Research suggests that 77% of Americans are anxious about their financial situation. Rising cost of living is a major factor in that growing sense of uncertainty. While financial stress is widespread, millennials and Gen Z often have less saved than older generations and are especially vulnerable to increased financial pressure.
At the same time, pets have become an increasingly important part of our lives, especially among members of these generations. In recent blog posts, we touched on the changing perceptions around pet parenting and the role of pets in the workplace. Today, we’re looking at the relationship between the cost of pet care and people’s perceptions of their own financial security—and how pet insurance can help support pet families when the unexpected happens.
Having a pet in the family can bring mental and physical benefits to people of all ages, but it can also be stressful. When a pet starts limping or eats something they shouldn’t eat, many pet parents worry about their pet’s comfort and safety—and how much a trip to the vet may cost.
Unexpected veterinary bills are an acute stressor for pet families, and one that is growing at a higher rate than many others. Between 2021 and 2024, the cost of pet services including veterinary care increased across the pet-care industry, amounting to an average inflation rate of 7.43% per year. According to the Bureau of Labor Statistics, pet services prices have gone up by nearly 25% since 2021 and considerably outpaced the overall inflation rate.
Even worrying about future veterinary bills can add to financial stress. According to Nationwide/Material Holdings research, 50% of pet parents without pet insurance reported worrying about how to pay the vet bill if a pet gets sick. The fear of unexpected veterinary costs doesn’t just affect budgets—it creates anxiety that can make people feel financially insecure overall. This isn’t just about money; it’s about the emotional weight of “what if something happens?” In extreme cases, that anxiety can lead to heartbreaking decisions like delaying or avoiding care because the pet parent feels they can’t afford it.
Pet insurance offers a way for people to feel more secure and protected against unexpected externalities, offering numerous positive benefits in both a pet parent’s personal and professional life.
For example, a recent Nationwide/Material Holdings research study asked employees from various age groups about perceptions of their job, their overall quality of life and how pet insurance plays a factor in each.
We found that 82% of employees at companies offering pet health insurance characterized themselves as “fully engaged” with their work, and 79% said they planned to stay for at least the next 12 months. This positive outlook at work hints at a higher level of stability and engagement. Impact on health was apparent in this area as well, with 71% stating that they rarely missed work for physical or mental health reasons, and nearly two-thirds describing the amount of stress in their lives as acceptable.
Employees with pet insurance are also more likely to say that their employer offers great benefits (+4%) and cares about them as a person (+9%). The option to get pet insurance as a voluntary benefit elevates perceptions about benefits offerings overall (+4%), work-life balance (7%) and the cutting-edge nature of the employer (+14%).
Pets are a source of comfort for many younger workers, and knowing their pets are protected improves their outlook at work and beyond. This holiday season, give yourself the gift of peace of mind and check out Nationwide’s employee-only My Pet Protection Choice® plans, which offer additional features that make protecting your pet convenient, including guaranteed issuance, benefits for lost pets and more.
Does your employer offer pet insurance as part of your voluntary benefits? Search to see if your company is listed at PetsNationwide.com.