Middle East & Africa Pet Insurance Market Outlook, 2030

The Middle East and Africa (MEA) pet insurance market presents a unique landscape shaped by cultural, economic, and geographical factors. Historically, pet insurance in the MEA region has been relatively underdeveloped compared to more mature markets, such as North America and Europe. However, in recent years, there has been a growing recognition of the importance of pet health and well-being, driven by changing demographics, urbanization, and an increasing number of pet owners across the region. As a result, the MEA pet insurance market is experiencing gradual growth and expansion, albeit from a relatively low base. The cultural landscape of the MEA region plays a significant role in shaping the pet insurance market.

Pets are often valued members of households, providing companionship, security, and emotional support to their owners. In some cultures, such as in parts of the Middle East, dogs are revered for their loyalty and protective instincts, while cats are cherished for their independence and grace. As a result, pet owners in the MEA region are increasingly seeking to provide the best possible care for their furry companions, including access to veterinary services and medical treatments. The geographical landscape of the MEA region also influences the pet insurance market, with variations in pet ownership rates, economic development, and regulatory frameworks across different countries. In more affluent and urbanized areas, such as in the Gulf Cooperation Council (GCC) countries, pet ownership is on the rise, driven by higher disposable incomes and a growing expatriate population. These countries, particularly the United Arab Emirates (UAE), Qatar, and Saudi Arabia, represent key markets for pet insurance in the MEA region, with increasing demand for comprehensive coverage and value-added services. The selling of pet insurance in the MEA region is concentrated in urban centers and affluent communities where pet ownership is more prevalent. Major cities like Dubai, Abu Dhabi, Doha, and Riyadh are witnessing a growing number of pet owners seeking insurance coverage for their pets, driven by a desire to protect against unforeseen veterinary expenses and ensure the well-being of their furry companions. Insurance providers in these markets are adapting their offerings to cater to the unique needs and preferences of pet owners in the region, including tailored insurance plans, digital platforms for policy management, and access to a network of veterinary clinics and services. The MEA pet insurance market is gradually evolving, driven by changing cultural attitudes, increasing pet ownership rates, and rising demand for comprehensive coverage and services. While still in the early stages of development, the MEA region presents opportunities for insurers to tap into a growing market and meet the evolving needs of pet owners across diverse communities and geographies.

According to the research report, the Middle East and Africa pet insurance market is projected to grow with 11.92% CAGR by 2025-30. The increasing rate of urbanization in developing countries like South Africa, increasing disposable income of people, rising knowledge about pet care, are expected to allow the market to grow at a rate of over 14% in the forecasted period. Pet ownership is on the rise in the region due to the growing number of single professionals, empty-nesters, couples who delay having children and families who need additional guard dogs. Most of the dog insurance demand is met by expatriates as dogs are regarded ‘bad omen’ in Islam.

Some of the key players in the MEA pet insurance market include both regional and international insurance companies, as well as niche providers focusing specifically on pet insurance products. These players are leveraging various strategies to capitalize on the market's potential, including product innovation, strategic partnerships, and digitalization. One of the primary strategies adopted by key players in the MEA pet insurance market is product innovation. Recognizing the diverse needs and preferences of pet owners across the region, insurers are developing innovative insurance products tailored to meet the specific requirements of different pet breeds, ages, and health conditions. This includes offering customizable coverage options, such as accident and illness insurance, wellness plans, and even coverage for alternative therapies and holistic treatments, to provide comprehensive protection for pets and peace of mind for their owners. Strategic partnerships also play a crucial role in driving growth and expansion in the MEA pet insurance market. Insurers are collaborating with veterinary clinics, pet retailers, and online platforms to expand their distribution channels and reach a wider audience of pet owners. By partnering with trusted and established entities in the pet care ecosystem, insurers can enhance their brand visibility, access new customer segments, and offer value-added services, such as discounts on veterinary services and pet products, to attract and retain customers. Digitalization is another key aspect of the MEA pet insurance market, with insurers investing in digital platforms and technology-driven solutions to streamline processes and enhance the customer experience. Online platforms allow pet owners to research, compare, and purchase insurance policies conveniently from the comfort of their homes, while also providing access to digital tools for policy management, claims processing, and customer support.

In Middle-East & Africa, more cats are kept as pets than dogs, as Islam considers dogs to be unclean. There are some regional cat breeds, like the Egyptian Mau that are kept as pets. However, the dog insurance type leads the market with a market share of nearly 75% in the year 2023. The share for dog insurance in the country is more due to higher exposure to illness as the high temperature of the region is unsuitable for them. In South Africa amongst breeds, the Jack Russel Terrier is the most popular enrolled dog, the Domestic Short-Hair the most popular cat, and the African Grey parrot the most popular exotic pet. In the coming years, the market growth rate of the other animal insurance segment is expected to be more than 21%.

The dominance of Accident and Illness policies in the Middle East and Africa (MEA) pet insurance market, particularly with a focus on the health of dogs, can be attributed to several key factors that reflect the unique dynamics of the region. Firstly, pets, especially dogs, are widely regarded as valued members of households in many cultures across the MEA region. Dogs, in particular, hold a special place in the hearts of many individuals and families, often serving as loyal companions, guardians, and sources of emotional support.

