Latest investments in the pet insurance sector

The global pet insurance market was estimated at around $10.8 billion (€9.9B) in 2023, with a yearly rate forecast of 16–17% until 2030, when it could reach an estimated market value of $32.7 billion (€29.8B).

GlobalPETS takes a look at the latest investment and merger-and-acquisition (M&A) developments in the field.

Rainwalk Technology seeds $4 million

The pet insurance technology provider has completed a seed funding round of $4 million (€3.7M) led by venture capital firm ManchesterStory.

The capital injection also includes participation from investment firms like Insurtech Gateway, Bridge Investments, Seaplane Ventures and other insurance and reinsurance executives.

The company says the capital will “fuel investments in [the] people, product and tech that power alternate distribution channels and further differentiate Rainwalk’s pet health ecosystem in the marketplace.” 

Founder and CEO Joshua Snead attributes the investment to Rainwalk’s scalable and cost-effective continued channel growth opportunities and the team’s prioritization of product design, seamless pet insurance integrations and exceptional operations support.

Admiral acquires RSA’s insurance business

British financial group Admiral has completed the acquisition of multinational RSA Insurance Group’s home and pet insurance renewal rights. RSA is a wholly-owned subsidiary of Canadian property and casual insurance group Intact Financial Corporation. 

The transaction closed for a sum of £82.5 million ($103.3M/€96.4M), with a further potential payment of up to £32.5 million ($40.7M/€38M) based on the number of policies “successfully migrated” to Admiral. 

This includes renewal rights, the “More Than” brand and the transfer of 300 people to Admiral but does not include the liabilities relating to existing policies, which will remain with RSA. 

Admiral states it will start renewing the policies in the third quarter of 2024. 

“We are accelerating our diversification strategy as well as enhancing our existing capabilities in risk selection and claims management to help even more people to look after their future,” said Milena Mondini de Focatiis, CEO of Admiral Group.

The acquisition was first announced in December last year after Admiral expressed interest in entering the pet insurance space in 2022 in a bid to diversify its product offerings and build “multi-product customer relationships” in its core market. 

Chubb to acquire Healthy Paws

The US-headquartered insurance provider is set to purchase Healthy Paws, a managing general agent (MGA) that specializes in pet insurance by global professional services firm Aon. 

The transaction—expected to close in the second quarter of the year—will enable Chubb to expand its reach in this potentially lucrative niche segment. 

The acquisition will also allow the 2 companies to expand their footprint and amplify Healthy Paws’ impact in a “vastly underpenetrated market.” 

“As part of Chubb, Healthy Paws will empower more pet owners to fund medical care and navigate the rising costs of veterinary care,” says a Chubb spokesperson. 

Since 2013, Chubb has been Aon’s exclusive underwriter of the Healthy Paws pet insurance program. Their long-standing relationship positions the 2 companies for accelerated growth and a “seamless transition” for employees, customers and business partners.

Healthy Paws currently serves over 500,000 cats and dogs in the US, and Chubb operates across 54 countries.