The clue is in the name – these policies only cover accidents, NOT illness. Some insurers will cover illnesses developed after an accident but it’s best checking before choosing. It’s worth noting that a recent Which? survey found 70% of claims were for illness, not accidents.

Before you choose an Accident only policy, first think how likely your pet is to get ill. How old are they? Is their breed prone to hereditary illnesses? Do they get lots of clean air and exercise?

Time limited or 12 month policies give you a maximum amount to spend on vet fees for each condition. You’ll be covered for this specific condition for a set time – usually 12 months from the diagnosis date or first treatment.

But the catch is that when this ends, that condition will be classed as pre-existing and no longer covered. Most insurers won’t accept pre-existing conditions, so if you move your pet’s policy, you’d be left to pay the vet’s bill for that condition for the rest of their life.

Maximum benefit policies give you a fixed amount of money to use to claim for individual conditions. Once the limit is reached, the condition will be treated as pre-existing and not covered anymore – just like time limited/12 month policies.

The difference is that there’s no time limit, so you have as long as it takes to reach your pay-out limit before claim payments stop. You will need to renew the policy each year to have access to the cover.

Again, it’s worth noting that most insurers won’t accept pre-existing conditions, so if you move your pet’s policy, you’d be left to pay the vet’s bill for that condition for the rest of their life.

Lifetime pet insurance gives you a set amount of money to spend on care each year and, as long as that policy is renewed, it will cover your cat or dog for the rest of their life for conditions developed after you took the policy out.

This is really helpful when it comes to long-term problems such as diabetes, which can cost around £100 a month to care for. It’s also great pet insurance for older dogs and cats, because they tend to have more health problems.

Despite the name ‘lifetime’, these policies still need to be renewed each year. Most insurers won’t accept pre-existing conditions, so if you move your pet’s policy, you’d be left to pay the vet’s bill for that condition for the rest of their life.