Popularity rises for pet health insurance

From 2003 until 2007, the number of cats, dogs and exotic animals insured in the U.S. increased 56%, a study by research group Packaged Facts indicates.

Dogs led the pack in 2008, with an estimated 2 million insured.

Cats followed with an approximate 900,000 insured, data provided by the American Pet Products Association indicates.

While that accounts for only about 3% of all dogs and 1% of cats, the numbers are expected to surge because of the increasingly widespread perception of pets as family members.

In 2010, pet owners are expected to spend $47.7 billion on their pets, compared with $45.5 billion the year before, according to the American Pet Products Association.