Pet insurance premiums rose by 22% between 2013 and 2018

Data and analytics organisation GlobalData predicted that there is growth opportunities within the UK pet insurance market, as total gross written premium (GWP) for this line reached £1.2bn at the end of 2018.

This GWP figure reflected a compound annual growth rate of 8.6% in the pet insurance field since 2013.

GlobalData further found that UK pet insurance premiums have increased by 22% between 2013 and 2018 – the average premium is recorded at £279 for 2018, however this can vary substantially dependent on the type of pet being insured.

Dogs and cats are the most commonly insured pets, however GlobalData quotes ABI findings which estimate that the majority of these animals are not insured.

Beatriz Benito, UK general insurance analyst at GlobalData, said: “Insurers trying to make the most of an improving pet insurance market will face several challenges.

“A few players tend to dominate the landscape on a country-to-country level, making it vital to differentiate from the competition.

“Additionally, the cost of claims is rising. While this can partly be passed on to pet owners, a rise in insurance premiums may prompt policyholders to reassess their options.”