A new study has found that home insurance premiums jump by 10% for pet owners – an extra expense that could be overlooked by residents who are budgeting for a new addition to their family.
The research reveals that the median cost of joint buildings and contents home insurance is £219 for those who don’t have a dog or cat, while the median for homeowners with a pet costs £240 on average.
The numbers come from Go.Compare home insurance, which reviewed its internal sales figures to uncover the impact of pet ownership on insurance prices. It’s now reminding policyholders to consider this additional cost when deciding whether they can afford a pet.
The insurance comparison site warns that separate buildings and contents insurance policies can have the sharpest rises for pet owners. They will pay a median price of £215 for buildings only cover on average, which is £23 more than the price for those who don’t have a pet – equal to a 12% increase. For contents insurance, the median cost is £72 on average – a 15% increase compared to those without pets.
The figures also suggest that getting multiple pets will result in higher premiums. For joint buildings and contents cover, the median cost for owners of both a cat and a dog is £21 more than those with only one or the other – equal to 9% higher. This is also £35 more than those with no pets at all.
In addition, buildings only cover is £21 more expensive for owners of both pets compared to those with just one, according to the study, rising from a median of £208 to £229 – equal to a 10% rise.
The cost of cover appears relatively unaffected by the type of pet owned. Joint buildings and contents policies are only £3 more expensive for dog owners than cat owners, while the median for separate buildings and contents policies is the same for cat and dog owners. The average premium for both of these sits at £208 for buildings only cover and £71 for contents cover.
Nathan Blackler, home insurance expert at Go.Compare, said, “Getting a pet is always an exciting experience, so it’s easy to get caught up in the moment and forget about the financial aspect. Remember to consider your budget when deciding whether to get a pet, as there are lots of costs you might need to consider, including one or two you might not think about, like home insurance.
“The median home insurance premium can be up to £35 higher for pet owners in some instances. Be sure to take this into account so that you don’t find yourself scrambling to make up for the extra cost.
“If you do take the exciting step to get a pet, you will need to tell your home insurance provider, as failure to do so could invalidate your policy. If prices become a problem, try comparing policies to see if you could get the cover you need for a lower price elsewhere. Regularly doing this will make sure you’re getting the best deal you can, so it’s always worthwhile checking what policies are available.”
