Pet Insurance Market Overview

The pet Insurance is anticipated to grow significantly from 2025 to 2035, driven by the rising pet adoption rate, increasing awareness about pet healthcare, and escalating veterinary expenses.  By 2025, the market is projected to reach a value of around USD 8.5 Billion. Looking ahead to 2035, it is expected to expand further to about USD 28.3 Billion. This represents an annual growth rate of 11.3% over the ten-year period.

​Pet insurance provides financial cover for medical treatment, surgery, and routine veterinary check-ups to help pet owners offer quality care to pets. Pet Insurance Market size is increasing steadily with more and more consumers purchasing insurance policies to cover unforeseen medical costs. Rising pet humanization with pets considered part of the family has increased demand for full-fledged policies. Rising rates of chronic disease and genetic disorder among pets have also encouraged pet owners to invest in policies offering maximum cover. Pet Insurance Market report indicates that demand for insurance policies will rise with providers launching innovative and flexible policies to cater to various consumer segments.

Along with this, rising veterinary expenses driven by medical technological advancements have made pet insurance a requirement for health costs control. Further, rising pet ownership among millennials and Gen Z consumers has driven increased adoption of insurance. Growth in the Pet Insurance Market is also influenced by availability of digital platforms for easy management of policies and claims. Governments and regulatory bodies in various regions are also supporting pet insurance as part of responsible pet ownership, boosting forecasted market trends. Expansion by existing insurance companies and extension of policy coverage to alternative treatments, wellness plans, and special treatment has also influenced market growth. Growth in the Pet Insurance Market forecast shows that insurance companies will continue to design personalized policies, strategic partnerships and collaborations, and innovative digital products to promote accessibility and affordability. With shifts in consumer behavior, the Pet Insurance Market is set to witness continued growth and become a major sector in the overall insurance market.

Pet Insurance Market Drivers and Opportunities

Increased pet ownership and pet humanization are anticipated to propel the pet insurance market during the forecast period.

The rising pet ownership trend globally has contributed significantly to Pet Insurance Market growth with more individuals treating pets as part of their family. Increased humanization of pets has translated into higher spending on pet health care, nutrition, and wellness and pet insurance has emerged as a safety net. Pet owners are now more inclined to buy insurance policies for medical expenditure on unexpected diseases, surgery, and preventive health care to cover overall health care for pets. Pet Insurance Market size has expanded with this shift in consumer behavior with a major increase in policy adoption by millennials and Gen Z pet owners. Growing social media and online pet communities influence has also compelled pet owners to become more responsible and encourage insurance coverage for pets to safeguard their health and safety. This Pet Insurance Market report highlights that with growing pet humanization, demand for diversified and flexible insurance policies will keep fueling projected market trends and support long-term market expansion.

Growing veterinary costs and advances in pet care is a major driver for influencing the growth of the pet insurance market worldwide

Companion animal veterinary expenditure grew in recent years with advances in medical technology, specialized treatment, and improved diagnostic equipment. Rising costs made pet insurance a vital means of coping with financial pressures caused by veterinary treatment. Increased availability of advanced medical treatment such as MRIs, chemotherapy, and minimally invasive surgery has dramatically improved pet health outcomes while increasing treatment expenditure. Therefore, pet owners are opting for Pet Insurance Market solutions to manage financial risks of unexpected medical expenditure. Further, insurance companies are designing innovative policies for alternative therapy, rehab, and genetic tests to make pet insurance more comprehensive. Pet Insurance Market future growth shows that with advances in veterinary treatment, demand for policies with comprehensive coverage will continue to fuel market expansion.

Introduction of niche and customizable insurance policies is poised to create immense opportunities for the global pet insurance market

The growing demand for customized pet insurance policies is a profitable opportunity for insurance companies to expand their offerings. Pet owners are demanding more customized coverage plans that are responsive to their individual needs, such as breed-based plans, wellness plans, or multi-pet discounts. Some companies are even offering alternative therapy coverage for modalities such as physiotherapy, hydrotherapy, and acupuncture, mirroring pet wellness trends. Being able to provide niche and flexible insurance products can drive Pet Insurance Market adoption rates significantly and attract a larger audience. Additional fuel to drive forecasted market growth is through partnerships with pet wellness brands, veterinarians, and online platforms. This will drive ongoing demand for pet insurance services.

Pet Insurance Market Scope

Pet Insurance Market Report Segmentation Analysis

The global Pet Insurance Market industry analysis is segmented into by Animal Type, by Policy Coverage, by Sales Channel and by Region.

The cat segment is anticipated to account for the highest share of the global pet insurance market during the forecast time frame.

By animal type, market is segmented into cat, dog and others. In 2025, Cats segment is a market leader with market share of 51.5%. With growing numbers of cat owners, veterinary spend and awareness regarding pet insurance benefits. Cats are one of world’s best pets and are independent and inquisitive by nature and are prone to sudden health ailments and injuries that are best insured. Pet Insurance Market size has increased significantly with growing pet owners going for financial protection against medical expenditure for injuries, illnesses and periodic veterinary check-ups for felines.

