Pet Insurance Barometer Canada & World 2025: The Complete Report
Canada stands out as a nation of pet lovers, with over 60% of households owning at least one dog or cat and a total companion animal population exceeding 16 million. Pets are widely regarded as true family members, and Canadians rank among the world’s highest spenders on veterinary care, with average annual costs reaching CAD 2,500 to 3,000 for dogs. Yet the share of insured pets remains modest — only 3.2% are covered by health insurance as of 2025, far below Sweden (91%) or the UK (25%), even as more than half of Canadian owners say they could not afford an unexpected CAD 1,000 vet bill.
The Barometer 2025 aims to provide an unprecedented comparative analysis of global and Canadian pet insurance: measuring the protection gap, highlighting the barriers and drivers of market growth, and examining Canada’s emerging digital landscape and unique challenges within the international context.
2025 Global Ranking of Pet Insurance: How Does Canada Score?
While pet insurance adoption is expanding worldwide, coverage rates vary sharply between mature, emerging, and underdeveloped markets. Canada ranks #17 out of 22, underscoring an insurance sector that is still emerging, with low but steadily rising uptake—evidence of growing pet care awareness and a pet economy in transition.
- 🇸🇪 Top-ranked country: Sweden – over 90% of pets insured
- 🇬🇧 Mature markets: United Kingdom reaches 25% coverage rate
- 🇩🇪🇫🇮 Northern/Western Europe: coverage ranges from 20% to 23%
- 🇺🇸🇨🇦 North America: both US (3.9%) and CA (3.8%) remain below global leaders but are experiencing steady growth
- 🇫🇷🇪🇸 Other European markets: most countries remain below or near 5% penetration
- 🇨🇳 Emerging Asia: China, despite having 220M pets, remains below 2% insured
- 📈 Global market growth is strong, with leading markets still expanding by 7–18% annually
- 💡 Coverage rates consistently mirror local veterinary costs and consumer trust in insurers
- 🐶 Large gaps persist in product availability, digital access, and policy simplicity
| Rank | Country | 🐾 Total Pets | 📊 Coverage Rate (% + insured) | 📈 Growth Rate | 🗓️ Year Introduced | 🏢 Active Insurers |
|---|---|---|---|---|---|---|
| 1 | 🇸🇪 Sweden | ~2.2M | 91% (2.0M) | +4% | 1924 | 4 (Agria dominant) |
| 2 | 🇬🇧 United Kingdom | ~26.0M | 25% (4.8M) | +16% | 1976 | ~86 |
| 3 | 🇫🇮 Finland | ~1.5M | 23% (~345k) | +7% | 1995 | 3-5 |
| 4 | 🇩🇪 Germany | ~26.4M | 20% (5.3M) | +13% | 1994 | 15+ |
| 5 | 🇨🇭 Switzerland | ~3.0M | 9% (~230k) | +15% | 2005 | 6+ |
| 6 | 🇮🇪 Ireland | ~1.0M | 9% (~90k) | +12% | 2005 | ~6 |
| 7 | 🇦🇺 Australia | ~11.3M | 7% (~790k) | +18% | 2005 | 10+ |
| 8 | 🇧🇪 Belgium | ~3.2M | 6% (~190k) | +11% | 2005 | 6-8 |
| 9 | 🇮🇹 Italy | ~19.0M | 6% (~1.1M) | +15% | 2010 | 3+ |
| 10 | 🇵🇹 Portugal | ~5.1M | 5% (~255k) | +12% | 2015 | 2-3 |
| 11 | 🇭🇰 Hong Kong | ~0.5M | 5% (25k) | +18% | 2012 | ~5 |
| 12 | 🇳🇱 Netherlands | ~4.8M | 5% (240k) | +15% | 2000 | 4+ |
| 13 | 🇫🇷 France | ~22.6M | 5% (1.1M) | +8% | 2005 | 5+ |
| 14 | 🇦🇹 Austria | ~3.0M | 4% (120k) | +15% | 2005 | 4+ |
| 15 | 🇱🇺 Luxembourg | ~0.17M | 4% (~7k) | +15% | 2015 | ~6 |
| 16 | 🇺🇸 United States | ~163.5M | 3.9% (6.4M) | +13% | 1982 | ~30 |
| 17 | 🇨🇦 Canada | ~16.4M | 3.8% (619k) | +7% | 1990 | 5–8 |
| 18 | 🇨🇿 Czech Republic | ~3.3M | 2.5% (~83k) | +18% | 2005 | 3-4 |
| 19 | 🇪🇸 Spain | ~15.1M | 2% (~300k) | +16% | 2014 | 5-6 |
| 20 | 🇨🇳 China | ~220.0M | <2% (4.4M) | +28% | 2004 | 20+ |
| 21 | 🇦🇪 U.A.E. | ~0.5M | <1% (<5k) | +15% | 2015 | 3-4 |
| 22 | 🇲🇦 Morocco | ~0.5M | <1% (<1k) | +5% | 2020 | <2 |
Here are the main global drivers and barriers affecting pet insurance adoption, viewed through the Canadian experience:
- Cultural perception of pets In Canada, pets are widely viewed as family, fueling market potential; by contrast, in countries like China or Morocco, pets are often considered working animals, resulting in very low insurance uptake.