As such, pet owners in the MEA region are increasingly recognizing the importance of ensuring the health and well-being of their canine companions, leading to a heightened demand for comprehensive insurance coverage that encompasses both accidents and illnesses. Secondly, the MEA region is witnessing a gradual shift towards a more urbanized and affluent population, characterized by rising disposable incomes and changing lifestyle preferences. As more individuals and families in the region embrace urban living and adopt Westernized lifestyles, the ownership of pets, particularly dogs, is becoming increasingly common. With this rise in pet ownership comes a greater awareness of the potential health risks and medical expenses associated with pet ownership, prompting pet owners to seek out insurance policies that provide financial protection against unforeseen accidents and illnesses. The availability of advanced veterinary care and medical treatments in urban centers across the MEA region has contributed to the growing demand for Accident and Illness policies. Pet owners are increasingly turning to veterinary professionals for preventive care, diagnostic tests, surgeries, and specialized treatments to ensure the long-term health and well-being of their pets. However, the cost of veterinary care can be prohibitive, particularly for complex procedures or chronic illnesses, underscoring the importance of insurance coverage that can alleviate the financial burden on pet owners and facilitate access to quality veterinary care when needed. The increasing urbanization and adoption of Westernized lifestyles in the MEA region have led to changes in pet ownership patterns and behaviors. Urban dwellers are more likely to view their pets as integral members of their families and prioritize their health and well-being accordingly. This shift in attitudes towards pet ownership, coupled with the growing availability of pet insurance products tailored to the needs of pet owners in the region, has contributed to the dominance of Accident and Illness policies in the MEA pet insurance market, particularly in the context of ensuring the health and longevity of beloved canine companions.

The dominance of direct writing as a leading distribution channel in the Middle East and Africa (MEA) pet insurance market can be attributed to several key factors that reflect the unique dynamics and preferences of consumers in the region. Firstly, direct writing offers a convenient and accessible purchasing experience for pet owners in the MEA region. With the proliferation of digital technologies and online platforms, pet owners can easily research, compare, and purchase insurance policies directly from insurance companies without the need for intermediaries such as agents or brokers.

This convenience aligns with the preferences of tech-savvy consumers in the MEA region who value self-service options and prefer to manage their finances digitally. Secondly, direct writing allows insurance companies to reach a wider audience of pet owners across diverse geographies and demographics in the MEA region. By leveraging digital channels and online marketing strategies, insurers can overcome geographical barriers and target pet owners in urban centers, rural areas, and remote communities alike. This broader reach enables insurers to tap into previously underserved markets and cater to the diverse needs and preferences of pet owners, thereby driving growth and expansion in the pet insurance market. The direct writing model offers cost savings and efficiencies for both insurance companies and consumers in the MEA region. By bypassing intermediaries such as agents or brokers, insurers can reduce distribution costs and overhead expenses, allowing them to offer more competitive premiums and value-added services to pet owners. Additionally, pet owners can benefit from streamlined processes, faster policy issuance, and greater transparency in pricing and coverage options when purchasing insurance directly from insurers. The increasing adoption of digital technologies and online platforms in the MEA region, coupled with changing consumer behaviors and preferences, has accelerated the growth of direct writing in the pet insurance market. As more consumers embrace e-commerce and digital banking solutions for their everyday transactions and purchases, the demand for digital insurance products and services, including pet insurance, is expected to increase. Direct writing aligns with this trend towards digitalization, offering pet owners a seamless and user-friendly experience when purchasing and managing their insurance policies online.

Considered in the report

• Geography: Middle East & Africa
• Base year: 2024
• Historical year: 2019
• Forecasted year: 2030

Countries covered:

• UAE
• Saudi Arabia
• South Africa

Aspects covered in the report

• Market Size by Value for the period (2019-2030F)
• Market Share by Animal Type (Cat, Dog & others)
• Market Share by Insurance Type (Accidental and Illness & Accident only endorsement)
• Market Share by End User (Agency, Broker, Bancassurance, Direct writing)
• Market Share by Region
• Market Share by Country
• Market Share by Company

The approach of the report:

We keep an eye on evolving markets and try to evaluate the potential of the products and services. If we find the market interesting, we start working on it and create the desired table of content, considering all aspects of the business. We start by creating separate questionnaires for C-level executives, national/regional sales personnel, company owners, dealers, distributors, and end-users. Once the questionnaires have been finalized, we start collecting the primary data (mostly through phone calls) and try to understand the market dynamics regionally or tier-wise.

This process gives us in-depth details of the market, including all present companies, the top-performing products with reasons why they dominate; we get the details of new players and their innovative approaches; market trends; dynamics; and all the small details of the market. After the collection of primary inputs, we then cross-check the same with secondary sources that include associations, trade journals, annual reports, paid databases, newspapers, magazines, press releases, government sources, etc. From this, we get a rough estimate of the market and start checking existing product price variants, trade, production, raw material scenarios, policies and regulatory landscape, etc. Then, to finalize the market, we start collecting financials of each player present in the market, including limited, private limited, and LLPs. Moreover, we perform cross-industry and cross-region analysis of the product, and based on collected primary inputs and using statistical modeling, we start forecasting the market. We follow our forecasting algorithm, which is unique for each product but gives more weight age to primary inputs. At the same time, the content team starts preparing company profiles, market dynamics, market trends, five forces, PEST analysis, etc. Once the data is verified by the data expert, the team (primary team, content team, and data team) together crosscheck the segmentations, validate the market, and then the designing team starts plotting the graphs. Once the file is ready, the content team completes the report and makes sure that all the discussed points have been covered and provides their valuable inputs in the form of strategic recommendations for new as well as existing players. The QC team then checks the overall report that includes spell check, data verification, and makes the same dispatch ready and error-free.

Intended Audience

This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Finance & Insurance Service industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.