How to insure your horse
Every owner of a sport, racing, breeding or leisure horse can take out insurance to cover the risks their horse is exposed to throughout its life: death, injury, illness and even theft. If you are wondering how to go about insuring your horse, the very first step is to choose the most suitable type of policy. That is what we look at in this article.
Damage insurance
Damage insurance is so called because it entitles the policyholder to a financial payout when a loss occurs (depending on the case: death, theft, injury or illness of the horse). These policies are optional and are generally taken out for valuable horses. That said, whatever your animal is worth, the risk of illness or accident is real and an owner may choose to insure against it.
Taking out damage insurance for a horse requires a written insurance contract between the owner of the horse and an insurer of their choosing. Should the parties disagree, the contractual terms and the law (the French insurance code) will be used to settle the dispute.
Mortality insurance
"Mortality cover" covers the risk of the horse dying as a result of illness or accident. Some policies cover the horse's death in specific circumstances, such as humane destruction, death following surgery (whether life-saving or carried out to treat a minor condition), fire, natural disaster or transport.
Other cover can be added to the policy as an extra, such as theft of the horse, reimbursement of carcass disposal costs or assistance during transport. Mortality insurance for a horse is subject to several conditions. Beyond a certain age, the horse can no longer be insured. A veterinary certificate confirming that the animal is in good health is required in order to take out this type of policy.
What the horse is used for is also a deciding factor (leisure, competition, racing, etc.), as is its market value. The premium will vary according to the value for which the horse is insured. This value is described as either "agreed" or "declared".
Disability insurance
In addition to mortality cover (the basic level of cover), you can take out disability cover for loss of use following illness or accident. Disability is defined as the horse's inability to fulfil the purpose for which it is intended. This insurance guarantees the policyholder, whose horse becomes disabled, a payout equal to a percentage (set out in the contract) of the horse's insured value. Depending on the insurer, this percentage varies, generally between 60% and 80%.
Veterinary fees insurance
Veterinary fees cover allows the horse's owner to be reimbursed for veterinary costs incurred following an illness (whether or not surgery was needed) or an accident. Policies often offer several levels of cover, which affect the premium.
Here too, the horse's age is a deciding factor in whether this type of policy can be taken out, and a veterinary certificate will be requested when the contract is signed.
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