The Accident Only segment is anticipated to hold the highest market share in the forecast period.

The market is classified by Policy Coverage into Accident Only, Accident and Illness and Others. Accident Only is dominating due to affordability, easy coverage options and growing demand by consumers for basic financial protection against unforeseen circumstances. This policy covers primarily injuries resulting from accidents such as fractures, bite injuries and poisoning and is a favourite among pet owners seeking affordable insurance covers.

The Agency segment was a market leader in 2025 and is projected to grow with the highest share through the forecast period.

Market is classified based on sales channels into agency, broker and others. Agency segment holds maximum market share and is the leading sales channel with its large customer pool, personalized services and reputation among pet owners. Agencies play a crucial role in driving pet insurance market development as they provide customized policy guidance, expert guidance and trouble-free claim assistance to make pet insurance easy and accessible for consumers. Agency presence in regions with large pet owner bases has played a major role in Pet Insurance Market size and development. Agencies leverage sector expertise, direct customer contact and long-term connections with veterinary practices to offer full-range pet insurance policies that appeal to different consumers.

The following segments are part of an in-depth analysis of the global Pet Insurance Market:

Pet Insurance Market Share Analysis by Region

North America is projected to hold the largest share of the global pet insurance market over the forecast period.

In 2025, North America is still dominating the Global Pet Insurance Market with a share of 48.3%. Driving factors includes increasing pet adoption rates, pet health awareness, and increasing veterinary care expenditure. U.S. and Canada are key markets for this with increasing pet humanization trends and a greater number of pet owners choosing financial cover for unforeseen medical expenditure. Established insurance firms, advanced veterinary health centers, and a strong regulatory framework are other factors that have contributed to Pet Insurance Market development in the region. Increased use of digital platforms for insurance policy management and customized policy offerings has improved convenience and accessibility and driven market demand. Increased disposable income and increased emphasis on preventive pet health are also key Pet Insurance Market trends in North America. With pet owners paying greater attention to pets’ health and wellness, demand for comprehensive insurance cover is poised to remain strong and drive projected market growth and continued dominance in the future.

On the other hand, the Europe Pet Insurance Market is anticipated to grow with the highest CAGR based on increasing awareness about pet insurance benefits, increased veterinary spend, and increased focus on pet wellness. United Kingdom, Germany, and France are witnessing increased pet insurance adoption based on favorable government policies, advanced pet care infrastructure, and premium insurance policies gaining wider acceptance. Market trends in the region reveal immense potential for development with increased innovation in policy formats, online claims settlement, and strategic collaborations between insurance firms. Rising demand for pet insurance policies combined with increased pet adoption rates is set to drive forecasted market development and trends in Europe.

Pet Insurance Market Competition Landscape Analysis

Competitive landscape and company overview of major pet insurance market players are Trupanion, Lemonade Insurance Agency, LLC, Spot Pet Insurance Services, LLC, Nationwide, Embrace Pet Insurance Agency, LLC, Healthy Paws Pet Insurance, LLC, GEICO, Progressive Casualty Insurance Company, Figo Pet Insurance LLC, and Pumpkin Insurance Services Inc. All these companies have adopted various strategies to increase market penetration and establish themselves in the market.

Global Pet Insurance Market Recent Developments News:

In April of 2024, MetLife Pet Insurance partnered with the Association of Animal Welfare Advancement (AAWA) to empower pet parents to responsibly care for pets for a lifetime. With this partnership, MetLife Pet Insurance and AAWA are poised to collaborate to co-create and share content that highlights challenges pet parents may face with access to veterinary care and to recognize innovative animal welfare organizations with the Golden Beagle Award.

In April of 2024, global insurance giant Chubb made a final agreement to acquire Healthy Paws, U.S.-based pet insurance managing general agent (MGA), from Aon. Chubb is seeking to grow in a niche market with immense development potential through this acquisition since increasing potentials drives U.S. pet insurance market trends.

June 2021, Trupanion publicly disclosed its plans to expand internationally by hiring Wheeler of Agria Pet Insurance Ltd. Wheeler will help expand Trupanion’s international expansion to additional markets in Japan, U.K., Brazil and Western Europe.

March 2021, Waffle and Crum & Foster Pet Insurance Group merged with ASPCA Pet Health Insurance to provide pet owners with quality and flexible coverage in the U.S.

The global pet insurance market is dominated by a few large companies, such as

·         Nationwide Building Society

·         Trupanion

·         Pethealth Inc.

·         Embrace Pet Insurance Agency LLC

·         United States Fire Insurance Company

·         Petplan Ltd.

·         Hartville Group, Inc.

·         Petfirst Healthcare LLC

·         Anicom Holdings Inc.

·         RSA

·         ipet Insurance

·         The Oriental Insurance Company Ltd.

·         Figo Pet Insurance, LLC

·         Direct Line

·         Animal Friends Insurance Services Limited

·         Others