About This Report

Pet Insurance Market, by Policy (Illnesses and Accidents, Chronic Conditions, and Other Policies), by Animal (Dog, Cat, and Other Animals), by Provider (Public, and Private), and by Region (North America, South America, Europe, Asia Pacific, The Middle East and Africa) - Size, Share, COVID Impact Analysis, Growth, Outlook, and Opportunity Analysis, 2020 - 2028

Pet insurance can help with the cost of veterinary care if a pet of yours is sick or hurt. Like health insurance for people, pet insurance can provide financial protection against unexpected and expensive animal care expenses. There are various kinds of pet insurance policies available, and the insurance company and the policy's terms can affect the coverage and price. While some insurance policies just cover injuries and illnesses, others might also cover common medical procedures like vaccinations and preventive care. Benefits may be subject to annual or lifetime restrictions under some policies, but not necessarily in others.

In 2020, the Pet Insurance market was valued at US$ YY million, and it is anticipated to be around US$ YY million by 2027. Over the forecast period, the market is expected to grow at a CAGR of YY%.

Increasing veterinary cost and Raising pet owners are the drivers, but low awareness is the restraint

The cost of veterinary care has been rising recently due to improvements in medical technology and treatments. Pet owners may find these treatments to be more inexpensive due to pet insurance. By covering unforeseen medical costs, pet insurance may help pet owners in budgeting for these procedures. A variety of medical procedures and services, including as surgery, hospitalisation, and diagnostic testing, are frequently covered by pet insurance policies. The companies are active in growing their customers and interacting with pet owners to inform them of the advantages of pet insurance. For instance, in both the United States and Europe, Petplan is a well-known company for pet insurance. In addition to conventional medical care, the company also provides coverage that cover alternative treatments like acupuncture and chiropractic treatment. Preventive care and standard dental procedures are now covered under the company's expanded coverage options.

There is now a wider market for pet insurance providers due to the rise in pet ownership over the past few years. For instance, Data from the American Pet Products Association (APPA) show that during the past ten years, the number of pet owners in the United States has been continuously rising. In the United States, around 72.9 million households owned a pet in 2010, compared to 84.9 million households in 2020, a 16.5% increase. Despite the fact that pet insurance is becoming more and more popular, some pet owners are still unaware of its advantages and how it operates, which may reduce the demand for pet insurance services.

Dog segment is expected to account for significant market share by Animal segment

The global Pet Insurance market is mainly classified based on Policy, Animal and Provider. By Policy, the market is divided into illnesses and accidents, chronic conditions, and other polices. On the basis of animal, the market is segmented into dog, cat, and other animals. Based on the provider, the market is classified into public, and private.

On the basis of animal type, dog category holds the major market share globally. Dog owners are frequently more likely to buy pet insurance due to the greater expense of veterinary care for dogs in contrast to other animals. Dogs are more likely to develop some illnesses, including hip dysplasia and cancer, which can be expensive to cure. The other major reason is that dogs are the most often kept pets in many countries, including the United States, the United Kingdom, and Australia. For instance, Dogs are the most often kept pets in the UK, as per the Pet Food Manufacturers' Association (PFMA). In the UK, over 24% of households had dogs in 2020, compared to 17% of households with cats. Dogs are also the most popular pet in Australia. The Australian Veterinary Association (AVA) estimates that in 2019–2020, 39% of Australian households had dogs, compared to 29% of households with cats.

 
Interesting Facts of Pet Insurance Market

• By Policy, accidents and illnesses policy sector had the biggest market share. This section of the policy provides coverage for veterinarian costs associated with diseases and accidents.
• In Sweden, the first pet insurance plan was sold in 1924 for a dog by the name of Lassie.
• The first plans were sold in the early 1980s, making pet insurance a relatively new idea in the US.
• Pet insurance is the segment of the insurance market that is expanding the fastest in some nations, like the UK.
• Pet insurance providers frequently offer extra advantages like 24/7 helplines and online doctor consultations in order to provide convenient access to veterinarian assistance.
• In Asia Pacific, pet insurance premiums are generally less expensive than in other continents like North America and Europe, though they do vary significantly based on the age, breed, and health of the pet.

