The global pet insurance market size was valued at USD 18.32 billion in 2024 and is projected to grow at a CAGR of 17.97% from 2025 to 2030. The growing pet population, adoption of insurance in underpenetrated markets, increasing veterinary care costs, initiatives by key companies, and humanization of pets are some of the critical drivers of this market. The latest findings from the 2024 State of the Industry (SOI) report by NAPHIA indicate that there are currently 6.25 million pets insured throughout North America. This represents a 16.6% increase compared to 2022, when the total number of pets insured in the area was 5.36 million.
The rising incidence of diseases in cats and dogs and the increasing trend of pet adoption are expected to propel the market growth. In addition, insurance is needed to help mitigate expenses associated with severe medical conditions like accidental injuries and cancer, thereby fueling market expansion. The surge in demand for veterinary healthcare facilities is also expected to drive the adoption of insurance, as these services often involve significant capital investment, specialized personnel, and specialized diagnostic equipment, leading to higher treatment costs for pet owners.
Another driving factor for the market is the rise in the adoption and, subsequently, the population of pets globally. A crucial contributing factor is the onset of the global pandemic and, consequently, the lockdown implemented by all countries worldwide. A survey conducted by Petplan, a leading player in the UK market, revealed a surge in pet ownership during 2020, with dogs being the most favored pets, followed by cats. Approximately 47% of respondents reported acquiring pets for the first time, and overall, around 26% of owners in the UK welcomed a new pet amid the COVID-19 pandemic. The three key reasons for getting a pet were work-from-home conditions, desire for companionship, and more time spent at home due to lockdown and movement restrictions. One-fifth of the owner respondents stated that they were more likely to buy an insurance policy for their pets. Overall, the pandemic increased the demand for risk protection among pet parents. Companies such as Animal Friends Insurance began offering coverage for remote consultation to pet parents by partnering with Joii Pet Care. This, combined with growing pet humanization and expenditure, is anticipated to propel the market growth over the forecast period.
Owing to the rise in pet ownership, veterinary care costs have also risen in recent years. For instance, in June 2023, the Association of British Insurers (ABI) reported that treating sick or injured pets can be expensive. For example, spinal surgery claims are among the most common high-value claims, often costing in the range of USD 10,000 to 13,000. The cost of a fractured femur for a cat can exceed USD 10,000. Arthritis treatments in canines can cost over USD 2,500, while diabetes treatment in cats generally costs about USD 1,300. The ABI states that the most common ongoing claims are those for treating diabetes and skin conditions.
NAPHIA also reported a considerable rise in insurance claims due to high veterinary care costs. Their 2024 SOI report stated that North America's highest pet insurance claim was recorded for a cat (domestic shorthair) suffering from intervertebral disc disorder. The claimed amount was more than USD 59,000. Without insurance, paying such steep costs would have been very challenging for the owner, therefore highlighting its importance.
The market is characterized by a high degree of innovation owing to advancements in veterinary medicine and the availability of a wide range of pet insurance plans for different animal species. In addition, the rising number of pet adoptions and the growing trend of treating pets as family members have significantly increased the demand for insurance. The expansion of available treatments for pets has led to increased healthcare costs. Pet insurance helps mitigate these expenses, encouraging owners to seek medical care. Industry participants are attempting to gain traction by modifying their existing insurance plans to include new coverage areas and designing novel plans per the pet's needs.
Regional expansion in the market involves extending coverage to different geographical areas beyond the initial markets. Various factors drive this expansion, including increasing pet ownership, rising awareness of health issues, and the desire for financial protection against unexpected veterinary expenses. For instance, in September 2024, Trupanion expanded its presence in Europe by launching a pet medical insurance plan in Switzerland and Germany.
Market players are involved in the implementation of various strategic initiatives, such as the launch of new policies, partnerships and collaborations, mergers and acquisitions, and regional expansion, to capture a larger share of the market. For instance, in May 2023, JAB Holding Company's pet insurance platform acquired Pumpkin to enhance its global leadership position in the rapidly growing pet insurance sector. This is one of the company's many strategies for conducting targeted acquisitions in this sector to spread its dominance across different geographies.
