Europe Pet Insurance Market Outlook, 2027

Europe Pet Insurance Market Outlook, 2027

Pet insurance scheme covers veterinary expenses incurred for the treatment of a pet who has endured an injury or is sick. Pet insurance is usually opted by owners to minimize the burden of cost of availing veterinary services. The policies are offered by various European public and private providers for different animals such as dogs and cats, horses, others. Pet Insurance company offers customized policies following the people preferences. They focus on the packages as per pet lifetime and per incident. The owner needs to submit a claim to the company regarding treatment activities pet has received, and then the company will reimburse according to the policy. The Europe Pet Insurance Market is one of the most widely demanded Europe Pet Insurance Market as the people are keen to adopt the pets. Certain factors that are driving the market growth include an increasing number of pet adoption and rising awareness regarding pet insurance in the region. In recent years, there has been a significant increase in the adoption of animals as companion animals, particularly dogs and cats. Dogs and cats are not only the most popular pets, but they are also known to improve human physical and mental health.

The research report titled, “ Europe Pet Insurance Market Outlook, 2027”, by Bonafide Research categorizes the market to forecast the revenues and analyze the trends in each of the following segments: based animal type (Cat, Dog & others), by insurance type (Accidental and Illness & Accident only endorsement) by the end-user (Agency, Broker, Bancassurance, Direct writing) based on countries & major companies. Even though the rising pet adoption is the major market driver, the rising cost of veterinary services is also a severe reason for the market growth in the region. The European market was at a value of USD 1.41 Billion in the year 2016. In 2018 there were around 80 Million pet-owning homes in Europe, which have been gradually inclining ever since. Europe pet insurance market is seeing promising progress currently, because of rise in the number of people adopting pets in the region. Pets have become an integral part of families in Europe and there is a sharp rise in the number of companies specializing in providing pet insurance. The insurance scheme covers a wide variety of veterinary expenses which are usually incurred when a pet receives any medical treatment for injuries or illnesses. Thus, increasing social acceptance of pets has stimulated the demand across the region. This can be accounted to be the major push to the market, resulting in an anticipated CAGR of a little over 12%. Most of the companies in the European market offer a customized solution following the people’s preferences. They focus on the packages as per the pet lifetime or incident base. The accident & illness segment dominated the European market, which held more than 90% of the share even in 2020. This is due to the comprehensive nature of the policy, which covers all major illnesses along with accidents. Thus, the policy is the most favorable policy for young animals, stimulating the adoption rate. The accident-only segment is expected to grow with a significant CAGR in the coming years. However, the high veterinary diagnostic cost and the inclining theft rates are further to incline the market growth.

Pets like cats and dogs are enjoying the status of being a family member among their owners. The owners, on the other hand, are looking out for the best insurance packages for their pets that will protect their companion animals in the events of ailments and accidents. These factors have created a favorable environment for Europe market to grow. Cats remain the most popular pets in European households with a stable population, while dogs are growing in popularity. Yet in terms of revenue, the insurance for pet dogs accounted higher with more than half of the market share since 2016. In terms of other pets, small mammal and reptile ownership have increased slightly; while the pet birds have seen a decline. The country is seeing a rise in the adoption of exotic breeds of cats and dogs. The need among the owners of exotic pets for special coverage for their animals is growing, thereby positively influencing the progress of industry. This is to allow the insurance for the other pet segment to grow with a significant CAGR. Also, the growing demand for insurance of exotic breeds of cats and dogs will play a significant role in stimulating the market expansion. The Broker & Bancassurance segments together accounted for higher than 40% of the market share, owing to the adoption of competitive pricing of the monthly premiums. The private providers offer innovative insurance schemes such as maximum coverage plans and minimum premiums. Furthermore, growing demand for pet insurance policy coupled with increasing pet healthcare expenditure will boost the industry growth, with the Direct Writing segment.

The UK covers up to the majority of the, followed by Germany, France & Spain making to almost 30% of the market share. The high growth in the countries can be attributed to the early introduction of pet insurance coverage for companion animals. Also, the rising concerns pertaining to pet health and the growing adoption of exotic pets in the country is another major growth driving factor. Growing social acceptance of pets has stimulated adoption. Pet acceptance is also perceived to assist in low blood pressure, depression, and loneliness, thus creating a growth opportunity for the market during the forecast timeframe. There are many companies that are coming out with high-end web-based applications that will help connect vets with the pet owners and will assist the latter understand the benefits and importance of having a pet insurance. The other factor that will play a vital role in the development of industry in Europe is the growing awareness among pet owners about the illness and accident policy. People are looking for ways to reduce the overall cost incurred in getting veterinary treatments, thereby increasing the demand for pet insurance in Europe.

