Kanguro Seguro, a Miami-based insure-tech startup, is betting on tech-savvy Hispanic consumers and their love for pets to grow in the relatively underpenetrated U.S. pet insurance market. Portada interviewed Andrés Mishaan, CEO, and Nick Hanabergh, President of Kanguro Seguro, to learn more about this unique opportunity.
The global pet insurance market was valued at USD 9.4 billion in 2022 and is estimated to expand at a compound annual growth rate (CAGR) of 17.04% from 2023 to 2030. The growing pet population, adoption of pet insurance in underpenetrated markets, increasing veterinary care costs, initiatives by key companies, and humanization of pets are some of the key drivers of this market. Challenges related to the COVID-19 pandemic (e.g., shift to work from home, higher health risks) have also accelerated the growth of pet insurance.
According to Miami-based pet insurance start-up Kanguro Seguro, there were 4.4. million insured pets in 2022, out of a total of 160 million pets in the U.S., contributing to a growth rate of 28% of the U.S. pet insurance market. The pet insurance opportunity is particularly appealing for Hispanic pet owners. Kanguro Seguro’s Andrés Mishaan, CEO, and Nick Hanabergh, President, tell Portada that “67% of American households, or about 85 million families, own a pet, according to the 2019-2020 National Survey of Pet Owners. Between 2007 and 2016, the number of Latinos with pets in their homes skyrocketed from 11.4 million to 20.4 million as the rate of pet ownership among Hispanics increased from 40% to 55%. Our top breeds at Kanguro are Mixed Breed, French Bulldog, Golden Retriever, Goldendoodle, and Yorkie.” The Kanguro Seguro executives claim to be “the only insure-tech that offers an end-to-end experience 100% bilingual and 100% digital, with a team of real people serving the needs of our customers.”
Asked about how they expect pet insurance to develop in upcoming years, Mishaan and Hanabergh say that they analyze Kanguros Seguro’s growth opportunities based on data from the UK insurance industry, one of the oldest insurance markets in the world. “Currently, a 60% average growth rate of dog and cat owners adopting insurance policies represents a lot of opportunity. Even though pet insurance in the UK has been offered for years before the USA, there is still much room for growth across geographies and insurance sectors.” “We built an insure-tech to keep up with the rising demands of the tech-savvy consumer and digital marketplace,” the Kanguro Seguro executives claim.
Kanguro Seguro: Insure-Tech is Appealing to Latinos
Kanguro offers a bilingual shopping experience to assist Spanish speakers. Users can obtain a quote online or through the Kanguro app. Coverage is available in Arkansas, Arizona, Colorado, Florida, Georgia, Idaho, Indiana, Kansas, North Carolina, Nebraska, New Mexico, Nevada, Oklahoma, Oregon, Texas, Utah, and Wyoming. At the end of 2023 Kanguro Seguro will enter the New York and California markets.
Mishaan and Hanabergh explain that the insurance marketplace tends to offer traditional companies their traditional product offering, and the newer insure-techs offer newer and more dynamic services. “It depends on what’s in the company’s DNA. Latinos are extremely tech-savvy and spend more time on their mobile phones than other demographics. According to Nielsen, Hispanics spend more than 14 hours on their phones weekly. The supercomputers they have in their pockets provide an unparalleled opportunity to better serve your customer by getting in front of them to present your solution. The community uses their phones for research, entertainment, and purchasing. The banking sector has evolved rapidly and aggressively over recent years. The new fintech ecosystem is proof of that. The insurance sector is one step behind but quickly evolving.”
Pet Insurance Marketing
The effort to understand the pet insurance client starts at Kanguro Seguro: “Everyone on our team is a pet parent,” Mishaan and Hanabergh assert. They add that they “understand what having your dog or cat sick or injured means. It’s an emotion that you feel deep inside, as pets are family members. We’re proud to offer a product that serves the needs of pets and their owners to keep them happy and healthy.”
Kanguro Seguro started partnering with employee benefit platforms to offer its comprehensive medical insurance for cats and dogs as an employee benefit available to their workforce. For direct-to-consumer marketing, Kanguro Seguro has invested in social media channels to create a long-term impact on how they can gain and react to feedback from the marketplace.
“We’ve also used digital marketing tools to gain customer feedback; resolve queries in real-time; provide product updates; and share informational sources for insight generation and fraud investigation. These tactics create more affinities with our customers, as the Hispanic consumer tends to over-index on brand loyalty. More than 50% of Latinos are “likely to find a good source and stick with it,” compared with just over a third of the broader market. This means a relationship can unlock long-term value, which we hope to achieve with our customers.” The focus on the Hispanic consumer may also bring rewards, as surveys have shown that Hispanics often feel disregarded by big American brands.
Kanguro Seguro focuses on the service and the product through online and offline marketing strategies. Highlighting the integrated value proposition, which includes:
- End-to-end experience 100% bilingual and 100% digital, with a team of real people serving customers’ needs.
- Frictionless experience. Easy to understand, easy to buy, and easy to claim. The fastest in the pet industry in handling claims.
- Giving back: Kanguro Seguro donates a part of unused premiums to causes its clients care about. Whether to non-profits fighting climate change, uplifting animal shelters, or Hispanic community organizations. Clients choose what cause is close to
their heart. - Content Hub: Personalized and exclusive content for pet parents prepared by Kanguro Seguro’s affiliated and certified vet, Dr. Cristina Bustamante.
- Community benefits: Special discounts for pet treats, grooming and hotels and
more via exclusive partnerships
