General Insurance Article - Insurance payouts for pawly pets top GBP1bn for third year

 A record £1.23 billion was paid out in claims across the year, up 4% on 2023. Pay-outs have also more than doubled (+103%) compared to ten years ago. Breaking the figures down, dogs led the pack with £933 million in claims, followed by cats at £232 million, and £61 million for other pets.

 This record pay-out comes as 1.8 million claims were notified to ABI members last year – an all-time high and an average of 4.9k claims per day. The data also reveals that a record-breaking 4.6 million pet owners took out insurance – a 3% increase since 2023 and 33% higher than before the pandemic (2019).

 The average claim cost has risen by 3%, now standing at £685, as pet insurance continues to play a vital role in helping families manage the cost of treatment should their pet need it. For example, the price of treatment for elbow dysplasia, the most common cause of forelimb lameness in young, large and giant breed dogs, can cost over £50,000. While the cost of care needed when a pet eats something they shouldn’t, such as chocolate or raisins which are poisonous to dogs, or a small household item, costs around £4,000.

 Jonathan Purvis, Senior Policy Adviser, General Insurance at the ABI said: “You can’t pull a rabbit out the hat when it comes to paying for veterinary bills, so it’s promising to see more people making sensible choices to protect themselves and their pets financially. Insurance provides peace of mind that costs will be covered if your pet is ill or injured, allowing ‘pawrents’ to focus on caring for their pet at what is already a stressful time.”