Money's best friend: Growth in the number of insured pets will boost industry demand

Rapidly increasing consumer awareness and acceptance of industry offerings has benefited the Pet Insurance industry substantially during the current five-year period to 2018. Pet insurers largely experience the same regulatory trends as their broader property and casualty counterparts, given that pets are considered property in the view of government regulators. However, pet insurance risks and trends tend to be aligned more with the health insurance market. Over the five years to 2023, industry revenue is forecast to increase. Key fundamental and demographic variables underlying the industry's performance are forecast to continue to work in the industry's favor over the years ahead...purchase to read more.

Industry Statistics & Market Size
Annual Growth 13-18
Forecast Growth 18-23

Industry Threats & Opportunities

  • Key demographic variables underlying the industry’s performance are forecast to continue to work in the industry’s favor
  • More expensive and sophisticated treatments are gaining acceptance
  • Mounting veterinary costs and consumer awareness of products are anticipated to benefit the industry
  • Industry Report - Industry Locations Chapter

    The distribution of industry establishments is largely determined by population trends. Larger and more populated states tend to have more industry establishments than their smaller counterparts. Population density is also an important indicator of the number of establishments in each state. States with low density tend to have more establishments per individual than densely populated regions. In contrast, densely populated regions have fewer establishments but larger offices.In addition to population, the distribution of industry establishments is also influenced by the wealth characteristics of a state or region. The decision to own a pet, a prerequisite for the distribution of industry policies, is largely determined by disposable income levels. In ...purchase to read more.

    Additional Insights for the Pet Insurance Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Pet Insurance Industry are

  • Possession of accurate information
  • Disciplined underwriting processes
  • Having a cost effective distribution system
  • IBISWorld analysts also discuss how external factors such as External competition and Number of pets (cats and dogs) in the Pet Insurance industry impact industry performance..

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    What's in this report

    What is the Pet Insurance Industry?

    This industry underwrites insurance policies for pets and pays veterinary costs related to illness or injury.

    Industry Products
  • Accident and illness dog policies
  • Accident only dog policies
  • Dog insurance policies with embedded wellness
  • Accident and illness policies for cats and other pets
  • Accident only policies for cats and other pets
  • Cat and other pet insurance policies with embedded wellness
  • Industry Activities
  • Underwriting accident and illness pet insurance policies
  • Underwriting accident only pet insurance policies
  • Underwriting pet insurance policies with embedded wellness
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • External competition
  • Number of pets (cats and dogs)
  • Homeownership rate
  • Median age of population

  • Current Performance
  • Product acceptance
  • Distinction from the property and casualty market
  • Policy type and market trends
  • Chart: Revenue Growth

  • Industry Outlook
  • Cost structure changes
  • Market share dominance
  • Table: Pet Insurance Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Pet Insurance Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Insurance Brokers & Agencies
  • Reinsurance Carriers
  • Third-Party Administrators & Insurance Claims Adjusters

  • Products & Services
  • Accident and illness dog policies
  • Accident and illness policies for cats and other pets
  • Accident only dog policies
  • Dog insurance policies with embedded wellness
  • Accident only policies for cats and other pets
  • Cat and other pet insurance policies with embedded wellness
  • Chart: Pet Insurance Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Consumers aged 55 to 64
  • Consumers aged 45 to 54
  • Consumers aged 65 to 74
  • Consumers aged 35 to 44
  • Consumers aged 25 to 34
  • Consumers aged 75 and older
  • Consumers aged 25 and younger
  • Chart: Major Market Segmentation for the Pet Insurance Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitClaims expensesWagesMarketing and other
  • Chart: Cost Structure Benchmarking – Sector vs Pet Insurance

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Pet Insurance Industry

  • Industry Globalization
    Nationwide Pet Insurance, Trupanion, ASPCA Pet Health Insurance, Petplan Pet Insurance,
  • Table: Nationwide Pet Insurance - financial performance
  • Table: Trupanion - financial performance
  • Table: ASPCA Pet Health Insurance - financial performance
  • Table: Petplan Pet Insurance - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Pet Insurance Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Pet Insurance Industry
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)
  • Number of pets (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
  • A formal request to an insurance company asking for a payment based on the terms of the policy.
  • Loss Ratio
  • The percentage of premiums earned that were paid out as claims; it equals loss-incurred and loss-adjusted expenses (LLAE) divided by earned premiums.
  • Underwriting
  • The process where insurers assess the risks to insure and decide how much to charge for those risks.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s industry research report on Pet Insurance provides up-to-date sales and market data, allowing you to identify the product and customer segments driving revenue growth. The report identifies the leading companies in the industry, and offers strategic analysis of the key factors influencing the market. Our data forecasts are accompanied by full analysis to illustrate how the market is responding to dominant and emerging trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Pet Insurance:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Pet Insurance market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Pet Insurance, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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