J001010 - Lycetts Newsletter Jan 2024 LR - Flipbook - Page 24
I NSU R A NCE
A R M AGE DDON
FOR R ACI NG?
Charlie Brooks
Charlie Brooks is a
former amateur jockey
and racehorse trainer,
author of children’s
books, broadcaster and
columnist for the Daily
Telegraph.
If I’m ever re-incarnated, I want to come back as a racehorse; with the proviso
that I’m trained in the United Kingdom.
Given the headwinds that racing is facing here, that
may seem to some to be a rather foolish proviso.
But whatever troubles lie ahead, I have an innate
trust in the care that is lavished on racehorses in
this country, both on and off the track, during good
times and bad.
Trainers in this country are not allowed to open
their stable doors to their staff in the mornings, let
alone send horses to the races, unless they have
liability insurance. In a world where inflation is
increasing the cost of training a horse from every
conceivable angle, this is no exception.
The relationship between insurance providers and
the mindset of people who own and train horses is
extremely important. The underwriters should
take heart from knowing that nowhere in the world
are horses looked after better than the UK. But the
relationship between the horsemen and the
insurers is a lot more complicated. While the
horses have their every need taken care of, hand
on heart can we say that the staff who look after
them are afforded the same treatment?
A combination of no fee ambulance chasing
lawyers and the Animal Act 1971, which set the
principle of strict liability applying in this country,
means the functionality of the market is dangling
on the edge of a precipice.
Take this scenario, for example. A stable lad or
lass falls off their horse one morning. Not only do
they break a few bones, their horse gallops off
down the road and collides with a car. Under the
strict liability rules that now apply, there could be
a huge claim against the trainer even if there was
no negligence involved. The trainer could face
both a claim from the car which collided with the
horse, and also their staff member who was
riding at the time.
The problem here is not the underwriters, but the
law, which risks bringing the whole sport to a
standstill if the market fails.
Working with horses is a risky business, on a
daily basis staff are dealing with a half-tonne
‘machine’ with a mind of its own. Their skill in
understanding and managing these highly trained
horses should not be underestimated. The best
racehorse trainers manage to carefully balance
old fashioned horsemanship, with modern Health
and Safety requirements, reducing the risk of
injury to their staff.
One of the reasons we went through the pain of
Brexit was meant to be so that we could live under
our own rules and dispense with the madness of
European legislation. But it turns out that our
legislation is worse than Europe’s. The few
underwriters in London who will still take on the
risk of insuring racehorse trainers against strict
liability claims will only take so many hits.
The entire thoroughbred liability premiums
amount to less than £10 million, compared to the
highest single pay-out, which includes defence
costs and settlement, of £6 million.
That gives you an idea as to how close we are
to Armageddon.
Lycetts Comment
Anna Goodley
Regional Director,
Newmarket
24
It is fair to say that equine employers’ liability insurance is a marginal business which explains why there are
so few insurers in this field. However, at Lycetts we have an excellent relationship with the longest
established insurer and we maintain that good relationship by working proactively with our clients. For
example, the Lycetts Toolkit which is provided to all the yards we work with, ensures that an up-to-date
Health and Safety policy is in place. This not only reduces the risks to staff but goes some way to
demonstrating that reasonable precautions have been taken should a claim need to be made.
