That hole doesn't look that big. I would applique a bit of matching fabric over it and not worry about it.
20 years ago I made a bear paw for my sil. I didn't realize it but when my cat leaped on the frame, her back claws made a few small tears in the top. I was upset and didn't know what to do, so I decided I'd have to make another quilt for my sil, and keep this "damaged" quilt.
That quilt is still on my bed. It's been washed many times, and I can't find where the holes are. In fact, it has a border that rippled badly, and I fixed it by quilting a flap of extra border - can't find that either.
Janet