The entry of more prominent companies into the pet market is expected to intensify the competition further. In January 2024, Embrace Pet Insurance reached a milestone of insuring around 500,000 pets nationwide. With owners increasingly recognizing the benefits of insurance, many new providers with their business models have started to seep into the market, increasing the impact of substitutes.
Each country or region has its regulatory framework governing the insurance industry, including pet insurance. This includes requirements for licensing, consumer protection, etc. Regulatory bodies, such as insurance commissions or financial regulatory authorities, oversee the industry to ensure compliance with these regulations. The National Association of Insurance Commissioners (NAIC) helps regulate the industry in the U.S. by providing expertise, data, and analysis for insurance commissioners. The association's Pet Insurance Model Act was adopted in 2022 to address critical elements of pet insurance plans, such as preexisting conditions, consumer protection, pet wellness programs, and training for insurance producers.
The accident & illness segment dominated the market with an 85.18% share in 2024. This growth can be attributed to several critical factors, including the high costs associated with veterinary treatments and diagnostics, the increasing population of companion animals, and a growing awareness of the importance of pet insurance. Pet insurance companies typically offer accident and illness policies that provide comprehensive coverage for various conditions, including acute and chronic diseases, medications, diagnostic tests, and more. Given the comprehensive protection they afford to owners, this segment is anticipated to continue to witness rapid growth in the coming years.
The others segment, on the other hand, comprising liability insurance policies among others, is projected to experience the fastest growth rate from 2025-2030. The boost can be attributed to certain countries, like Germany, Italy, France, Switzerland, Austria, and Spain, making it mandatory for pet owners to get pet (dogs & cats) liability insurance. Luko, for example, provides dog liability insurance across various European nations such as France, Germany, and Spain. Their policy offers coverage for pet owners against both physical and material damages caused by pets, extending up to 30 million euros.
The dogs segment held the largest market share of 60.48% in 2024. This can be attributed to the high adoption of dogs as pets across the globe. For instance, according to the American Pet Products Association (APPA) study conducted between 2023 and 2024, approximately 66% of households in the U.S. have at least one pet, totaling around 86.9 million households. Most insured pets are dogs, accounting for about 80% of the insured population, while cats comprise the remaining 20%. The growing pet population across the region and the availability of various insurance policies to support the different needs of pets are expected to fuel future market growth.
The other segment comprising horses, small mammals, birds, etc., is expected to grow at the fastest CAGR over the forecast period. The key factors contributing to this share include growing pet adoption, expansion of service offerings by insurance companies, and increasing disposable income in key markets. For instance, Agria launched a novel horse insurance plan that covers veterinary fees up to EUR 10,000 (USD 10,841.1) per year. Furthermore, in January 2024, Petco & Nationwide Pet Insurance partnered to launch a new health insurance plan to cover animals like pet birds, exotic animals, dogs, cats, & others.
The direct sales channel segment held the largest share of the market at 34.53% in 2024. Major pet insurance providers' significant adoption of direct sales strategies has been a driving factor. For example, Deutsche Familienversicherung AG noted that direct sales accounted for 8% of their new business during 2023, representing a substantial increase compared to the previous year. In addition, the company reported a notable 21.4% surge in online sales during the same period.
The other segment, which contains animal care centers, veterinary clinics, and more, is expected to grow at the fastest rate during the forecast period. This can be attributed to providers forging multi-pronged partnerships with companies from various sectors to enhance pet benefits and penetrate a larger market. For instance, in February 2024, Tractive, the UK and Europe's largest pet wearables firm launched Tractive Pet Cover, its first insurance product in partnership with Ignite (a digital platform for insurance brokers) and Covéa (a mutual insurance group). This comprehensive lifetime insurance is available to dog and cat owners in the UK. It covers up to GBP 9,000 (USD 11,479.29) in vet fees annually, including accidents, illness, dental treatment, and third-party liability. This increased pet owners' access to high-quality and affordable healthcare offerings.