North America will account for the largest share of the Pet Insurance industry

North America is expected to hold the largest share of the pet insurance market in the coming years. This can be attributed to the high pet ownership rates in the region, as well as the increasing awareness about the importance of pet insurance. For instance, as per the American Pet Products Association, North America has one of the highest rates of pet ownership in the world, with more than 85 million homes keeping at least one animal. Dogs and cats are the most common pet species in the area, with the United States alone home to 42 million cats and 63 million dogs. The region's pet insurance providers have a substantial market opportunity due to the high pet ownership rate.

In North America, there has also been a rise in public awareness of the value of pet insurance in recent years. More pet owners are realising the necessity of financial protection against unforeseen medical bills as veterinary care costs continue to grow. Companies in the North America are collaborating with other players to increase their sales and insurance policies. For instance, Walmart, one of the biggest retailers in the world, and Nationwide, a top pet insurance provider in North America, announced an agreement in 2021. As part of the collaboration, Nationwide will make its pet insurance products available to Walmart consumers online.

 
Global Pet Insurance Market key Players:

Some of the major competitors in the global Pet Insurance market include Anicom Holdings Inc., Dotsure.co.za, Embrace Pet Insurance Agency LLC, Figo Pet Insurance LLC, Hartville Group, Healthy Paws Pet Insurance LLC, Metlife Services and Solutions LLC (Petfirst Healthcare LLC), Medibank Private Limited, Oneplan, Petplan, and The Oriental Insurance Company Ltd.

The Pet Insurance industry is extremely competitive with aggressive market strategies of global and regional companies looking to strengthen market position through new product launches, collaborations, and facility expansions. Over 90% of the market share is held by the top ten pet insurance providers in the US. The following are some recent market developments:

• In recent years, the UK-based, international insurance company RSA Insurance has increased the number of pet insurance plans it offers in the Asia Pacific region. The company declared that starting in 2021, it will provide new coverage options for animals in Hong Kong, including coverage for complementary treatments like acupuncture and hydrotherapy.
• In 2020, PetFirst, an Indiana-based supplier of pet insurance, was purchased by MetLife, one of the biggest insurance providers in the world. With this acquisition, MetLife has been able to increase the number of pet insurance options it offers and solidify its position in the North American pet insurance industry.
• In 2020, Seattle based company, Trupanion, that offers pet insurance. introduced a brand-new item called Trupanion Express, which offers immediate payment for veterinary costs at the point of service. As a result, Trupanion has been able to draw in new clients and maintain its competitiveness in the North American pet insurance industry.
• One of Taiwan's leading insurers, Fubon Insurance, established a collaboration with international insurer Allianz until 2020. As part of the collaboration, Fubon will provide Allianz-underwritten pet insurance products to its clients in Taiwan. Through this partnership, both businesses are now able to offer more pet insurance options in the Taiwanese market.
• AXA Gulf, a division of the international insurance giant AXA, introduced new pet insurance solutions in the Middle East in 2020. These services include routine veterinarian treatment as well as diseases and accidents. This launch has aided AXA Gulf in becoming one of the top regional providers of pet insurance.

Frequently asked questions about global Pet Insurance Market

Q: What is the current size of the global Pet Insurance market?
Ans: The Pet Insurance market was valued at YY million US$ in 2020 and is projected to reach YY million US$ by 2027, at a CAGR of YY% during the forecast period.

Q: What are the major opportunities in Pet Insurance industry?
Ans: Some major opportunities in the pet insurance industry include expanding coverage to new regions, introducing innovative products and services, and leveraging technology to improve customer experience and streamline operations

Q: What are the major driving factors for Pet Insurance industry?
Ans: The major driving factor for the pet insurance industry is the increasing awareness among pet owners about the importance of financial protection against unexpected veterinary expenses.

Q: Which region is expected to have the largest share of the Pet Insurance market?
Ans: North America region is expected to have the largest share of the Pet Insurance market.

Q: Which animal type will dominate the Pet Insurance market?
Ans: Dog category will dominate the pet insurance market globally.