Got a horse? Don’t gamble on its health
Posted on January 27th, 2010
Pet insurance costs mean some owners put their pet’s health before their own Photograph: Christopher Thomond
Britain’s 1.3 million horse owners face tough choices in the coming months, with rising costs forcing many to make personal sacrifices so they can continue to look after their horses and ponies. Yet despite the constant struggle, for the vast majority of the horse and pony owners the last area they choose to economise on is equine insurance.
Insurers and brokers say they have not seen any tailing-off in the number of policies sold. One recent survey suggested owners would rather stop paying for their own health insurance than their pets’ cover.
A spokeswoman at NFU Mutual, the UK’s largest equine insurance provider, says: “As the recession took hold last year, we feared there might be a reduction in the number of people taking out cover. However, our records do not show that owners are cutting back. Neither is there any evidence that they are reducing the levels of cover. If they are making cutbacks, it seems to be in other areas of their lives.”
Claire Thompson, an insurance underwriter at Petplan, says: “Horse owners know just how expensive it can be to look after their horse if it becomes ill. Vets’ bills can quickly run into hundreds, sometimes thousands, of pounds.”
Thompson gives the example of colic, the symptoms of which include acute abdominal pains. If surgery becomes necessary, it could cost at least £2,500, more in case of complications or a longer-than-normal recovery. MRI scans, used to diagnose a range of illnesses including tendon injuries, can set an owner back between £500 and £750.
David Buckton, associate director at South Essex Insurance Brokers, which specialises in insuring horses, says probably the most important cover you need as a horse owner is public liability insurance, in case a third party is injured by your animal, or it damages property, for example, a car. “While accidents may not be frequent, damages can run in to six figures for personal injury,” he says.
Third party insurance for up to £2m is generally included in a typical policy, Buckton adds. Alternatively, organisations such as the British Horse Society or World Horse Welfare include it in their membership fees.
The cheapest cover is against theft or death as a result of sickness, disease or injury. However, Buckton adds that in most cases policyholders are trying to protect themselves against vet fees: “The cost of vet treatment is what drives premium rates. Available veterinary treatments have developed remarkably in recent years, but sophisticated procedures can be expensive.”
Cost is based on a combination of the age of the horse, medical history, its value and its main activities: “The premium for insuring a typical horse valued at £3,500 and used for hacking, local shows, riding club or similar, would be £42.79 per month. This includes veterinary fees up to £5,000 per incident, a £135 excess and public liability up to £2m,” Buckton says.
“Changing the level of vet fee cover can reduce the premium: opting for a maximum £3,000 per incident and a higher excess at £250 reduces the premium to £33 a month.
“Horses used for racing, regular eventing or hunting would cost more to insure.”
Sara Ferraby, 34, a chartered building surveyor in Surbiton, Surrey, had reason to be grateful for her insurance policy last September. She had just unloaded her 10-year-old Hanoverian gelding, Leonardo, from his horsebox when he entered the horsebox next door and sliced an artery in his leg in the process. He was about to take part in an affiliated dressage competition. Instead, Ferraby found herself desperately pressing pads against his leg to stop the blood.
A vet arrived within minutes. He sutured the cut and the horse was taken back to his stable.
Although Leonardo appeared to make a rapid recovery, the sutures later burst open and he required further treatment.
Thankfully, everything was fine the second time round, and Ferraby was able to start riding him again by late November. The total bill was more than £2,000, of which Ferraby’s insurance company, arranged through South Essex Insurance Brokers, paid everything bar a £250 excess.
Ferraby says: “I’ve always had insurance for my horses and ponies because you never know when something like this might happen. When it did, I was glad not to have to worry about costs and could concentrate on helping Leonardo get better.”
Policies can be further extended to include personal accident cover for the rider and accidental damage to, or theft of, tack and saddlery, horse trailers and horse-drawn vehicles.
Petplan’s Thompson says it is very important to know exactly what you are buying. For example, some policies only meet 50% of any diagnostic work, such as an MRI scan, prior to treatment.
They may meet the cost of surgery but not the full amount of “complementary” care, such as any physiotherapy needed to help a horse recover from an operation. A medical bill totalling £3,000 might lead to a payout of only £1,500 once exclusions and an excess are taken into account.
If you are insuring a horse or pony, it is worth checking whether the insurer or broker accepts monthly premiums without levying extra charges; and whether it pays the vet directly, or expects you to do so and claim the money back, which can make budgeting difficult.
Question your insurer
? What excess has to be paid – is it a percentage of the claim or fixed?
? Up to what age is my horse covered for illness? Some policies stop at 20 years, a few continue to 25.
? Does the veterinary fee limit apply to each illness or is it a total limit?
? Does the policy cover alternative or complementary treatments such as homeopathy or physiotherapy?
? Is there a maximum amount I can claim for complementary treatments?
? Is there a limit to the amount I can claim for diagnostic investigation?
? Is the horse covered for emergency dental treatment?
? What type of event am I covered for? Most companies have policies tailored to different classes of use, including breeding, gymkhanas, showing, show jumping (premiums vary according to competition levels), dressage (at different levels), pony club events, trials, eventing and long distance riding. You must inform your insurance company and upgrade if you start to compete at a higher level or take up a new activity.
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Tags: Health
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