The North America pet insurance market held the second-largest revenue share as of 2024. This can be attributed to the increasing adoption of pet insurance throughout the region. According to 2024 statistics by NAPHIA, the gross written premium (GWP) in the US and Canada for cats and dogs increased from USD 1,558.5 million in 2019 to 3,912.9 million in 2023, a rise of more than 25.9%.
The pet insurance market in the U.S. has a large population of pet owners, with approximately 67% of households owning pets. This high level of pet ownership provides a substantial customer base for pet insurance companies. For example, in December 2023, Spot Pet Insurance, in collaboration with philanthropist MrBeast, pledged to facilitate the adoption of 100 homeless pets. This initiative includes providing lifelong pet insurance coverage for the adopted pets, amounting to a potential commitment of over $1,000,000 in premiums. Such initiatives by key players like Spot Pet Insurance reflect a growing trend in the industry to address broader pet community issues while strengthening customer relationships and promoting pet insurance awareness and adoption in the U.S.
The Europe pet insurance market held the largest revenue share of over 41.58% in 2024. This is due to the increasing adoption of pet insurance, rising ownership, and the presence of key companies. According to the European Pet Federation (FEDIAF) study, in 2022, Europe was home to a total of 340 million pets, with cats (127 million) and dogs (104 million) being the most prevalent. Key market players such as Petplanare are headquartered in the UK, while DFV is headquartered in Germany. These companies continuously implement strategic initiatives to increase their market share, thus contributing to regional growth.
The Association of British Insurers (ABI) reported that pet insurance claim settlement in 2022 crossed GBP 1 billion (USD 1.28 Bn), the highest since 2007. This averages GBP 2.8 million (USD 3.57 Mn) paid out daily for veterinary treatments and diagnoses. This surge reflects rising pet ownership costs and the growing number of insured pets. Key market participants in the country are driving market growth through various initiatives, such as collaboration and partnership, to launch new products. For instance, In August 2022, Agria Pet Insurance partnered with DWF Insurance Software to launch a new equine insurance line, utilizing DWF's EvoClaim platform for efficient, comprehensive insurance and claims management. This launch was expected to make Agria the only UK provider of Lifetime insurance for horses, enhancing their service offerings and market reach.
The pet insurance market in France is anticipated to grow rapidly due to a rise in pet ownership nationwide, especially for dogs and cats, which will directly impact the need for insurance. The demand for insurance coverage is rising as more homes are getting dogs. Furthermore, the need for insurance is highlighted by the ongoing increase in veterinary costs linked to treatment improvements and rising veterinary service costs. This protects owners from unexpected medical bills, encouraging them to prioritize their pets' health by purchasing insurance coverage. Pet insurance policies in France range from USD 8.61 to USD 10.79 per month.
Asia Pacific pet insurance market is estimated to grow at a lucrative rate of over 18% during the forecast period. This is owing to the emergent trend of adoption and the development of the economy in this region. Furthermore, increasing awareness regarding veterinary health and improving veterinary healthcare infrastructure are other drivers of the market in the area.
The pet insurance market in India is experiencing rapid growth, positioning it as one of the world's fastest-growing markets. According to a study published by Creature Companions Magazine, India's pet care industry will rise to $800 million by 2025. Each year, approximately 600,000 pets find homes through adoption in the country, with dogs being the most favored choice, with an estimated 31 million pet dogs expected by the close of 2023. This surge in pet ownership indicates a growing need for services like pet insurance to safeguard these beloved companions.
Furthermore, the increase in pet adoptions, especially dogs, in India following the COVID-19 pandemic, coupled with the growing expenses related to their personal care, grooming, and medical needs, appears to be encouraging insurance companies to develop plans tailored for pets. For instance, in the last three months of 2022, Future Generali India Insurance Company Ltd sold nearly 25,000 pet insurance policies. These figures highlight the significant potential for growth in the market in India as pet owners increasingly seek comprehensive coverage for their pets' health and well-being.
The pet insurance market in Latin America is anticipated to grow due to the increasing veterinary healthcare penetration, rising per capita income, and growing awareness of the numerous benefits of pet insurance over the forecast period. One key driver is the increasing pet ownership rates in the region, with dogs being the most popular pets, followed by cats and birds. Pet ownership sales have been evolving across Latin America. As more people move to cities, there is more demand for cats and small dogs, according to an article published by Pet Food Industry in June 2023.
