The coronavirus pandemic has caused unprecedented challenges for both insurance providers and consumers. Last month, CEO of LV General Insurance Group (LV GI) Steve Treloar confirmed that 600 roles are at risk of redundancy across LV GI and Legal & General. Despite these setbacks, there is still significant growth opportunities for the pet insurance sector as a result of the sharp increase in pet ownership during lockdown – according to the recent UK Insurance Consumer Survey from GlobalData.
Room for ‘pet-ential’
One company noticing the potential in the sector is US insurance provider Lemonade. Last month the company introduced its own pet insurance policies, entering a new sector for the first time since the launch of its home owners insurance policies in 2016. This decision came after the company identified a gap in the market: 70 percent of their customers who had home insurance were also pet owners, yet only an estimated two percent of pet owners in the United States have insurance for their animals.
A global impact
The global pet insurance market is predicted to grow at a considerable rate in the years ahead, expanding to $11.25 billion by 2026. As the market shifts, insurance providers are embracing digital transformation to provide them with the tools to gather and analyse large amounts of data more efficiently, allowing them to offer more accurate premiums to their customers.
At Aquarium, we are providing insurers with a pet insurance software solution “in a box” which enables them to do this as well as manage other key processes such as claims management and customer service automation. With our client base already spanning Europe, North America and Asia, we want to continue provide the gold-standard solution on a global scale as the pet market thrives.