Some useful insights here from CRIF;
The UK leads Europe for having the highest proportion of pet insurance policyholders, but Brits are paying the price for being a nation of animal lovers, new research finds.
The findings from CRIF – a global leader in credit and insurance information, analytics and solutions – show three in ten (29%) UK consumers hold pet insurance, more than double the average for the rest of Europe (12%). The UK is also the only country surveyed where pet insurance is more widely held than health insurance (29% vs. 19%).
But this devotion to their pets is costing Brits, with nearly half (47%) of UK policyholders saying vet costs are now a major financial concern for them – the highest in Europe and far above the average across other markets (38%). As a result, over one in five (22%) UK policyholders say cost increases mean they regularly worry about being able to afford their pet insurance at all.
Vet costs have risen significantly in recent years, with government figures showing fees have increased at nearly twice the rate of inflation. UK policy owners are now the least likely in Europe to feel any relief on price, with just 7% believing pet insurance premiums have stabilised or started to fall.
Despite this financial pressure, for many owners their pet cover remains non-negotiable, with a quarter (25%) of UK policyholders saying their pet insurance would be the last type of insurance they would cancel.
CRIF’s findings come after the Competition and Markets Authority (CMA) announced extensive reform of UK veterinary services. Confirmed measures include caps on prescription fees, mandatory price lists and written estimates for treatments over £500, with the reforms beginning to come into force from September 2026.
Sara Costantini, Regional Director for the UK & Ireland at CRIF, said: “The UK is a nation of pet lovers and it shows – nowhere else in Europe is pet insurance so widely held, and for many owners it is the last policy they would ever give up. But that devotion is being tested. UK owners are the most worried in Europe about vet costs and the least likely to feel premiums are easing.
“The CMA has been clear that pet owners have too often been left in the dark over veterinary costs, but those expectations for improvement extend far wider. Insurers also play a critical role helping owners protect their pets. They should see this as a moment to get ahead, utilising the latest data and analytics innovations to offer more accurate policies and to settle claims faster, helping keep this vital form of cover accessible and reliable for owners who need it.”
While the CMA’s reforms are aimed at veterinary practices, CRIF’s research finds three in ten (30%) UK policyholders think insurers need to do more to ensure pet insurance policies are affordable and consistent, while a quarter (25%) believe they need to do more to ensure their policies are clearer and have more transparent pricing and terms.
The research findings form part of CRIF’s 2026 Banking on Banks report series. The first report, launched in June, looks at the biggest financial pressures currently facing European consumers and businesses. The second report, due to be published later this year, will look at the financial services gap between consumers and businesses.
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