Pet spending

Did you know that according to the American Pet Products Manufacturers Association, Americans spent about $43.4 billion on their pets in 2008? That's a 5.5% increase from 2007 (40.3 billion), and more than double what pet owners spent a decade ago. Apparently, high-end products and services (like luxury pet gifts, pet spas, and doggy day cares) are becoming more popular, resulting in the spike in spending. In addition, it appears that pet health insurance is the new hot item. "Our pets are being treated like members of the family," said Bob Vetere, president of APPMA. "Pet owners want to protect themselves and their pets against unexpected medical expenses." APPMA also anticipates that more owners will start subscribing to pet insurance. Currently, less than 1% of the pet-owning population carries health insurance for their pet, but APPMA estimates this will increase to 5-7% over the next few years.