Report Overview

Asia-Pacific Pet Insurance Market is flourishing owing to the rising prevalence of chronic diseases in pets and surging demand for pet insurance policies along with the growing adoption of animals as companion animals...

Asia-Pacific Pet Insurance Market - Industry Trends & Forecast Report 2028

Asia-Pacific Pet Insurance Market was worth USD 940.6 million in 2021 and is further projected to reach USD 1689.3 million by the year 2028, exhibiting a CAGR of 8.8% during the forecast period (2022-2028). The rapid expansion of the market is predominantly due to the rapidly growing pet insurance awareness in the region, as is the number of pets adopted. Moreover, in recent years, there has been a significant increase in the adoption of animals as companion animals, including dogs and cats. Also, the key reasons driving demand in the Asia-Pacific Pet Insurance Market are the increasing prevalence of chronic diseases in pets. Additionally, rising veterinarian fees and the cost of animal treatment are likely to drive this market even further, as the number of pets covered by insurance is not currently negligible. Furthermore, rising per capita animal health expenditure in developing countries such as India and China, as well as rising spending capacity and knowledge about pet care, will support regional industry expansion.

Pet Insurance - Overview

Pet insurance is a policy purchased by a pet owner that helps to reduce the overall costs of expensive veterinary bills. The insurance plans can be customized based on the pet's age, potential breed-specific health conditions, existing health issues, and other requirements.

Asia-Pacific Pet Insurance Market Forecast and Trends

Growth Drivers

Rising Prevalence of Chronic Diseases in Pets

The prevalence of chronic diseases in pets has significantly increased during the past few years. Thus, the rising prevalence of various chronic disorders in companion animals is the main reason propelling the expansion of the chronic condition sector. The most common chronic disorders in dogs in India are periodontal disease (12.52%), otitis externa (7.30%), and obesity (7.07%), according to a Dan G. O Neill paper published in the BMC Veterinary Research 2021. The most prevalent ailments in dogs in India were enteropathy (10.43 percent), dental diseases (14.10 percent), and skin disorders (12.58 percent). The growing number of pet owners seeking pet insurance is a significant driver driving the Asia Pacific pet insurance industry, along with the rising prevalence of chronic diseases in pets.

Surging Demand for Pet Insurance Policies

Due to an increase in pet ownership, there is a surge in the demand for pet insurance plans. Demand for pet grooming and care products is also rising as the idea of pet humanization gains traction. Owners are willing to spend more on their pets to ensure a healthy and happy life, especially millennial owners. In addition, several cities across the country have noticed a marked increase in the adoption of animals, particularly dogs and cats as companion animals, not only are dogs and cats the most popular pets but they are also believed to enhance both human physical and mental health. Additionally, a lot of insurers are providing new pet insurance due to the increase in pet owners, which is propelling the market's expansion.

Increasing Demand for Financial Security in Light of Growing Uncertainty

Additionally, because most pets are adopted into families by their owners, the cost of their monthly checkups is rising as a result of the mounting difficulties associated with mixed-breed animals. As a result, the majority of pet insurance plans include an additional optional wellness package that offers discounts for commonplace procedures including annual physical exams, heartworm tests, fecal tests, annual parasite review tests, blood work, and vaccinations. As a result, the market for pet insurance protects pet owners against the rising number of medical problems affecting pets. All these factors boost the growth of the Asia-Pacific Pet Insurance Market during the forecast period (2022-2028).

Restraints

Lack of Stringent Pet Safety Rules in APAC

The pet insurance market will face challenges during the projected period as a result of the low adoption in developing nations. Pet safety rules are not as stringent in APAC nations like India, Sri Lanka, China, Indonesia, and the Philippines. The safety of endangered species is a top priority for the governments of these nations. This disregard for pets' safety deters pet owners from keeping animals or obtaining pet insurance. All these factors hinder the growth of the India Brake Pad Market

Impact of COVID-19 on Asia-Pacific Pet Insurance Market

The COVID-19 pandemic-induced lockdown and economic crisis have affected several sectors. In the event of a pandemic, telemedicine is used to increase the number of veterinary practices, and precautionary lockdown measures are put in place, with only critical cases being treated. COVID-19, on the other hand, is having a slight negative impact on the pet insurance market due to lower rates of diagnosis and treatment procedures. However, the market, on the other hand, is improving and is likely to return to normal as pet adoption grows. During the forecast period (2022-2028), the market is expected to rise due to the increase in pet ownership in some regions and the rising prevalence of chronic diseases in pets. Which in turn anticipated to surge in the demand for pet insurance.  

