The rise of pet businesses in Australia: Why insurance matters

If you’ve noticed more dogs being walked in groups, more boutique grooming salons popping up, or even mobile pet sitters in your suburb – you’re not imagining it. Australia’s pet industry is absolutely booming.

With around 73% of Australian households owning a pet and an estimated 31.6 million pets nationwide (according to industry research such as the Animal Medicines Australia National Pet Survey), it’s no surprise that pet-related services are growing just as fast. Australians are spending big too – around $33 billion a year on pets and pet care.¹

And while this growth is exciting for pet business owners, it also brings new challenges. More clients, more animals, and more services naturally mean more responsibility – and more risk.

In this article, we’ll break down what’s driving the rise of pet businesses in Australia, the risks that come with it, and why insurance is becoming more important than ever for anyone working with animals.

What’s driving the rise of pet businesses in Australia?

The short answer? Australians love their pets – and they’re treating them more like family than ever before.

As pet ownership has increased, so has demand for services that support busy modern lifestyles. People are working longer hours, travelling more, and looking for trusted professionals to care for their animals.

This has created a surge in pet-related businesses, including:

• Dog walking services
• Pet sitting and home boarding
• Grooming salons
• Mobile grooming vans
• Dog training and behaviour services
• Pet transport and day care services

What used to be a side hustle for animal lovers is now a $2.2 billion+ pet services industry, and it’s still growing.

But with that growth comes a simple reality: more pets, more people, and more moving parts.

How does this growth affect pet business owners?

When demand rises, expectations do too.

Pet owners today expect high-quality, professional care – and rightfully so. They’re trusting you with a member of their family. But that also means the stakes are higher than ever.

Here’s what’s changing for pet businesses:

More pets in your care at once

Whether you’re walking multiple dogs or running group training sessions, managing several animals increases the chance of accidents or unexpected situations.

Higher expectations from clients

Clients expect clear communication, safe handling, and consistent care. Even small misunderstandings can lead to complaints or disputes.

More variety in services

Many businesses now offer add-ons like grooming, transport, or behavioural training. Each service introduces its own risks.

It’s one of those things you don’t think about – until you really need to.

What should pet business owners know about risk?

Working with animals is incredibly rewarding, but it’s also unpredictable. Even well-trained pets can behave unexpectedly, especially in unfamiliar environments or group settings.

Some common risks include:

• A dog injuring another animal during a walk
• A pet escaping while in your care
• Property damage at a client’s home
• Accidental injury during grooming or handling
• Transport-related incidents

And sometimes, it’s not even about fault – accidents just happen.

That’s why many pet business owners start thinking more seriously about protection as their business grows.

Does insurance matter for pet businesses?

This is where insurance can play an important role in helping pet business owners feel more secure.

While coverage varies depending on the policy, pet business insurance is generally designed to help protect against common risks like liability claims, accidents, or unexpected incidents involving animals in your care.

It’s not about expecting something to go wrong – it’s about being prepared if it does.

For example, insurance may help in situations involving:

• Third-party injury or property damage
• Accidental harm to a pet in your care
• Legal or compensation costs if a claim is made

Of course, every policy is different, and things like pre-existing conditions or specific exclusions may apply. It’s always important to read the details carefully so you know exactly what’s included.

Here’s a simple way to think about it:

Without insurance:

• You may need to cover unexpected costs yourself
• Legal or compensation claims could impact your finances
• Business disruption can be harder to recover from

With insurance (depending on policy):

• Financial protection against certain incidents
• Support during claims or disputes
• More confidence taking on clients and growing your business

Practical tips for pet business owners

If you’re running (or planning to start) a pet business, here are a few simple but important things to keep in mind:

• Understand your risks early. Think about the type of animals and services you work with most.
• Set clear client expectations. Simple agreements can help avoid misunderstandings later.
• Keep detailed records. Notes on behaviour, incidents, or instructions can be incredibly helpful.
• Invest in training. Even basic animal handling or behaviour courses can reduce risk.
• Review your insurance regularly. As your business grows, your needs may change too.