MetLife Expands into Fast-Growing Sector: Pet Insurance
From Wall Street Journal
Dec. 5, 2019 7:00 am ET
MetLife Inc. said Thursday it purchased pet insurance company PetFirst Healthcare LLC, expanding into a growing industry as it aims to widen offerings and boost sales.
Pet insurance premium volume more than doubled in the U.S. to $1.28 billion in 2018 from $588 million in 2014, according to trade group North American Pet Health Insurance Association. A total of 2.15 million pets—mostly dogs—are insured.
Yet just 2.3% of U.S. pets are covered, the pet association’s figures show, making some industry executives bullish about growth prospects. In contrast, almost a quarter of pets are insured in the U.K.
Much like pet owners’ health insurance policies, pet insurance bears annual premiums, deductibles and copayments tied to claims stemming from accidents and illnesses, according to trade group Insurance Information Institute. Nationwide Mutual Insurance, Trupanion and Healthy Paws are among the leaders in U.S. market share.