United States Pet Insurance Barometer 2025: Key Stats & Trends
The United States stands out as one of the largest pet-loving nations in the world: 66% of households own at least one pet, totaling 192 million animals by 2025. Yet pet insurance remains relatively uncommon, with only 3.9% coverage—far below the rates seen in Sweden (91%) or the UK (25%)—despite rising veterinary costs and growing recognition of pets as family members. Against a backdrop of rapid market expansion, technological disruption, and evolving consumer needs, understanding the realities and trends of pet insurance has become a pressing societal and economic issue for millions of American households.
The Barometer 2025 aims to deliver a unique comparative snapshot of pet insurance, highlighting gaps in coverage, the accelerating impact of digitalization, and the distinct features of the US market versus the rest of the world—shedding light on both challenges and new opportunities for pet owners, industry players, and the broader public.
The 2025 Global Ranking of Pet Insurance: Where the United States Stands
While pet insurance is proliferating worldwide, vast disparities persist between progressive markets with near-universal coverage and regions where veterinary bills remain an out-of-pocket burden. US ranks #16 out of 22 regarding pet insurance rate among owners, reflecting an emerging but fast-developing insurance landscape—indicating that America’s booming pet economy still faces significant gaps in healthcare protection and awareness compared to global leaders.
- 🇸🇪 Top-ranked country: Sweden – 91% of pets insured and a century-old insurance tradition
- 🇬🇧 High-adoption market: United Kingdom at 25% coverage, with robust competition
- 🇫🇮 Nordic resilience: Finland leads Western Europe at 23%
- 🇩🇪 Germany: 20% of pets covered, with double-digit annual growth
- 🇨🇭🇮🇪🇦🇺 Upper mid-tier: Switzerland, Ireland, and Australia (7–9%)
- 🇺🇸 United States: 3.9% of pets insured, among the largest populations yet below peer benchmarks
- 🌍 Emerging regions: China, Spain, UAE, Morocco – below 2% but posting the world’s fastest uptake
- 📈 Global market growth averaging +13% per year
- 💸 Coverage adoption closely linked to veterinary care costs and cultural perception
- 🐶 Dogs are insured far more often than cats nearly everywhere
Below, we summarize the main global factors shaping pet insurance adoption, using the US as a central lens:
- Cultural perception of pets: In the US, 85% of pet owners see animals as family—yet unlike Sweden (91% insured), this does not directly translate to high insurance rates, showing that cultural value alone is not enough.
- Legal or institutional incentives: The US has no requirement or incentive for pet insurance, unlike Sweden or some EU countries where regulatory tradition or subsidies promote uptake.
- Veterinary cost and affordability: US veterinary care is among the most expensive in the world, with common procedures costing thousands—yet insurance purchase remains lower than in the UK or Finland, partly due to lack of risk awareness or budgeting concerns.
- Insurance habits and trust: Americans’ general skepticism about insurance value and confusion around pet policy terms contrasts with the pragmatic, trust-based approach seen in UK markets, where insurance is treated as standard for responsible owners.
- Market maturity and product range: The US market is emerging and highly digital but fragmented—with over 30 players and innovative startups—unlike Sweden’s mature, concentrated model led by legacy brands.
Coverage Penetration Rate
Share of pets covered by insurance in 2025 (selected countries)
A focus on pet insurance in the US
Key Insights – Pet Insurance in US in 2025
🐾 Pet ownership: 66% of households own pets; most popular species: dogs and cats
🛡️ Insurance coverage rate: 3.9% of pets insured (vs 91% in Sweden, 25% in UK, 5% in France)
💰 Veterinary costs: avg. $1,500–$2,000/year for dogs; $1,000–$1,500/year for cats; steady increase over past 10 years
📈 Market size: $4.7 billion GWP in 2025, with CAGR of 14–16% projected through 2030
📦 Typical insurance product: accident & illness plans, avg. premium: $56/month for dogs, $32/month for cats
🧩 Competitive landscape: leading companies include Nationwide, Trupanion, Healthy Paws, Embrace, ASPCA; market is concentrated but digitally innovative
🔮 Future trends: increasing digital adoption, AI and smart devices, regulatory developments, and growing demand for broader and faster coverage
🐾 How much do Americans love their pets?
With 66% of US households owning at least one pet, Americans rank among the world’s most devoted animal lovers.
In 2025, the country is home to approximately 192 million pets—spanning 65.1 million dogs, 46.5 million cats, and millions of birds, small mammals, reptiles, and more.
Pets are seen as true family members by 85% of owners, shaping everything from home life to holiday cards.
Among breeds, Labradors, French Bulldogs, and Golden Retrievers top the charts for dogs, while American Shorthairs are a perennial favorite with cat owners.
🛡️ The state of pet insurance: Adoption and perception
Despite the emotional bond, just 3.9% of US pets are covered by insurance in 2025—translating to about 6.4 million animals.
This rate remains far behind Sweden (91%), the UK (25%), and even Canada (3.8%) or France (5%).
Dogs account for 85% of insured pets, with purebred and younger animals most often covered; cats make up just 15%.
