costs, the main traps with pet insurance are pre-existing conditions.”

An Understand Insurance spokesman said dogs and cats can usually be insured once they are eight weeks old.

Pooch policy costs are based on the species, breed and aged of the pet whereas cats are classed as all the same.

The location of the pet’s home is also important and then it comes down to the type of cover and amount of excess the owner selects.

Animal Emergency Centre’s business manager Peter Hammond said he sees cases of owners who have uninsured pets having to put their animals down because they can’t afford the vet bills.

“Sadly a lot of owners don’t have pet insurance, the financial situation of an owner can restrict treatment options,’’ he said.

“Total hip replacements can cost $5000 per hip, knee reconstructions can cost $3000 per knee and for really bad snake bites or paralysis ticks, bills can be as much $10,000 but that’s at the extreme end.”