2025
9
UK Pet Insurance Market Report 2025
2025-07-28T10:03:56+00:00
REP3D13C460_00F1_43C3_BAFC_A08ED62AF697
2195
185017
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Report
en_GB
Despite households looking to make cuts, pet insurance has remained resilient during the cost-of-living crisis. The perception of good value for money has been a key factor,  as veterinary treatment…
UK
Insurance
Pets
simple

UK Pet Insurance Market Report 2025

"Rising veterinary bills have led to growing affordability concerns. Pet cover offers peace of mind, but insurers must adopt smart, flexible pricing to attract price-sensitive customers."

Lewis Cone - Associate Director, Financial Services

Lewis Cone - Associate Director, Financial Services

UK Pet Insurance – Trends and Insights

  • UK pet insurance market growth is moderated by rising premiums and veterinary costs, which are creating affordability challenges for pet owners.
  • Despite the ongoing cost-of-living crisis, demand for pet insurance remains strong as many pet owners recognise the importance of protecting their pets from high treatment costs, underscoring the perceived value of insurance.
  • Insurers are expected to focus on offering more flexible and tailored policies, leveraging technology to refine pricing strategies. Consumer interest in preventative care-linked policies and flexible payment options highlights the need for innovation to stay competitive.
  • Rising veterinary costs and financial strain are pushing pet owners to prioritise value for money. Consumers are actively seeking low premiums, flexible payment plans, and policies that cater to their pets’ specific needs, with affordability being a key decision factor.
  • Younger pet owners are showing interest in tech-based solutions, such as pet tech devices, to reduce premiums. Meanwhile, there’s a growing trend of upgrading policies for comprehensive coverage, especially for ageing pets, while others opt for cheaper alternatives or negotiate better deals, reflecting a cautious approach in challenging economic times.

Key Issues Covered in the Report

  • The impact of the economic climate and regulation on pet insurance
  • Market size and performance, including a five year market forecast
  • Market share of the leading pet insurers
  • Pet insurance ownership and types of cover held
  • Consumer’s pet insurance plans and intentions in the next year
  • Pet owner interest in purchasing pet insurance and the features that providers should look to offer
  • Pet owners’ concern about affording vet bills and the perceived importance attached to pet insurers supporting animal charities
  • Pet insurance policyholders’ consideration of co-payment policies and interest in using pet tech devices to lower premiums
Report AttributesDetails
Published DateJuly 2025
Data Range2019-2030
Measurement MetricsRevenue in £
Country FocusUnited Kingdom (UK)
Consumer Data1,207 internet users aged 18+, May 2025
Number of Pages66
Market SegmentationDogs, Cats, Fish, and Other Pets
Leading CompaniesPetplan, Animal Friends, Admiral, ManyPets, Direct Line, PDSA, Churchill, MoreTH>N

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  1. EXECUTIVE SUMMARY

    • Opportunities for the pet insurance market
    • Introduce loyalty schemes to appeal to uninsured pet owners
    • Educate younger policyholders on the wider benefits of pet tech devices
    • Enhance payment flexibility to help pet owners avoid going into debt for vet bills
    • Market dynamics and outlook
    • Market size and forecast
    • Market predictions
    • Stable growth in pet insurance GWPs expected to 2030
    • Graph 1: market size and forecast for pet insurance, in gross written premiums, 2019-30
    • Average premiums rise across all policies in 2024
    • Graph 2: average pet insurance premium (based on subscribers), by type of pet, 2018-24
    • Rising veterinary costs underlines the value of pet insurance
    • Graph 3: CPI annual rate, veterinary and other services for pets, 2016-25
    • What consumers want and why
    • Under half of pet owners hold a pet insurance policy
    • Cost pressures are evident, but upgrading intentions are strong
    • Graph 4: pet insurance intentions over the next 12 months, 2025
    • Customer service and low premiums dictate policy choice
    • Graph 5: motivations behind choice of new pet insurance policy, 2025
    • Customers see value in pet insurance, mostly claiming for costly treatments
    • Charitable support and vet treatment affordability are key for pet owners
    • Graph 6: pet owners attitudes towards pet insurance, 2025
    • Competitive strategies and launch activities
    • Service innovation driving insurers’ strategies and planning
  2. MARKET DYNAMICS

