97% of Canadian pet parents don’t have pet insurance — how are you saving for vet bills?

When I took my dog, Oscar, to the vet because of suspected digestion issues, I was just planning on a quick visit and a recommendation to change his food. But after blood work, an ultrasound and a bill for $2,000, what I got instead was a diagnosis of abdominal cancer. I was heartbroken, and after numerous conversations with the vet, I decided against cancer treatment, due to Oscar’s age and the fact that after expensive and unpleasant treatment, it would run me about $5,000 to $7,000 to prolong his life for a few weeks. Plus, I didn’t have pet insurance, so that cost would have been out of my pocket.

Fortunately, I did have enough saved to cover the initial treatment, thanks to my pet budget fund. I don’t have pet insurance (but if I had to do it over again with a new dog, I would 100% get pet insurance.) And here’s an interesting fact: Only 3% of Canadian cat and dog owners buy pet insurance. So if you’re one of the other 97%, just like me, here’s what you need to know about saving for your pet’s veterinary care.

Vet prices are on the rise

Like many businesses, veterinary practices have been significantly impacted by rising costs. From increased rental payments, to higher operating expenses — including property taxes, insurance premiums and utility bills — these financial pressures are affecting the veterinary industry. To maintain their practices and continue providing quality care, veterinarians must adjust their pricing to reflect these economic realities.

A dramatic rise in veterinary costs can also be attributed to the recent trend of corporate acquisitions in the veterinary industry. Large corporations, such as Mars, have been purchasing independent clinics at premium prices, sometimes paying up to 30 times the clinic’s yearly revenue. These corporations typically prioritize profitability over other considerations, often implementing policies that encourage veterinarians to increase their billing practices and raise their rates to maximize returns on investment. As well, the challenging economic environment of higher interest rates over the last two years has increased the financial burden of these acquisitions, compelling these companies to charge increased fees for higher revenue.

The costs of owning a pet

According to Rover.com, the average cost of owning a dog in Canada averages between $660 to $4,430 per year, and WealthAwesome.com states that the annual cost of cat ownership in Canada runs between $1,075 and $2,225.

The largest expense in your annual pet budget is veterinary care. According to the Ontario Veterinary Medical Association, dog owners can expect to pay around $1,350 per year, though this cost can fluctuate significantly. Factors affecting the cost include your dog’s size (larger dogs often need bigger doses of medication) and breed-specific health predispositions that may require more frequent veterinary visits.

Cat owners typically spend less on veterinary care, with annual costs averaging $1,148.

When planning your monthly pet budget without insurance, it’s advisable to set aside between $60 to $120 a month for potential veterinary expenses (personally, I save at the higher end of the scale — better to have too much than too little). This amount can vary based on your pet’s specific circumstances and health needs.

Essential budget considerations for pet owners without insurance

Preventive care costs: Budget for yearly wellness visits, required vaccinations and parasite prevention medications.
Emergency fund planning: Maintain a dedicated savings account for unexpected veterinary emergencies, including accidents, surgical procedures or ongoing health conditions.
Breed-specific considerations: Research and account for health conditions common to your pet’s breed, as some may require specialized and more costly treatments over time.

Bringing a new puppy or kitten into your home comes with higher expenses compared to an older animal. While you won’t need to worry about certain medical procedures such as dental cleanings or blood work during this time, there are other essential veterinary services to consider. Your new pooch or kitty will need to be spayed or neutered and microchipped, which means additional veterinary visits. Before welcoming a new pet into your home, it’s important to understand and prepare for these average first-year costs.

How to budget effectively without pet insurance

Set up an emergency fund: Put aside a specific amount each month into a dedicated savings account for unexpected pet medical expenses.
Research veterinary clinics: Shop around and compare prices from different veterinary practices in your area for routine services.
Look into preventative care packages: Many veterinary clinics offer bundled wellness plans that can help reduce the cost of regular checkups and preventative treatments.

Emergency preparedness is essential

While we all hope our pets will remain healthy throughout their lives, unexpected medical emergencies can arise at any time. Emergency veterinary care can be costly, potentially reaching several thousand dollars per visit. To prepare for these situations, consider building an emergency fund. If the dread of pet vet emergencies is keeping you up at night, then you need to consider getting pet insurance. Pet insurance offers protection through monthly payments, ensuring you’re covered when unexpected medical needs arise.

Consider breed-specific health needs

For pet parents, it’s important to understand that veterinary costs can vary significantly based on your pet’s size and breed. Larger dogs require higher doses of medications and anesthesia, which increases treatment costs. Additionally, certain breeds have predispositions to specific health conditions — for example, brachycephalic breeds (dogs with flat faces such as pugs, shih tzus, bulldogs, etc.) may experience breathing difficulties, while some breeds are more susceptible to joint problems or hip dysplasia. The same goes for cats — for example, long-haired cats can be prone to certain health issues, including hairballs, matting, skin problems and parasites. Understanding these breed-specific tendencies can help you better prepare for potential healthcare needs.

The bottom line

Our furry family members hold a special place in our hearts and homes and they should have a special place in our monthly budgets, too. By being proactive and prioritizing saving for their care, you’ll be empowered to make easier decisions for your pet by being able to follow both your heart and your budget, to keep them healthy.