Facts & Statistics on the US Pet Insurance Industry

There are multiple sources of data for much of the pet insurance market. We've collected these together here with references so that you can draw your own conclusions.

How Big Is the US Pet Insurance Industry

NAPHIA estimates that at the end of 2012 there were just over 1 million pets insured with annual premiums across the industry between $475 and $500 million. Annual premiums grew at a compounded rate of 13% between 2008 and 2012.

Number of Pets with Pet Insurance

Using the NAPHIA numbers above, just 0.65% of the cat and dog population was insured in 2012. This calculation is very simple to do - it is the number of policies in force at the end of the year divided by the total cat and dog population1. So 1.04 million insured pets divided by approximately 165 million US pets gives 0.65%.

This figure is much lower than the 3% of dogs and 1% of cats that others such as the American Pet Products Association estimate. Embrace believes that these numbers are overstated by survey biases because passionate pet parents respond to surveys at a higher rate than others surveyed.

At a high level though, it just isn't possible for 3% of the dog population and 1% of the cat population to be insured as this would imply a pet insurance industry far larger than reported data indicate.

What Is the Market Share of Each Pet Insurance Company?

We estimate the market share by annual premium at the end of 2012 of the three largest pet insurance companies to be VPI (49%), The Hartville Group (10%), and Petplan USA (9%).

How Many Companies Sell Pet Insurance?

Embrace knows of ten companies actively selling pet insurance in the US:

  1. Embrace Pet Insurance (Beachwood, Ohio)
  2. Hartville Group (Canton, Ohio)
  3. Healthy Paws Pet Insurance (Seattle, Washington)
  4. PetFirst Healthcare (Jeffersonville, Indiana)
  5. PetHealth Inc. (Oakville, Canada)
  6. PetPartners (Raleigh, N. Carolina)
  7. Petplan USA (Philadelphia, Pennsylvania)
  8. Pets Best Insurance (Boise, Idaho)
  9. Veterinary Pet Insurance (Brea, California)
  10. Trupanion Pet Insurance (Seattle, Washington)

Footnotes

12011-2012 APPA National Pet Owners Survey Statistics