Ticking all the boxes
Buying a new horse? Speaking to your insurer ahead of vetting can save you time and money in the long run
WHEN it comes to searching for and viewing a potential new horse, we all have our own checklists. From questions to ask over the phone to then viewing the horse on the ground and ridden, before riding ourselves.
Once the decision has been made to go ahead with purchase, the next step for many to tick off the list would be a vetting. There is, however, one step before this which often gets overlooked but could save you time and money in the long run, and that is insurance.
Not everyone will choose to insure their horse, but if you are considering insuring your new purchase, now is the time to speak to your insurer – before any vetting and before bringing your new purchase home.
NECESSARY STEPS
SO, what are the benefits of thinking about insurance at this early stage? Charlotte Mockford, director at KBIS British Equestrian Insurance, explains why speaking to an insurer before purchase can be helpful practice.
“When insuring a new purchase, the buyer and the insurer are, to some extent, in the same boat – taking on a new risk at the same time,” says Charlotte. “Therefore, at KBIS, on our leisure and competition policies, if you insure your horse within seven days of purchase and have a vetting carried out within 14 days of the policy start date, we provide full cover as per your certificate of insurance; with no limitation period for mortality, vet fee and permanent loss of use cover.
“This is because you have taken necessary steps to ensure the horse is fit and healthy and have provided the insurer with all the known relevant facts. Without a vetting, when a vetting is more than 14 days old, or the horse has been owned for longer than a week, there would be a limitation period.
“This is where all cover is limited to accidental, external injuries only, involving an open wound. In this scenario the insurer is taking a greater risk, and so this period, which can be up to 45 days, helps to prevent pre-existing conditions being claimed for.
“Either way, getting cover in place as soon as you have an insurable interest in the horse puts you in the best position possible for any unforeseen circumstances,” she adds.
FINANCIAL SECURITY “UPON having the horse vetted, speak to your insurer before finalising the purchase,” advises Charlotte. “They will be able to tell you from the vetting certificate if any exclusions are likely to be placed on the policy.
“When a vet is examining a horse for purchase, they have to ask themselves if the horse in front of them can do the job for which it is intended on the day of examination.
This differs from vets acting for an insurance company as they have to assess the risk of the horse becoming injured or ill in the future. No one has an accurate crystal ball, so any abnormality present will incur an exclusion, at least in the short term,” she explains.
“Of course, not everyone will have a prepurchase vetting carried out and one isn’t always required for insurance purposes; it depends on the horse’s market value and level of cover you wish to purchase. But talking to your insurer at the beginning will help you establish what is required,” adds Charlotte.
“Taking out cover as soon as you have an insurable interest in the horse can only be positive and will provide you with the financial security that comes with an insurance policy as soon as he is in your ownership.”
“Speak to your insurer before finalising
the purchase”