We have a ShihTzu and have never had an issue with our dog responding unfavorably when our alarm has gone off, although she is very scared of fireworks and thunder. Granted, we've always been home when it's happened and only done so for probably less than 30s. She's more concerned with barking at the kids walking by on the sidewalk in front of our house.
My wife actually set ours off about 2 weeks ago while I was at work. I got the message that the alarm had gone off and at the same time received a picture of her opening the front door from my CCTV system. I waited a few minutes before I called her because I knew what had happened and didn't want her to have to deal with me on the phone and her trying to get everything turned off at the same time. She had armed the alarm while she and our son was taking a nap, got up before he did and decided she was going to take the trash out and forgot the alarm was armed. We have (2) KP speakers as well as the standard speaker installed, and my son didn't even wake up.