The existing high pet population drives Brazil's pet insurance market. Brazil's pet population has grown significantly over the years, with September 2024 figures from the PetFood Industry report it to be at 160 million pets. However, the Brazilian Association of the Pet Products Industry (ABINPET) reports an even higher number, with pets totaling 168 million in the country. This suggests that there are nearly two pets per household in Brazil. This increase in ownership has led to a surge in the pet insurance industry, driven by the growing trend of humanization and ownership rates.
The MEA pet insurance market is anticipated to grow over the forecast period because of rising awareness regarding animal health in developing countries such as Saudi Arabia and South Africa. South Africa has been engaged in research activities to assess the impact of drugs on pets. In addition, the introduction of the South Africa Veterinary Association enhanced the regulatory control and provided a structure to the veterinary industry of the country. Leading global insurers and regional domestic players are actively launching new premium plans to gain more market penetration. Key players include Oneplan, Medipet, Dotsure, Pet Sure, Hollard, etc.
The pet insurance market in South Africa is anticipated to witness lucrative market growth, which can be attributed to the contributions of insurance agencies that are improving pet insurance adoption. Tree Digital Insurance Agency, in September 2024, launched a novel digital insurance platform explicitly designed for pet owners.
The market for pet insurance is moderately fragmented and competitive. In recent years, the industry has experienced massive growth owing to significant investments in pet insurance providers by investment agencies worldwide. One prime example is Jab Holding Company; the investment firm has been aggressively acquiring insurance and other veterinary companies, primarily across North American and European regions, to establish its dominance in the industry. Recently, the company has acquired players like Figo, Pet Partners, AKC, ASPCA, Pets Plus Us, Everypaw, Pet Protect, Agila, Animal Friends, Assur O'Poil, Pumpkin Petcare, etc.
The following are the leading companies in the pet insurance market. These companies collectively hold the largest market share and dictate industry trends.
View a comprehensive list of companies in the Pet Insurance Market
In August 2024, Apollo Insurance, an insurance broker from Canada, launched a new insurance plan designed to cover medical expenses for pets like dogs, cats & others.
In June 2024, Trupanion and Boehringer Ingelheim announced a partnership to increase access to veterinary care by providing Trupanion's clients with detailed veterinary nformation and tips curated by Boehringer Ingelheim.
In April 2024, HDFC ERGO Insurance launched Paws n Claws, a pet insurance plan for dogs that covers veterinary costs like diagnostic tests, treatments, and medicines and allows users to customize it according to their specific needs.
In January 2024, Five Sigma, a leader in cloud-based claims management solutions, formed a strategic alliance with Odie Pet Insurance, a company dedicated to making pet insurance more accessible and affordable. This partnership aims to revolutionize pet insurance claims processes and improve industry operations.
In November 2023, Fetch partnered with Best Friends Animal Society, a national organization committed to ending the euthanasia of dogs and cats in American shelters by 2025. As part of this collaboration, Fetch will make substantial donations to support Best Friends' efforts to rehome shelter pets and achieve their goal of making the country a no-kill nation.
In November 2023, Synchrony Financial divested its pet insurance subsidiary, Pets Best, towards Independence Pet Holdings, intending to achieve financial goals.
In September 2023, Independence Pet Group (IPG), a prominent pet insurance platform offering comprehensive services, acquired Felix, the sole pet insurance brand exclusively catering to cats in the U.S.
In August 2023, Global Risk Partners (GRP) entered the market in the UK by acquiring Petsmedicover, a pet insurance broker trading as VetsMediCover. Following the acquisition, VetsMediCover will become part of Insync Insurance, a digital broker GRP acquired in December 2020.
In August 2023, GRP (Global Risk Partners) expanded into the pet insurance sector by acquiring a broker, The Insurance Partnership. The company is in the process of launching insurance products and services for pet owners.
In August 2023, Go Digit General Insurance collaborated with Vetina Healthcare LLP to offer extensive insurance coverage for dogs to Vetina Family members.
