From a coverage standpoint, valuations are locked in early. “Purchase price, whether privately or at public auction, is the insurable value. When these horses get to be a yearling, a two-year-old, or older and start competing, that is when we will consider a higher value based on performance.” said Collier. However, he warned that genetically influenced pedigrees could artificially inflate prices – and insurers will be watching. “We’re going to have to be cognizant if prices get inflated because of these genetically enhanced pedigrees and be able to justify higher values.”