Pets at Home set to launch own insurance proposition

Pets at Home has confimed to plans to launch its own insurance proposition in the UK’s £2bn pet insurance market.

The business aims to capitalise on its name, consumer base and access to pet health data, with an ambition to build a “capital light” insurance operation that removes “key areas of consumer friction” using artificial intelligence.

Pets at Home said the initiative would bring a “disruptive” offer to market and is aiming for the insurance arm to break-even in its 2028 financial year, before delivering what it believes could be around 10% of group profits over time.

The pet insurance market, which currently stands at around £2bn, is forecast by Mintel to grow at 4% annually to reach £2.5bn by 2029, making it the largest vertical outside of the group’s current core operations.

The company has assembled a team to develop the offering, with the founders retaining a 20% minority stake in the new business.

Going in house for Pets at Home

The announcement was made in its Annual Report and Accounts 2025. The retailer said: “Our vision is on track to build the world’s best pet care platform, bringing together a best-in-class omnichannel retail proposition with our unique blend of services, through an integrated and consumer-centric experience.”

Pets at Home stated that customer and veterinary practice owner perspectives were being factored into the development, with the insurance product positioned as a service alongside its network of grooming salons, retail stores and veterinary practices.

Pets at Home’s move into insurance follows growing competition in the market from brands, including ManyPets, which has also used digital tools strategies to attract tech-savvy pet owners.

More details on the structure of Pets at Home’s new insurance entity have not yet been disclosed.