A Plan to Protect Your Horse Farm

You have dreamed of having a horse farm for long time. Your desire has motivated you to prepare for it by working in the farm and horse trade nearly all of your life. After years of hard work and saving toward the objective, the model farm has become available and is in your price range. Your entire family is overjoyed that the dream is within reach. The real thrill:  this farm is owned by an elderly family member so you are also helping to preserve your family heritage.

The above narrative may not be your story but the dream-owning a horse farm-is. So as you are running after this goal, be certain to spend time with other horse and ranch owners. These experts can support you by teaching you the responsibilities and liabilities associated with the farming and horse industry. You will need to choose what activities your ranch will be involved in. Is this ranch and the horses for your own personal use or are you planning to market products or services to the public? The answer to these questions will assist you in making suitable preparations.

Let's take a look at some exposure issues linked with horse farming. If the farm is used for personal use or just as a pleasurable past time, then your farm/ranch owner's insurance policy should take care of the liability risks you are likely to experience. If your horse or any of your farm equipment is markedly expensive, you may want a separate liability policy to protect those. Consult with your agent to learn about policies that will meet your individual requirements.

There are a few issues to research further in relation to liability risks. If you decide to accommodate non-owned horses, look into purchasing a Care, Custody and Control policy. This policy extends liability protection to horse specialists such as horse trainers, riding instructors, boarding facilities, horse clubs or associations and facilities that host equine activities or have exposures related to non-owned horses. If you are considering using your horses to yield an income, consider purchasing a commercial equine liability policy. This protection provides coverage for most horse-related activities such as boarding, training, instruction, trail riding, buying and selling horses. Endorsements can be added to these policies to cover specific risks such as errors and omissions or personally owned race horses.

If your farm or horses will be used commercially and the community will be on your farm property frequently, check with your state's Attorney General's office to discover if there are any state regulations that obligate you to have definitive signage or specific language in your written agreements. Forty-four states have statutes that order sign and/or contract wording in order to protect the horse expert from equine-related accidents. There are some circumstances in which this legislation would not protect you; however, those are typically related to gross negligence or blatant disregard for safety protocols. Bear in mind that when dealing with the public you may confront an accusation which has no merit. A good appraisal of your liability risks will help you in selecting the best insurance to cover your individual risks including defending you against a frivolous dispute.

As you mull over the options and learn about the horse business along with the accompanying liabilities, take care and call your insurance representative and get a policy in place that will sheild your dream, your family and your interests. Enjoy your new endeavor!