Packaged food for cats is displayed at a pet fair at COEX in southern Seoul, Jan. 19. Yonhap
By Yi Whan-woo
Pet lovers are spending more to better care for their animals, prompting credit card companies and insurers to increase the number of benefits for their customers as well as launch new products and services that suit their needs.
According to think tank KB Financial Group, a total of 5.52 million households owned companion animals in 2022. The number reached 25.7 percent of the country’s total households, an increase of 2.8 percentage points from the previous finding in 2020.
Expenditure on veterinary hospitals averaged 787,000 won ($590) in the 2020-22 period, an increase of 319,000 won from the 2019-21 period.
During the mentioned period, the average spending for food, toys, salon, bath and other pet care products and services increased by 14,000 won to a total of 154,000 won.
Against this backdrop, Woori Card sees a 160 percent year-on-year increase in 2022 in the issuance of its credit card, which offers a 10 percent price discount on a wide range of care services. animal
Both Samsung Card and KB Kookmin Card have also launched credit cards that offer a 30 percent discount on spending at veterinary hospitals and pet stores.
Insurance companies are expanding rapidly in the pet-related insurance sector, as it is estimated to grow by 20 billion won annually, as the government announced that it will develop it as a strategic industry.
Samsung Fire & Marine Insurance has launched insurance that offers 100 percent coverage on surgery and other veterinary services.
Samsung Life Insurance plans to set up a subsidiary that deals exclusively in pet care-related insurance. It also invested in Woorien, a company specializing in scanning devices for pets.
