Over the summer, two US pet insurance companies underwent a change in ownership.
The Hartville Group, the folks behind the ASPCA and PetsHealth brands, was acquired by its underwriter, the United States Fire Insurance Company (a subsidiary of Fairfax Financial.) Based upon a reported sales figure of $34 million and using our estimate of 100,000 active policies, this puts the price at approximately $340 per customer.
Embrace Pet Insurance sold a controlling interest to Beauvest for an undisclosed amount. Beauvest acquired the shares owned by Jumpstart and NCT Ventures, the original investors who financed Embrace with just under $3 million back in 2008. While no specific numbers have been disclosed, it has been reported that these investors profited on the sale of their shares.
As both Fairfax and Beauvest are based in Toronto, it appears that Canadians are upbeat on the prospects of the US pet insurance industry.