- Legal or institutional incentives Canada has no legal requirement or public incentive for pet insurance, while in Sweden, strong consumer protection and social norms support coverage rates above 90%.
- Veterinary cost structure and affordability High and rising vet bills in Canada create financial risk (many owners cannot afford a major emergency), but out-of-pocket culture persists, unlike in the UK, where high costs are a strong trigger for insurance.
- General insurance habits and trust in insurers Canadians have moderate insurance literacy and some skepticism about value for money; in contrast, British households are highly accustomed to insuring pets and property, raising adoption rates.
- Market maturity and product availability The Canadian market remains dominated by a handful of major players, limiting options and keeping penetration at 3.8%, while the UK and Sweden feature dozens of insurers, customized plans, and strong digital tools that boost uptake.
Pet Insurance Coverage Worldwide: Penetration Rates by Country
Pet Insurance Coverage Rates by Country Share of pets covered by insurance in 2025 (selected countries)
Focus on pet insurance in Canada
Key Insights – Pet Insurance in CA in 2025
- 🐾 Pet ownership: 60% of households own pets; most popular species: dogs (esp. Labradors, mixed breeds) and cats (domestic shorthair)
- 🛡️ Insurance coverage rate: 3.8% of pets insured in 2025 (vs 91% in Sweden, 25% in UK, 5% in France, 5% in US)
- 💰 Veterinary costs: avg. CAD 2,500–3,000/year for dogs, CAD 1,800–2,000/year for cats; costs rising steadily over 10 years
- 📈 Market size: CAD 470 million GWP in 2025, with CAGR of 10–13% projected through 2030
- 📦 Typical insurance product: Comprehensive or accident & illness plans with annual caps CAD 5,000–20,000; avg. premium: CAD 50/month for dogs, CAD 30/month for cats
- 🧩 Competitive landscape: Dominated by Trupanion, Petsecure, Desjardins, Petplan, and Sonnet; top 3 insurers control 80%+ of market
- 🔮 Future trends: Rapid digitization, smart device integration, AI-driven claims, and consumer push for simpler, more inclusive policies
🐾 How pets fit into Canadian homes and culture
Pet ownership is deeply woven into Canadian society—about 60% of households have at least one dog or cat in 2025, a figure that’s held steady over recent years.
Estimates put the total number of pet dogs and cats at roughly 16.5 million, with dogs and cats being the most loved companions. Labrador Retrievers and mixed breeds top the dog popularity charts, while the domestic shorthair leads for cats.
Most Canadian pet owners view animals as full members of the family, emphasizing emotional attachment and social inclusion. Pets often feature in household activities, community events, and even workplaces. While working animals like guide dogs and farm dogs exist, “pet parenthood” rather than utility shapes current attitudes.
🛡️ Adoption of pet insurance: A slow but steady climb
Despite high pet ownership, only 3.8% of Canada’s pets had health insurance in 2025—a slow increase from 1.5% a decade ago.