Recent developments
• In 2021, Pethealth To Acquire Microchip Registry Operations of the Michelson Found Animals Foundation. Pethealth, under its 24PetWatch brand, launched its free microchip registry and now, Michelson Found Animals is proud to transition its microchip registry business to a new owner that will continue expanding the registry, serving pet parents and supporting the advancement of animal welfare.

• In 2020, Royal and Sun Alliance (RSA) agrees EUR 7.2 billion takeover by two overseas insurersTryg will pay Euro 4.2 billion and take over RSA’s Swedish and Norwegian businesses, and Intact will pay EUR 3 billion to buy RSA’s Canadian, UK and Ireland, and international operations. The two companies will co-own RSA’s Danish business. RSA shareholders will also receive an interim dividend of 8% per share, worth about EUR 82 million in total.

COVID-19 Impact
The Europe Pet Insurance Market was negatively impacted by COVID-19 in 2020. The coronavirus pandemic has shown an impact on the proper functioning of various industries in different regions. It affected Europe Pet Insurance Market very badly. Many veterinary hospitals and clinics remained close due to lockdown and restriction on movement. Insurance companies are trying to innovate and modify the policy coverages and policies depending upon the incidences of health conditions. Companies are focussing on providing solutions to the pet owners and spreading awareness regarding the cost reimbursement available in the market. Also, Various companies are taking steps to ensure that pet gets extraordinary care during the COVID-19 outbreak. Also, the companies are innovating multiple solution for their pet owners to enhance their policy process

Companies Included
Pethealth, Petfirst Healthcare Llc, Agria Pet Insurance Limited, Petplan Limited, Direct Line, RSA Groups, USAA, Tokio Marine & Nichido Fire insurance Co.Ltd

Considered in this report
• Geography: Europe
• Base year: 2021
• Historical year: 2016
• Forecasted year: 2027

Countries Covered
• Germany
• UK
• France
• Spain
• Italy
• Russia

Aspects Covered in the report
• Market Size by Value for the period (2016-2027F)
• Market Share by Animal Type (Cat, Dog & others)
• Market Share by Insurance Type (Accidental and Illness & Accident only endorsement)
• Market Share by End User (Agency, Broker, Bancassurance, Direct writing)
• Market Share by Region
• Market Share by Country
• Market Share by Company

The approach of the report:
We keep an eye on evolving markets and try to evaluate the potential of the products and services. If we find the market interesting, we start working on it and create the desired table of content, considering all aspects of the business. We start by creating separate questionnaires for C-level executives, national/regional sales personnel, company owners, dealers, distributors, and end-users. Once the questionnaires have been finalized, we start collecting the primary data (mostly through phone calls) and try to understand the market dynamics regionally or tier-wise. This process gives us in-depth details of the market, including all present companies, the top-performing products with reasons why they dominate; we get the details of new players and their innovative approaches; market trends; dynamics; and all the small details of the market. After the collection of primary inputs, we then cross-check the same with secondary sources that include associations, trade journals, annual reports, paid databases, newspapers, magazines, press releases, government sources, etc. From this, we get a rough estimate of the market and start checking existing product price variants, trade, production, raw material scenarios, policies and regulatory landscape, etc. Then, to finalize the market, we start collecting financials of each player present in the market, including limited, private limited, and LLPs. Moreover, we perform cross-industry and cross-region analysis of the product, and based on collected primary inputs and using statistical modeling, we start forecasting the market. We follow our forecasting algorithm, which is unique for each product but gives more weight age to primary inputs. At the same time, the content team starts preparing company profiles, market dynamics, market trends, five forces, PEST analysis, etc. Once the data is verified by the data expert, the team (primary team, content team, and data team) together crosscheck the segmentations, validate the market, and then the designing team starts plotting the graphs. Once the file is ready, the content team completes the report and makes sure that all the discussed points have been covered and provides their valuable inputs in the form of strategic recommendations for new as well as existing players. The QC team then checks the overall report that includes spell check, data verification, and makes the same dispatch ready and error-free.

Intended Audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Finance & Insurance Service industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.