As veterinary medicine continues to evolve, 2025 promises to be a transformative year. Industry professionals face emerging legislation, possible new roles, energized investor interest, and shifting dynamics in the pet insurance market. Here are the top trends shaping the field and what they mean for veterinary practices.
The People and Animals Wellbeing (PAW) Act
Introduced by Congresswomen Deborah Ross and Claudia Tenney in September of last year, the People and Animals Wellbeing (PAW) Act aims to expand access to veterinary care for underserved communities. The bill proposes federal funding for mobile clinics, subsidies for low-income families, and grants for practices serving rural areas.
The PAW Act has the potential to redefine how and where care is delivered, making veterinary services more accessible. Practices should keep an eye on the bill’s progress, as it could open funding opportunities and partnerships while increasing competition in traditionally underserved markets.
A New Industry Role
In a groundbreaking move, Colorado has introduced a midlevel practitioner role within the veterinary field—the Veterinary Professional Associate (VPA). This role is designed to fill the gap between veterinarians and veterinary technicians, providing a cost-effective solution to workforce shortages. A VPA’s responsibilities include conducting routine exams, prescribing medications, and performing minor surgical procedures under a supervising veterinarian’s guidance.
The creation of this new role has sparked debate in the veterinary community. Supporters highlight its potential to alleviate staffing shortages and increase access to care. Critics, however, question whether VPAs’ training—which includes a master’s degree in veterinary medicine—will be sufficient for the responsibilities assigned to them. Also of concern is the possible impact the VPA role could have on the roles of existing veterinary professionals. As Colorado serves as a testing ground, other states may evaluate the program’s success before considering adoption.
Investor Interest in High-Growth Segments
Investors are increasingly targeting high-growth areas within the veterinary industry. De novo hospitals, emergency care, and mobile services are increasingly attractive investments due to their potential for scalability and high returns.
- De Novo Hospitals: New veterinary hospital startups are appealing for their ability to tailor services to local demand and implement cutting-edge technologies.
- Emergency Care: With pet owners prioritizing immediate access to care, emergency clinics are becoming an essential asset to the veterinary industry.
- Mobile Services: Mobile veterinary services cater to a growing demand for convenience and personalized care, especially among urban pet owners.
These high-growth areas provide strategic opportunities for veterinary practices looking to grow or attract investment.
Pet Insurance Market Consolidation
The pet insurance market is rapidly consolidating. Now that JAB Holding Company owns over 20 pet insurance brands operating in more than 10 countries, critical questions about pricing, policy standardization, and referral dynamics within these networks are surfacing.
While immediate changes are unlikely, consolidation could influence pricing models, treatment coverage, and approval for diagnostic tools. Practices may find themselves navigating tighter referral relationships, which could limit options for clients.
To mitigate risks, practices should:
- Diversify partnerships with multiple pet insurance providers.
- Evaluate contracts carefully to ensure alignment with business goals.
- Advocate for policies that balance affordability for clients with fair reimbursement rates for providers.
The broader challenge is creating pet insurance models that work for both providers and pet owners.
Preparing for the Future
This year could bring significant change to the veterinary industry, driven by legislative shifts, innovative roles, investor interest, and market consolidation. Practices that stay informed and proactive can turn these trends into opportunities for growth and improved care.