Nationwide, 44% of pet owners say insurance is worthwhile, but only 15% have seriously considered it.
Policyholders typically live in cities, are younger (Millennial and Gen Z), and are comfortable managing finances online.
Barriers include high premiums, lack of awareness, and skepticism—many still see pet insurance as “nice-to-have” rather than a household necessity.
💰 How much does vet care really cost?
Pet ownership in the US comes at a real price: $1,500–$2,000 per year for dogs, and $1,000–$1,500 for cats.
Vet expenses, including surgery ($1,500–$5,000), diagnostics ($250–$1,000), and emergencies ($800–$1,500), have steadily climbed over the last decade.
Nearly half of all owners (45%) could not pay a $1,000+ emergency bill without hardship—a fact that underscores the financial risk of major pet care events.
Despite these risks, premium costs and limited coverage options still keep many owners from enrolling in insurance.
📈 Pet insurance market: Size, growth, and outlook
The US pet insurance industry reached $4.7 billion in gross written premiums in 2025, driven by a robust CAGR of 23% from 2020–2025.
Growth is forecast to remain strong, with a projected CAGR of 14–16% through 2030.
Despite its size and dynamism, the market is still considered emerging—with top 10 carriers holding 85%+ market share and more than 20 active insurers in 2025.
New regulations, like the NAIC model law adopted in various states, are beginning to shape transparency and consumer protection but federal mandates remain absent.
📦 What do typical US pet insurance plans cover?
Most US policies are accident & illness plans, with optional add-ons for preventive care.
Annual caps range from $5,000 to unlimited, deductibles span $100–$1,000, and co-pays typically fall between 10–30%.
Unlimited plans are growing in popularity as consumers seek more robust protection.
The average premium is $56/month for dogs, $32/month for cats.
Preventive care, such as dental and vaccines, is rarely included in base plans; extras like 24/7 telehealth, direct vet payments, and partner vet networks are becoming more available.
Common exclusions still apply: pre-existing conditions, older pets, certain breeds, and elective procedures.
🧩 Who are the big players, and how is the market structured?
The US pet insurance market is heavily concentrated—the top 10 providers control 85%+ of market share.
Leading names include Nationwide, Trupanion, Healthy Paws, Embrace, ASPCA, with global players like ManyPets and Lemonade actively expanding.
Trupanion stands out for its vertical integration with vet chains, while insurtechs are gaining ground through digital acquisition and app-based services.
There’s ongoing consolidation, and affiliate marketing partnerships play a growing role in attracting new customers—especially tech-savvy, urban pet owners.
🔮 What’s next for pet insurance in the US?
Digital transformation is accelerating: over 60% of policies are sold online, and mobile apps, digital claims, and AI-driven tools are increasingly common.
Smart devices, telehealth, and wearables are influencing both product design and pricing, as startups innovate to meet consumer demands for simplicity, flexibility, and transparency.
Recent regulatory shifts, such as the spread of the NAIC model law, aim to standardize offerings and improve customer trust.
Over the next five years, American pet owners will expect faster claims, broader coverage (including for older pets and pre-existing conditions), and seamless, digital-first experiences.
Methodology
HelloSafe’s 2025 Global Pet Insurance Barometer is built on a cross-analysis of international public sources (FFA, NAPHIA, Agria, ABI, GDV, among others) and exclusive proprietary data from HelloSafe. The study spans 22 countries across 5 continents, with a focus on the most representative and contrasted markets in terms of insurance penetration, coverage quality, pricing, and innovation. All figures are based on the latest available data as of June 2025 and reflect a rigorous benchmarking of pet insurance practices through the lens of consumer expectations. The barometer leverages verified statistics from national regulatory bodies and market leaders, enriched with editorial and pricing insights from HelloSafe’s internal databases. This hybrid approach provides a unique global snapshot of how pet insurance is evolving worldwide.
Sources
- Seyna – The Pet Insurance Rush (2024)
- Dagsavisen (Norway) – Økte veterinærpriser gir dyrere forsikring (2024)
- The Dogs Business Professional (UK) – UK Pets Secure Second Spot in Worldwide Pet Insurance Coverage (2024)
- NAPHIA (North America) – State of the Industry Report (2024)
- Dogster (Canada) – 10 Canada Pet Insurance Statistics & Facts to Know in 2025 (2025)
- GlobalPETS (South Korea) – Pet insurance subscriptions jump by over 22% (2024)
- AVMA (United States) – US pet insurance industry surpasses $4.7B (2024)
- Umbrex – How the Pet Insurance Industry Works (2024)
- Sky TG24 (Italy) – +30% growth in pet insurance for cats and dogs (2023)
- Ken Research (Sweden) – Sweden Pet Insurance Market Report 2022–2027 (2024)
- Grand View Research – Canada Pet Insurance Market Outlook (2024)
- Gallup–PetSmart Charities – State of Pet Care Study (2024)
- Dogster – Canada Pet Ownership Statistics (2025)
- Global Pet Industry – Global Overview (2025)
- Statista – Global Pet Insurance Data (2023)
- AEDPAC – 2024 Pet Industry Figures (2024)
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