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Wash, Rinse, Don’t Repeat

Your equine insurance renewal shouldn’t be just the same-old, same-old

You bought your horse, you insured him and now you’re done with the paperwork. Or are you?

Time goes by much more quickly than you think and already it’s time for your policy renewal. Typically, your insurer will renew your policy one year after your policy started (aka, your effective date). So, if your equine insurance policy went into effect on February 15, 2023, it will automatically renew on February 15, 2024.

If you didn’t mark that date on your calendar, no worries! Your insurance company will let you know about your insurance renewal and will also send you a refreshed re-application and quote. Renewal information is usually mailed or emailed to you 45 to 30 days in advance of your renewal. If you don't complete and send in the renewal application before its expiration date, your policy will simply expire and your coverage lapse.

You don’t want THAT to happen, so what steps should you take when you receive your renewal packet?

First thing’s first: review your insurance renewal quote

It goes without saying that your horse is a large investment. Therefore, it's important that you make sure your insurance policy is up-to-date.

Several key items should be on every insurance renewal check list. Make sure you:

• Update your contact information, including your address and phone numbers
• Determine whether any exclusions you may have had can be removed
• Check on the financial rating of the carrier; it fluctuates year-to-year
• If the rate has changed, determine why
• Report any changes which occurred in the past year. New trainer? Minor horse health problems? Horse sold? Make sure your renewal application includes any needed amendments
• Increase, maintain or decrease the value of your horse
• Check if your included coverages are adequate. You might have mortality insurance on your horse, but what about medical coverage and personal liability?
• Shop around and get quotes from other insurance companies. This is a good time to compare coverages. Remember, all coverages are not created equally!

My renewal information is staying the same. Will my price change when my insurance renews?

Your premium might increase or decrease when your insurance policy renews, or it might not.

It’s possible for every person insured with a given carrier to have a rate increase. Insurance rates are governed by the states and increases are possible due to increased claim activity. If an insurance carrier is losing money, even a horse owner with no claims can have their rate increased. Just keep in mind, it is still a lower rate than someone WITH past claims.

It’s best to have an insurance agent with access to several different underwriters to make sure your rates stay as low as possible.

Do I need to submit another veterinary report?

Generally, you should not have to provide a vet certificate at renewal if your horse is sound and healthy with no claims during the policy year, under 15 years old, and his insured value is $100,000 or less. The underwriters may ask for a veterinary certificate due to advanced age of the horse (15 or older), if the horse has experienced health issues during the policy period, and/or if the horse is covered by certain endorsements such as Stallion Accident, Sickness and Disease or Stallion Infertility.

A Statement of Condition form may, in some instances, be requested for you – NOT a vet – to complete to renew horses of any value under the age of 15, or a horse with an age of 15 -20 years and valued under $50,000. Horses are as different as available coverages, so each horse may have a different requirement for its policy renewal.

If your horse had a health problem during the policy, your insurance company will most likely offer to renew your policy, but will likely apply an exclusion for that specific problem if they deem it necessary and/or may apply a debited rate for coverage, or restrict access to certain coverages.

I think my horse has increased in value due to training and competition. How much can I insure him for?

In this case, since you would be looking to insure for more than the original coverage, you would need to provide substantiation for consideration of a value increase. Most insurance companies require a Justification of Value form which includes the horse's competition record, professional training fees paid, breeding record, and other relevant information. You will also need (depending on the company you are insured with) a current vet certificate if the horse will be insured for more than $100,000. This information is normally enough to increase the horse’s value, providing the underwriter feels the dollar amount you are applying for is reasonable.

The next time your horse insurance renewal packet arrives in your mailbox, remember: before you sign on the dotted line and send it back, there are some important things you may want to consider. Think of it as an opportunity to perform an annual checkup on your policy (sans stethoscope) and make sure that your coverage is adequate.

Maybe it’s your choice NOT to renew your policy. Maybe it's time to switch to an equine insurance company that is more attune to your wants. Savvy horse owners should always shop around, compare policies, and do research when scouting for companies. Your renewal review gives you the opportunity to do just that.

For more information, contact us direct at: Equidae Insurance, Inc. 608 Virginia Street East, Suite 302 Charleston, WV 25301 p. (304) 346-1198 f. (304) 345-3535

Stacey Halloran, Agent
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