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The sight of a still limited penetration rate has led several players to take an interest in the French market. Their number has thus multiplied in recent years. The group includes insurtechs acting as courtiers and collaborating with traditional insurers. However, the efforts they have made do not seem to have been enough to increase the attractiveness of the product to customers.
France is one of the countries with a low rate of equipment in terms of insurance for dogs and cats. This level provides the attention of several actors who wished to improve the situation. Unfortunately, the initiatives they have undertaken have not yielded the expected results. The number of customers taking out pet insurance remains small. The reasons for their hesitation are numerous, including the price and the extent of the associated coverage. A few structures have nevertheless managed to position themselves well on the market. The others renew their offers and their policy so as to approach the expectations of the targeted consumers.
An equipment rate below 10%
SantéVet is one of the players who have succeeded in making a name for themselves in the still underdeveloped animal insurance market. Its size and the scope of its activities give advantages to this structure. Cash approximately 300,000 animals insured, it is now working on its international development. Several insurtechs are also evolving in the sector, each with their own policy. Kozoo, Injoye and Dalma are among those who distribute only one product. Lovys and Acheel bet on diversification, soon followed by Today.
All of these companies see real opportunities in the pet insurance market. Lovys evokes a continuity for its activities by associating it with other services like theHome Insurance. This neo-insurer entered the field in 2021. This was followed by the takeover of Otherwise, which enabled it to benefit from a portfolio made up of nearly 6,000 policyholders.
According to estimates, the equipment rate for animal insurance is 6 to 10% in France. It is far from the figures of United Kingdom with its 35%, where ManyPets Group helped promote this product. The latter brings together half a million policyholders to date. He is also active in Sweden where more than 85% of pets are covered by an insurance contract.
Warranties disclaimers hold customers back
The penetration rate, already limited in France, is difficult to assess. Several obstacles to the development of pet insurance were mentioned. the rate is one of them, the weight of which is felt by making a comparison with guarantees for owners. As experts point out, it is difficult for households to imagine spending more for the benefit of their animals than for themselves.
Price traps professionals in a vicious circle. High, it puts off potential customers. On the other hand, doubts as to the relevance of the offer arise when it is too accessible. Added to this question is that of warranties and exclusions. The claims that are not covered are numerous and the offers convince few consumers. In other cases, households only think about insurance after a disaster or a visit to the veterinarian. Most then look for a preventive solution rather than insurance coverage.
Otherwise, the entry of insurtechs into the sector has not had the expected effect. The resulting modernization is little felt by users. At Today, a new offer called Drooky was launched in May 2022. The aim is to offer a contract that will be managed internally and automatically. This new policy should help it reduce contract management costs.