The global market report on pet insurance assesses the demand, market size and future status of the pet insurance industry for the period ranging from 2018 to 2028. The report considers 2018 as historical year, 2019, as the base year of estimation and 2020 to 2028 as the forecast period. This market for the purpose of assessment, is segmented on the basis of policy types, end users, and regions. This report also analyzes the global pet insurance industry on parameters such as PEST factors, and other qualitative parameters such as market drivers, restraints and opportunities. The overall prevalence of market competition is performed through Porter’s five forces analysis. Furthermore, the report also provides an in-depth analysis of the competitive landscape by profiling the major market players.
Increasing count of pet adoption along with rising awareness about pet insurance and other financial technologies are the prime factors driving the demand for pet insurance. As per the American Society for the Prevention of Cruelty to Animals, each year around 6.5 million companion animals in the US are eventually moved to animal shelters. Of these, 3.3 million are dogs and 3.2 million are cats: the most common pet species. Of these moved pets, 3.2 million animals get adopted. 95% of Americans consider pets as a part of their family, and approximately 85 million American households own a pet. As per the Humane Society of the United States, even the undeserved communities with lack of affordable, accessible pet care facilities, own pets. Such consistent growth in pet ownership and awareness about high cost of veterinary healthcare supports the uptake of pet insurance coverage.
The North American Pet Health Insurance Association reports that the growth rate of pets insured in the US since 2015 is 15.8% and by the end of 2019, approximately 2.82 million pets were insured. Dogs hold the largest share in the pet insurance market at an 83% share, followed by cats.
Furthermore, the considerable growth in pet populations also increases the need for veterinary healthcare. Healthcare services for animals are becoming increasingly expensive and require skilled expertise from technicians, doctors and others. The American Pet Products Association report of 2018 mentions that Americans spent USD 72.56 billion for pet care, and increment of USD 3 billion over 2017. High cost of veterinary healthcare puts a prominent financial strain on pet owners, which potentially leads to pet abandonment. This has therefore led to increased demand for pet insurance to ensure efficient affordable pet treatment, thus propelling the market expansion.
Pet insurance market is still in a nascent stage in several parts of the world. Furthermore, certain regions only have a limited players. Considering the current scenario, it is expected that the more players shall be entering this market within the forecast period. Along with this, more regulations and revisions in insurance guidelines shall be introduced in the market in the coming years.
Based on the type of insurance policy, the global pet insurance market is segmented into lifetime and non-lifetime insurances. These segments are further categorized into accident and illness cover, and illness cover. Between lifetime and non-lifetime policies, lifetime policies capture larger market share. Non-lifetime policies due to their limited cover, have lesser outreach. However, the demand for such policies shall remain consistent for contingent situations or add-ons. Introduction of more covers such as for critical illnesses for pets may provide a boost to this segment.
Geographically, Europe is the largest regional market for pet insurance, followed by North America. The outreach of pet insurance in other parts of the world is still limited, due to overall lack of awareness. However, with advancement in fintech sector and growing disposable incomes, regions such as Asia Pacific and Latin America shall be the fastest growing regional markets for pet insurance. Some of the most prominent players in the global pet insurance market are Anicom Holdings, Embrace Pet insurance Agency, Figo Pet Insurance, Crum & Forster Pet Insurance Group, Health for Pet, Hollard, Nationwide, PetFirst Healthcare, Pethealth, Petplan, Trupanion, Agria Pet Insurance, and RACQ among others.
Key segments of the global pet insurance market
Policy Type Overview, 2015-2025 (USD Million)
- Lifetime Cover
- Accident & Illness Cover
- Accident Cover
- Non-lifetime Cover
- Accident & Illness Cover
- Accident Cover
End User Overview, 2015-2025 (USD Million)
- Exotic Pets
Regional Overview, 2015-2025 (USD Million)
- North America
- Rest of Europe
- Asia Pacific (APAC)
- Rest of APAC
- Latin America
- Rest of Latin America
- Middle East & Africa (MEA)