The Post Office is planning to launch a comprehensive pet insurance product following research which showed that just 20% of pet owners have pet insurance cover.

With rising healthcare costs for dogs and cats, the new insurance will offer “a comprehensive range” of cover for cats and dogs and will cover veterinary bills up to a maximum of £5,000 per condition.

Having researched the market place, the Post Office found that 96.5% of claims on pet insurance policies are less than £5,000. By keeping a limit on how much a pet owner can claim, means that the actual costs of the insurance can be kept low.

The policy will cover pets of all ages and payouts on claims will also continue for more than 12 months after the initial treatment. This is unlike many policies, which can set a time limit on a claim.