Two thirds of American households own a pet, totalling a $17 billion spent last year on Veterinary services. Routine care totals an average $250+ per dog and $180+ per cat, but these costs balloon when pets face accidents or illness.
To offset potentially disastrous bills, more and more households are turning to pet health insurance as a safety net. The pet health industry grossed $1 billion for the first time this past year.
Last year’s gross annual premiums were 23% higher than the previous year, when the total was $837 million, according to the North American Pet Health Insurance Association. The number of insured pets also increased, climbing to 1.83 million last year, up about 16% from the previous year.
That’s only 1% of dogs and cats, but insurers expect the expansion to continue.
Learn more about the industry’s growth at The Wall Street Journal.