California regulators have approved a 29% rate increase for pet insurer Trupanion Inc, set to take effect in late July.
This follows a 12% increase granted in mid-2023 for cat and dog medical coverage. The combined hikes aim to align rates with rising veterinary care costs, the insurer stated.
As per AM Best, Trupanion reduced its net loss to $6.9 million in the first quarter, compared to a $24.8 million net loss in the same period last year. Total revenue increased by 19% to $306.1 million, while veterinary invoice expenses rose to $233.6 million from $194.1 million.
The number of subscription-enrolled pets grew by 11% year-over-year, reaching 1,006,168.
Elsewhere for the company, the board of directors appointed Margi Tooth to succeed Darryl Rawlings as chief executive officer, effective Aug. 1. She will also continue in her role as company president.
On May 17, shares of Trupanion traded at $31.29, down 4.66% from the previous close.
In other recent pet insurance developments, Unum Group announced the launch of Unum Pet Insurance, a new voluntary benefit offering aimed at providing comprehensive coverage for pets.
This addition to Unum’s portfolio of workplace benefits and services was in response to the growing demand for pet-related benefits among employees and aims to offer a holistic approach to family care.
Meanwhile, in a recent interview with Insurance Business, Spot Pet Insurance’s president, Scott Taylor, said that the awareness around pet health has hit fever pitch, prompted in part by better financial planning and the continued humanization of animals as more than just a companion, but a family member.
“I think part of that trend could be the awareness of pet health insurance - it’s just not for when you get a new pet, it’s also for people who are seeing veterinary costs rise considerably and are looking for that financial relief that pet insurance brings,” Taylor said.
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