Report Attribute |
Details |
Market size in 2025 |
USD 21.44 billion |
Revenue forecast in 2030 |
USD 48.98 billion |
Growth Rate |
CAGR of 17.97% from 2025 to 2030 |
Actual data |
2018 - 2024 |
Forecast period |
2025 - 2030 |
Report updated |
October 2024 |
Quantitative units |
Revenue in USD billion/million and CAGR from 2025 to 2030 |
Report Coverage |
Revenue forecast, company ranking, competitive landscape, growth factors, and trends |
Segments Covered |
Coverage, animal, sales channel, region |
Regional scope |
North America, Europe, Asia Pacific, Latin America, MEA |
Country scope |
U.S.; Canada; Mexico; Germany; UK; France; Italy; Spain; Denmark; Sweden; Norway; Austria; Hungary; Poland; Romania; Czech Republic; Switzerland; Luxembourg; Portugal; Belgium; Japan; China; India; South Korea; Australia; Thailand; Brazil; Argentina; South Africa; Saudi Arabia; UAE, Kuwait |
Key companies profiled |
Trupanion, Inc., Deutsche Familienversicherung AG (DFV), Petplan (Allianz), Jab Holding Company, Direct Line, EQT Group, Lassie, Getsafe GmbH, Waggel Limited, Feather Insurance, Napo Limited, Tesco, Sainsbury Bank Plc, Fressnapf Holding SE, MetLife Services and Solutions, LLC, HDFC Ergo, Nationwide Mutual Insurance Company, Anicom Insurance, AliPay |
Customization scope |
Free report customization (equivalent up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope. |
Pricing and purchase options |
Avail customized purchase options to meet your exact research needs. Explore purchase options |
This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global pet insurance market report based on coverage, animal, sales channel, and region.
Coverage Outlook (Revenue, USD Million, 2018 - 2030)
Accident & Illness
Accident only
Others
Animal Outlook (Revenue, USD Million, 2018 - 2030)
Dogs
Cats
Others
Sales Channel Outlook (Revenue, USD Million, 2018 - 2030)
Agency
Broker
Direct
Bancassurance
Others
Regional Outlook (Revenue, USD Million, 2018 - 2030)
North America
U.S.
Canada
Mexico
Europe
Germany
UK
France
Italy
Spain
Denmark
Sweden
Norway
Austria
Hungary
Poland
Romania
Czech Republic
Switzerland
Luxembourg
Portugal
Belgium
Rest of Europe
Asia Pacific
China
India
Japan
Australia
South Korea
Thailand
Latin America
Brazil
Argentina
MEA
South Africa
Saudi Arabia
Israel
b. The global pet insurance market size was estimated at USD 18.32 billion in 2024 and is expected to reach USD 21.44 billion in 2025.
b. The global pet insurance market is expected to grow at a compound annual growth rate of 17.97% from 2025 to 2030 to reach USD 48.98 billion by 2030.
b. Europe dominated the pet insurance market with a share of over 41.58% in 2024. This is owing to the growing adoption of pet insurance, rising pet ownership, and the presence of key companies. For instance, the Association of British Insurers (ABI) reported that pet insurance claim settlement in UK, which is a dominant country when it comes comes to pet insurance adoption, for the year 2022, crossed GBP 1 billion (USD 1.28 billion), the highest since 2007.
b. Some key players operating in the pet insurance market include Trupanion, Inc., Deutsche Familienversicherung AG (DFV), Petplan (Allianz), Jab Holding Company, Direct Line, EQT Group , Lassie, Getsafe GmbH, Waggel Limited, Feather Insurance, Napo Limited, Tesco, Sainsbury Bank Plc, Fressnapf Holding SE, MetLife Services and Solutions, LLC, Bajaj Allianz, HDFC Ergo, Nationwide Mutual Insurance Company, Anicom Insurance, and AliPay
b. Some of the key factors that are driving the pet insurance market growth include the growing pet population, adoption of pet insurance in underpenetrated markets, increasing veterinary care costs, initiatives by key companies, and humanization of pets.
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