My thoughts would be to have the operation done a.s.a.p
Although I entirely agree that vets take full advantage of insurance with unnecessary testing etc, which makes my blood boil.

In this inst I tend to think the vet is doing what is best for the pup.
After all he is not even doing the op himself, obviously very intrequet with a much smaller dog! And I doubt any vet would really wish to pin and wire a dogs leg for no reason.
But by all means tell your friend to get a second opinion before the op, if you really are worried, but if it saves her dog having a permanent limp or major problems in later life it should be done.