    • Market size and performance
    • Pet insurance GWPs rise for the fifth consecutive year
    • Graph 7: value of pet insurance gross written premiums, 2018-24
    • Rising veterinary treatment costs and sustained remote working have bolstered the market
    • Market forecast
    • Stable growth in pet insurance GWPs expected to 2030
    • Graph 8: market size and forecast for pet insurance, in gross written premiums, 2019-30
    • Steady growth underpinned by rising vet costs and pet ownership
    • Market segmentation
    • Dog owners lead the pack with subscribers surging since 2020
    • Graph 9: number of pet insurance policy subscribers, by type of pet, 2018-24
    • Subscription numbers continue to rise
    • GWPs increase in every pet category
    • Graph 10: pet insurance gross written premiums, by type of pet, 2018-24
    • Pricing structures will be key to ongoing GWP growth
    • Average premiums rise across all segments in 2024
    • Graph 11: average pet insurance premium (based on subscribers), by type of pet, 2018-24
    • Some indication that premiums may be on a downward path in 2025
    • Market share
    • Petplan is a leading  provider choice among pet insurance policyholders
    • Graph 12: estimated market share of pet insurance, 2025
    • Brand building and customer service help boost market share
    • ManyPets announces expansion plans
    • Macroeconomic and social factors
    • Dogs are the most commonly owned pet in the UK
    • Sticky inflation could influence policy renewals
    • Graph 13: CPI inflation rate, 2021-25
    • Rising veterinary costs underlines the value of pet insurance
    • Graph 14: CPI annual rate, veterinary and other services for pets, 2016-25
    • Regulatory and legislative changes
    • CMA extends deadline for market investigation into veterinary services for household pets
    • Late amendment to Renters Rights Bill could reduce impact on pet insurance
  3. WHAT CONSUMERS WANT AND WHY

    • Pet insurance ownership
    • Under half of pet owners hold a pet insurance policy
    • Graph 15: pet insurance ownership – net, by type of pet, 2025
    • Rising veterinary costs should convince the uninsured to become policyholders
    • Highest income households are most likely to own pet insurance
    • Graph 16: pet insurance – net, by household income, 2025
    • Level of cover held
    • Lifetime cover remains most popular cover
    • Graph 17: types of pet insurance policy cover held, 2025
    • Insurers need to remain wary of policy changes due to price
    • Pet insurance plans over the next 12 months
    • Cost pressures are evident, but upgrading intentions are strong
    • Graph 18: pet insurance intentions over the next 12 months, 2025
    • Tailor policy upgrade add-ons to suit younger policyholders’ needs
    • Graph 19: intentions to upgrade a pet insurance policy in the next 12 months, by age, 2025
    • Expand product flexibility to ensure ongoing custom
    • Older customers look to haggle, while others seek cheaper policies
    • Motivations behind choice of pet insurance
    • Customer service and low premiums dictate policy choice
    • Graph 20: motivations behind choice of new pet insurance policy, 2025
    • Pricing dominates choice, but an effective, efficient service is a key priority
    • Pre-existing medical condition cover and claim payout evidence are most important to older pet owners
    • Policyholder attitudes towards pet insurance
    • Customers see value in pet insurance, mostly claiming for costly treatments
    • Graph 21: policyholder attitudes towards pet insurance, 2025
    • Cover predominantly used to help pay for only the most expensive treatments
    • Graph 22: ‘I would only make a claim on my pet insurance for expensive treatments/procedures’, by household income, 2025
    • Share positive reviews and improve claims experience to improve older policyholders’ perception of value
    • Perceived value for money from pet cover is highest among younger policyholders
    • Educate younger policyholders on the wider benefits of pet tech devices
    • Promote co-payment policies to young customers and owners of older pets
    • Graph 23: interest in a co-payment policy, by age, 2025
    • Pet owner attitudes towards pet insurance
    • Charitable support and vet treatment affordability are key for pet owners
    • Graph 24: pet owners attitudes towards pet insurance, 2025
    • Partner with animal charities to create a community space and show care for animals beyond a product
    • Expand payment options and flexibility to reduce potential financial harm
    • Financially stable families with pets are concerned by future vet bills
    • Improve policy understanding and customisation to ease parental concerns about vet costs
  4. INNOVATION AND MARKETING TRENDS

    • Competitive strategies and launch activity
    • Pets at Home plans to disrupt the pet insurance space
    • Policy Expert partners with GoCardless to simplify payments
    • Yes Insurance acquires Tractive’s UK-based business
    • Agria enhances pricing solutions via AI-driven partnership
    • Animal Friends renews commitment to Whale and Dolphin Conservation
    • Advertising and marketing activity
    • Pet insurance advertising spend falls for the first time in four years
    • Graph 25: total above-the-line, online display and direct mail advertising on pet insurance (incl. livestock) products, 2020/21-2024/25
    • Insurers continue to invest most in TV advertising
    • Graph 26: share of total above-the-line, online display and direct mail ad spend on pet insurance (incl. livestock) products, by media type, 2024/25
    • Petplan leads pet insurance ad spend, but most providers reduced spend
    • Animal Friends’ ‘wildly different’ campaign showcases unique approach
    • Napo promotes its offering that goes beyond the ‘basics’
    • ManyPets presents pet insurance as an act of love
  5. APPENDIX

    • Supplementary data
    • Total (all pet) policies
    • Dog and cat policies only
    • Market forecast data and methodology
    • Market forecast and prediction intervals
    • Forecast methodology
    • Forecast – note on US trade disruption
    • Report scope and definitions
    • Market definition
    • Market definition (cont)
    • Abbreviations and terms
    • Consumer research methodology
    • CHAID analysis – methodology data
    • CHAID analysis – methodology data table
    • Nielsen Ad Intel coverage

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