Canada lags far behind markets like Sweden (91%), the UK (25%), and France (5%). Even in the US, penetration is now over 3,9%.
Dogs are far more likely to be insured than cats (70% of policies go to dogs), and younger, purebred animals feature prominently among policyholders.
Urban, digitally savvy Canadians aged 25–45 are most likely to buy policies, often for higher-value or purebred pets.
Skepticism remains widespread: many owners believe vet bills can be handled out-of-pocket, see policies as complicated or costly, or underestimate the risk of expensive emergencies. The barriers remain affordability, perceived usefulness, and lack of awareness.
💰 The cost of caring for a pet: Health, emergencies, and financial risk
The annual cost of caring for a dog in Canada averages between CAD 2,500–3,000; for a cat, it’s CAD 1,800–2,000. Vet bills are a significant share of this spend.
A typical emergency vet visit costs CAD 800–2,000, diagnostic tests like X-rays CAD 200–500, and surgeries can spike from CAD 1,500 to 5,000 or more.
More than half (53%) of Canadian pet owners say they could not afford a sudden vet bill of CAD 1,000 or higher.
Rising veterinary costs over the last 10 years have made budgeting for unexpected care harder, pushing some Canadians toward insurance but also causing others to forgo coverage due to rising premiums.
📈 A look at the pet insurance market: Size, growth, and demographics
Canada’s pet insurance market reached CAD 470 million in gross written premiums (GWP) in 2025, up from less than CAD 250 million in 2020—a 13% compound annual growth rate.
Despite this progress, the market remains “emerging,” with about 619,000 policies and no public incentives or obligations.
The top three insurers (Trupanion, Petsecure, Desjardins) account for more than 80% of the market, mostly targeting urban, higher-income households.
Growth is projected at 10–12% annually through 2030 as awareness and digital distribution expand, especially among younger, tech-forward consumers.
📦 What’s covered: Products, prices, and the fine print
Most Canadian insurers offer tiered plans:
- Accident-only
- Accident & illness
- Comprehensive (with or without preventive care add-ons)
Typical reimbursement caps range from CAD 5,000–20,000 per year, with deductibles of CAD 100–500 and co-pays between 10–30%.
Unlimited plans are rare; most buyers opt for mid-range coverage at around CAD 50/month for dogs and CAD 30/month for cats.
Preventive care—vaccines, dental, annual checkups—is often an optional add-on. Some insurers provide benefits like 24/7 vet helplines, telemedicine, and even direct payment to clinics.
The most common exclusions are pre-existing conditions, upper age limits (often for pets 8+ years), and breed-specific health problems.
🧩 Who are the main players? Mapping out market leaders
The Canadian market is concentrated. Trupanion, Petsecure, Desjardins, Petplan, and Sonnet are the biggest names, with Trupanion and Petsecure leading in policy count and premium volume.
Global players like Trupanion and Petplan are present, while Sonnet (a digital-first insurer) is a recent entrant.
There’s a mix of traditional insurance, tech-driven challengers, and vertically integrated models (e.g., Trupanion’s direct billing with vet clinics).
Mergers and new launches mark the competitive landscape: Trupanion expanded its Canadian footprint in 2024, and several “insurtech” startups are competing for younger, online-native pet parents.
🔮 Tomorrow’s pet insurance: Digital disruption and smart pet tech
Over 70% of new pet insurance policies in Canada are now purchased online, and most major insurers offer digital claims, app management, and instant policy management.
Smart collars, wearables, and home vet tech are increasingly piloted as part of “pet wellness” packages or for usage-based premiums.
AI-powered claims and telehealth startups are on the rise, aiming to streamline reimbursement and enhance preventive care.
Regulation has so far remained light, but future policies may address disclosure, product transparency, or breed-based discrimination.
Consumers are demanding simpler, more flexible plans with better coverage for chronic and pre-existing conditions, and they expect claims to be processed quickly—ideally with one tap and zero paperwork.
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’s global insurance observatory. 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) – Rising veterinary prices lead to higher insurance costs (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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