Asia-Pacific Pet Insurance Market - By Animal

Based on the animal, the Asia-Pacific Pet Insurance Market is segmented into Dog, Cat, and Other. Among these, Dog accounts for the largest share in the Asia-Pacific Pet Insurance Market. This is owing to the higher healthcare costs associated with dogs compared to other pets. A single surgical visit for a dog, for example, is estimated to cost USD 426. Furthermore, insurance companies provide policy coverage for a broader range of dog breeds, including cross breeds, sheepdogs, and exotic dogs kept as pets. All these factors propel the growth of the Asia-Pacific Pet Insurance Market during a forecast period (2022-2028).

Asia-Pacific Pet Insurance Market – By Policy Coverage

Based on policy coverage, the Asia-Pacific Pet Insurance Market is segmented into Accident Only, Accident & Illness, Chronic Conditions Only, and Other. Among these, the Accident & Illness segment holds the largest market share. The accident & illness policy covers treatments for poisoning, allergies, urinary tract infections, surgeries, hospitalizations, and broken bones, among other things. As a result, the comprehensive nature of such policies is a key growth factor that attracts a large number of pet owners. Furthermore, the rising prevalence of chronic diseases such as diabetes and cancer will fuel segment growth. All these factors boost the growth of the Asia-Pacific Pet Insurance Market during the forecast period (2022-2028).

Asia-Pacific Pet Insurance Market - By Provider

Based on the provider, the Asia-Pacific Pet Insurance Market is segmented into Public and Private. The Private segment now has the biggest market share and is likely to continue to do so during the forecast period (2022-2028). Because of the growing number of private insurance providers operating in the region. Moreover, private providers offer a variety of novel pet schemes to retain customers, which will boost segment growth. Furthermore, multi-pet insurance policies that include multiple pets in a single plan are popular. This influences the private segment to dominate the market share in the upcoming years.

Asia-Pacific Pet Insurance Market - By Region

Based on the provider, the Asia-Pacific Pet Insurance Market is segmented into China, India, Japan, South Korea, Rest of Asia Pacific. Among these, China has the biggest market share. Due to rising pet adoption and rising public awareness of animal health, the Chinese pet insurance market is anticipated to increase at a rate of roughly 12.8% through 2027. Additionally, an increase in the number of pet insurance customers and the cost of veterinary care per person will assist the growth of the nation. For instance, it was discovered that while there were just 5,000 pet insurance customers in China in 2015, there were 1,60,000 customers there in 2019.

Competitive Landscape

The leading market players in the Asia-Pacific Pet Insurance Market Anicom Holdings, Agria, Pet Insurance Australia, Rakuten, Ipet Insurance, More Than, Trupanion, Petplan, ASPCA, and others

The Asia-Pacific Pet Insurance Market is highly fragmented with the presence of several manufacturing companies in the country. The market leaders retain their supremacy by spending on research and development, incorporating cutting-edge technology into their goods, and releasing upgraded items for customers. Various tactics, including strategic alliances, agreements, mergers, and partnerships, are used.

Recent Development

• In December 2021, Chewy, Inc. a leading online destination for pet parents and partners, and Trupanion, Inc. Japan, an industry leader in medical insurance for pets, announced a partnership to offer an exclusive suite of pet health insurance and wellness plans to more than 20 million Chewy customers.

Scope of the Report

By Animal

• Dog
• Cat
• Other

By Policy Coverage

• Accident Only
• Accident & Illness
• Chronic Conditions Only
• Other

By Provider

• Public
• Private

By Country

• China
• India
• Japan
• South Korea
• Rest of Asia Pacific