People have been riding horses for centuries, and they remain a popular choice for recreation and transportation even today. There may be many reasons why people invest in horses, but regardless of the reason, it’s important to protect your investment—for work, fun or just companionship—with equine insurance. Not only can this help cover any injuries or illnesses that might happen to the animal, it can also provide coverage should the animal be stolen or lost. In this article, we’ll discuss the main types of equine insurance, and other considerations for horse owners.
What is Equine Insurance?
Equine insurance is insurance for horse owners that generally covers the loss or injury of the horse. In this instance, we will define equine insurance as insurance on the horse itself, although there are often many different types of insurance that can sometimes fall into this category—including farm property coverage for paddocks and land and liability insurance if your horse is used for business purposes.
The 2 Types of Equine Insurance
Although there are different types of policies and coverage options to choose from, most equine insurance boils down to two types: Mortality and theft insurance, and Medical/Surgical coverage.
All-Risk Mortality and Theft
Typically only issued for horses under 20 years of age, a mortality policy covers the loss of a horse due to death, or even theft. This type of coverage is typically available for both personal use animals and trail horses, and in the instance that your horse needs to be put down, is stolen or dies, a mortality policy will reimburse you for the loss, based on age and health of the horse at the time the policy is taken out.
Medical/Surgical
Available as an add-on to mortality plans, these plans can cost anywhere between 2.5 and four percent of the animal’s value. Medical/Surgical policies can be considered like health insurance for your horse—covering medical costs in case of illness or injuries—and similarly, cover everything from prescriptions to surgery. However, most policies will not cover basic or preventative care like vaccinations or dental care.
Other Insurance Considerations for Horse Owners
If you are considering equine insurance for your horse—whether it be a work asset or more of a family friend, there are other things to consider when considering an equine policy.
The right policy matters
While there are two common policy types that we’ve covered above, the reality is that there are many options for different types and forms of coverage for horse owners. Liability insurance covers injury and property damage to others, horse transit policies cover the transportation risks of horses that are constantly on the move. One should also consider the surrounding policies that will help protect the investment and the horse itself—like property or dwelling damage for structures like barns, and farm coverage for a larger land property.
Because the uses of horses differ, as does each household or business, it’s important to understand that policies can vary widely. Some mortality policies may pay out a mere thousands, while others pay multiples of that in case of loss, but the premium will match the back-end payouts, as well. As with any other insurance consideration, navigating the many options and finding the best selection for you (and your horse!) is key. Make sure you engage an agent you trust along the way to make the process easier, and to nail down the right policies for you and your large animals.
Policies are non-transferrable
A policy on a horse is similar to a policy on a human—they are for that specific individual, and cannot be transferred to another. While it may be an option to add more animals (read: horses) to your policy, they would need to be listed as separate individuals. What’s more: if you sell or give the horse to a new owner, the policy cannot go with the horse. Instead, that owner would need to take out a new policy for the animal, and you’d need to cancel yours.
Timing is key
If you already carry a policy on your horse—or once you have one in place—understand that most policies require immediate notification if the horse becomes ill or injured. Know what your policy covers—and what it requires of you for claims—before they become an issue later on.
However your horse fits into your family, and whatever the type of coverage you may need, Penny Insurance is here to answer any questions and help you select the best plan possible to cover your equine investment. Should you have any questions about coverage or insurance types, or if you would like to schedule a consultation or get a quote, please contact us and let us know.