Horse liability insurance for part-loan arrangements: Why it is essential for owners and riders
16.11.2025
3
Minutes
Katrin Straub
Managing Director at nextsure
A horse part-loan arrangement eases both your finances and your time commitment, but it also carries liability risks of up to several million euros. Without the right horse liability insurance for the part-loan arrangement, an accident can quickly become an existential threat. We show you how to ensure comprehensive protection for both you and your part-loan arrangement.
The topic in brief and concise terms
As a horse owner, you are also liable under Section 833 of the German Civil Code (BGB) for damage caused by your riding partner.
Horse liability insurance is indispensable for owners and must explicitly include cover for third-party riders.
A written riding agreement that clearly sets out the insurance arrangements is essential for both parties.
Understanding strict liability: The legal basis for horse owners
As a horse owner, you are liable for damage caused by your animal, without limit. This so-called strict liability is anchored in Section 833 of the German Civil Code (BGB) and applies regardless of fault. If your horse, for example, causes a road traffic accident resulting in personal injury, claims can quickly reach six- or seven-figure amounts. This liability also applies in full even if your sharer is looking after the horse. A written agreement can regulate responsibilities, but it does not remove your basic responsibility as owner. The right horse liability insurance is therefore the only way to avert this financial risk. Understanding this legal basis is the first step towards proper cover.
Check insurance cover: Is the part-loan rider automatically covered?
Standard horse liability insurance is often not enough to cover a riding share. You need a policy that explicitly includes the “third-party rider risk” or the “riding share”. In many policies, the riding share even has to be named explicitly in order to enjoy full cover in the event of a claim. So check your policy for these clauses. For example: your riding share is out in the countryside, the horse shies and damages a parked car. Without inclusion of the third-party rider risk, your insurer would refuse to settle the damage of around 3,000 euros. Make sure the sum insured is at least ten million euros. A comprehensive horse liability insurance comparison helps you find the right policies. Next, we look at the question of liability when the riding share itself comes to harm.
Accident involving a riding share: who is liable for personal injury?
If the riding sharer is injured themselves, the question of liability becomes complex. For a long time, owners tried to exclude their liability through clauses in the riding-sharing agreement. However, recent court rulings show that such blanket exclusions of liability are often ineffective, especially in the case of personal injury. The Saarbrücken Regional Court ruled in 2024 that owner liability also applies if the riding sharer falls and that the owner must cover treatment costs of around €4,000. A good horse insurance policy should therefore also cover own damage or claims by the riding sharer. The following points are crucial:
Check whether your insurance covers recourse claims from social security providers (e.g. health insurers).
Make sure that claims by the riding sharer against the owner are also covered.
Also recommend that your riding sharer take out private accident insurance.
Clearly document the insurance details in the riding-sharing agreement.
Our expert tip: Courts now only rarely accept an implied exclusion of liability. Never rely solely on verbal agreements. The contractual wording is therefore a key component of your protection.
The riding share agreement: More than just a formality
A detailed riding-partnership agreement is essential to avoid misunderstandings and to clearly regulate liability. It provides legal certainty for both parties and should set out far more than just the cost contribution of, for example, 150 euros per month. Alongside usage times and duties such as stable work, insurance-related aspects are particularly important. Make sure in writing that horse liability insurance is in place and that the riding partnership is explicitly included in the cover. Have the riding partner confirm that they have private liability and accident insurance. A well-drafted contract not only protects you in the event of a claim, but also strengthens the relationship of trust. It is the basis for a successful partnership centred on the horse and also defines who is liable if the horse gets loose.
Optimising sum insured: assessing risks realistically
Legal liability is unlimited, so the cover limit of your horse liability insurance should be sufficiently high. A sum of less than five million euros is no longer appropriate today. Personal injury claims can quickly generate costs that exceed this amount, for example through lifelong pension payments. Experts recommend a cover limit of at least 15 million euros for personal injury, property and financial losses. The additional cost for higher cover is often small and usually amounts to only a few euros per year. An insufficient cover limit can, in the worst case, mean your financial ruin. Therefore, check not only the price, but above all the benefits of your insurance. With the right cover, you can enjoy time with your horse and your riding partnership worry-free.
More useful links
Gesetze im Internet contains the statutory text of Section 833 of the German Civil Code on animal owner's liability.
Rechtslexikon.net explains the term animal keeper liability in the legal lexicon.
Deutscher Tierschutzbund offers background information on horses as companion animals.
FAQ
Is horse liability insurance necessary for a riding lease?
Yes, it is absolutely essential. Although it is not a legal requirement, the horse owner is liable without limitation for all damage caused by the horse – even when the shared rider is riding it. Horse liability insurance that includes shared riders protects the owner from potentially ruinous costs.
Which insurance pays if the horse causes damage to a third party?
In this case, the owner's horse liability insurance provides cover, provided that third-party rider or guest rider risk is included in the policy. It covers the costs of personal injury, property damage and financial losses up to the agreed sum insured.
Does the insurance also cover damage to borrowed items?
Yes, many modern policies also cover damage to rented property. This is important if the horse damages, for example, a hired horse trailer or a stall in someone else’s stable. Check the exact conditions in your policy.
What happens if the part-loan rider breaches the contractual agreements?
If the rider sharing the horse acts with gross negligence or intentionally breaches agreements (e.g. show jumping despite a prohibition) and damage occurs, the insurer may reduce the benefit or seek recourse against the rider. However, cover vis-à-vis the injured third party usually remains in place.
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