Hongkongers are buying more pet coverage, propelling insurer OneDegree to a profit
“We have witnessed Hong Kong pet owners raise more dogs and cats over the past few years during the Covid-19 pandemic,” Alvin Kwock, co-founder of OneDegree, said in an interview. “They are also concerned more about the health of their pets, whom they treat as part of their families.”
Kwock said the group’s first profit, which came in the July-to-September quarter, was driven in part by products that cover medical costs when dogs, cats – and even birds – get hurt or sick.
The company said 64 per cent of its insurees are cats; the rest are dogs, save for a few birds. About 75 per cent of owners are buying insurance for only one animal, though one client is shelling out to cover 11 pets.
Pet ownership in Hong Kong has become more popular of late, with the number of cats, dogs and other domestic animals rising by 50,000 to 1.19 million between 2018 and 2023, according to Statista, a German firm that specialises in data gathering and visualisation.
In Hong Kong, animal owners spend an average of nearly HK$700,000 (US$89,467) on care-related items and services over their pets’ lifetimes, putting them among the top spenders in this category in the Asia-Pacific region, according to a survey released by OneDegree in March. Food is the most expensive pet-related purchase, it said, followed by medical costs.
