Inspired by a Tumblr post about Silent Hill! Okay I'm actually gonna bother with copy-pasting the description from this art's original post on my Tumblr:

I don't get why I felt particularly inspired by this post, but behold! The Soggy Doggy! Constantly dripping water, and will nudge and paw at people for pets.

Maybe represents a childhood incident of a beloved dog plushy get lost in a river. Due to the incident the person ends up disliking dogs (not outright hate, but goes out of their way to avoid dogs as much as possible, especially refusing to pet them) as a sort of subconscious way to avoid getting too attached to other beings, especially dogs. So then the Soggy Doggy is meant to help the person deal with what happened in a healthier way.

Or, something like that. :P