Agriculture Reference
In-Depth Information
The cost of liability insurance will depend on the type of policy, the amount of coverage,
and the terms and exclusions. Various terms are used in naming and describing types of
coverage. Some of them overlap or are very similar, and others use the same words and
mean different things. The following is a general guideline to types of policies.
Insurance application
The owner application asks questions such as these:
What type of fencing do you have?
How often do you deworm and what type of dewormer do you use?
Has there been infection or contagious disease on the premises in the last 12
months?
How many of your horses have died or been destroyed in the last 3 years?
Are there any encumbrances on this horse?
Is there any indebtedness due because of the change of ownership on this horse?
Have you ever been canceled or refused insurance?
Is this horse insured now? Has he ever been insured? With whom?
Who will be providing care for this horse?
Personal liability, public liability, general liability, premises liability
. These terms de-
scribe liability coverage in homeowner's policies. Such policies may have limitations, be-
cause they are not written expressly for the needs of a horse owner. They are designed to
cover human bodily injury and property damage claims on premises, yours or someone
else's. Such policies should cover a visitor to your home who gets kicked or the passengers
and vehicle in an accident caused by your loose horse. They should cover the cost of the
claim as well as your legal expenses. The choice of coverage might be something like
$300,000, $500,000, and $1,000,000. Most general liability policies do not cover things
that happen to the horse. They usually specifically exclude coverage for damage to any an-
imal (injury or death) that you have in your care, custody, or control. If you rent or lease the
farm you live on, you can purchase horse-owner policies in lieu of homeowner's policies.
