Pet insurance continues to carve out a larger place within the insurance marketplace as pet ownership rises and veterinary care costs increase. Once considered a niche product, pet insurance has become one of the fastest-growing segments in the property and casualty industry, attracting both established carriers and new market entrants. According to a recent AM Best report, total pet health insurance direct premiums written (DPW) increased 17% in the first quarter of 2026 compared to the same period in 2025, with analysts expecting additional growth in the years ahead.
Several factors are fueling this momentum. Pet ownership surged during and after the COVID-19 pandemic, and many owners now view their pets as family members rather than household animals. As a result, pet owners are increasingly willing to pursue advanced treatments, specialty care, behavioral services, and emergency procedures that can come with significant costs. AM Best notes that these trends, combined with rising veterinary expenses, are creating favorable conditions for continued premium growth throughout the pet insurance sector.
Despite its rapid expansion, the pet insurance market remains highly concentrated.
The top 10 insurers account for approximately 98% of all pet insurance premium written within the property and casualty industry. Trupanion Insurance Group led the market in 2025, representing more than 20% of total premium volume.
The segment’s growth has not gone unnoticed by major carriers. Earlier this year, Progressive announced further investment into pet insurance products for cats and dogs underwritten by Progressive and its affiliated underwriting companies and administered by Companion Protect. The move signals confidence in the long-term prospects of the market and reflects a broader trend of large insurers expanding their personal lines offerings to meet evolving consumer needs.
For Ohio insurance professionals, the increased focus on pet-related coverage extends beyond pet health insurance alone. In 2026, Ohio implemented Avery’s Law, which requires owners of dogs designated as dangerous or vicious to maintain at least $100,000 in liability insurance coverage. While the legislation is separate from pet health insurance products, it illustrates the growing role insurance plays in helping pet owners manage both the financial and liability risks associated with pet ownership.
As carriers continue investing in new pet insurance solutions and consumers seek ways to manage the rising cost of pet care, industry observers expect the market’s upward trajectory to continue. For independent agents, the trend represents another example of how changing consumer lifestyles are creating demand for new insurance products and coverage conversations. Whether through pet health insurance, liability considerations, or broader household risk management, pets are becoming an increasingly important part of the insurance discussion.
The full report from AM Best can be found by visiting: https://www3.ambest.com/ambv/sales/bwpurchase.aspx?record_code=367127&altsrc=
About the Author:
Alex Bowie is a marketing professional currently serving as the Senior Manager of Marketing & Communications at the Ohio Insurance Agents Association, Inc. (OIA). In this role, he leads the association’s marketing and communication strategies, elevating OIA’s brand presence and member engagement. His prior experience in the insurance sector—particularly at the insurtech company, Branch—has been instrumental in enhancing OIA’s outreach and engagement efforts.
Sources:
Best’s Market Segment Report: US Pet Insurance Plans Show Rapid and Profitable Growth (AM Best)
TMC News
Progressive Insurance Introduces Pet Insurance for Cats and Dogs
Ohio Enacts New Liability Insurance Requirement for Vicious Dogs Under Avery’s Law (Written by FBT Gibbons LLP), JD Supra
Ohio Laws & Administration Rules, Service Legislative Commission
