Report Overview

The growing pet population and humanization of pets across the country and an increasing focus on cover the risk of escalating costs of veterinary care are expected to boost the expansion of United Kingdom Pet Insurance Market during the forecast period between 2024 and 2030.

United Kingdom Pet Insurance Market - Industry Trends & Forecast Report, 2030

United Kingdom Pet Insurance Market size was estimated to be worth USD 387.17 million in 2023. During the forecast period between 2024 and 2030, the United Kingdom Pet Insurance Market size is projected to grow at a CAGR of 7.09%, reaching a value of USD 729.91 million by 2030. Major growth factors for the United Kingdom Pet Insurance Market include high regional pet ownership and increasing veterinary care costs. Furthermore, the rising incidence of diseases among pets and the humanization of pets is anticipated to present lucrative growth opportunities to the United Kingdom Pet Insurance Market over the forecast period.

Pet Insurance – Overview

Pet insurance is a kind of insurance specifically for pets. If a pet becomes ill or is hurt in an accident and requires veterinary care, pet insurance may pay for the costs of care. It may protect against an unforeseen—and perhaps costly—bill. Many alternative therapies, like acupuncture and chiropractic adjustments, are covered by certain insurance in addition to physical therapy. Certain plans provide for treatments and medications, but they do not pay for examination costs when a pet is ill or hurt.

United Kingdom Pet Insurance Market

Growth Drivers

Rising Rate of Pet Ownership

The United Kingdom is registering significant growth in the adoption of pets, which is emerging as the major driving factor for the pet insurance market in the country. The data by People’s Dispensary for Sick Animals, a charity organization, reveals that around 53% of United Kingdom adults own a pet, out of which around 29% have a dog, while 24% of the population have a cat. Another report states that the total number of pets has increased from 35 million (a 9% increase) in 2022 to 38 million pets in 2023. The increasing number of pets is expected to increase the demand for pet insurance products with the rising prevalence of animal diseases and illnesses, driving overall market growth.

Challenges

Fluctuating Premium of Pet Insurance

One of the biggest challenges for the growth of Pet Insurance Market in the United Kingdom is determining how much to charge for premiums in light of rising veterinarian costs and inflation. According to the 2022 statistics by the Association of British Insurers (ABI), pet insurance companies in the United Kingdom are grappling with the issue of premium pricing due to the increasing rate of claim volumes. The expense of caring for sick or wounded pets is rising with the development of new medicines, which may force insurers to modify premium pricing and expand the scope of their policies.

United Kingdom Pet Insurance Market

Segmental Coverage

United Kingdom Pet Insurance Market – By Policy

Based on policy, the United Kingdom Pet Insurance Market is segmented into illnesses & accidents, chronic conditions, and others. The illnesses & accidents segment holds the largest share in the United Kingdom Pet Insurance Market. The frequent veterinary clinic visits are mainly associated with poor health of the pets as a result of poisoning, foreign body ingestion, insect bites, stings, wounds, and fractures. Pet insurance often covers a wide range of conditions, including diagnosis, medications, and various types of tests.

United Kingdom Pet Insurance Market – By Animal

Based on animal, the United Kingdom Pet Insurance Market is divided into dogs, cats, horses, exotic pets, and other segments. The dogs segment accounts for the highest market share, followed by cats. Based on data from UK Pet Food, dogs are the most popular animal in the country, with a population of 12 million and a presence in 31% of British households. With 26% of homes owning one or more cats, cats remain the second most popular pet in the nation. However, rabbits are anticipated to register the highest growth rate during the forecast period.

United Kingdom Pet Insurance Market – By Country

The in-depth research report on the United Kingdom Pet Insurance Market covers the regional market in England, Scotland, Wales, and Northern Ireland. England dominates the United Kingdom Pet Insurance Market owing to the high rate of pet ownership in the country. Around 38 million pets inhabit UK households, or approximately 57% of all households (16.2 million), according to the data by Veterinary Practice. With a high pet ownership rate in the United Kingdom, many industry players are launching new insurance products into the market, driving Pet Insurance Market.

Competitive Landscape

Major players operating in the United Kingdom Pet Insurance Market include Pet Cover UK, ManyPets, PDSA Pet Insurance, Aviva, Agria Pet Insurance Ltd, Petplan Limited, Petsure, Direct Line Insurance Group Plc, Healthy Pets Insurance, RSPCA, Tedaisy Insurance Group, and Protectapet.

To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In October 2023 – CRIF, a global FinTech company, launched a real-time pet insurance service to tap into the United Kingdom insurance industry.

Scope of the Report

By Policy

• Illnesses & Accidents

• Chronic Conditions

• Others

By Animal

• Dog

• Cat

• Horse

• Exotic Pet

• Others

By Country

• England

• Scotland

• Wales

• Northern Ireland