Estate Planning for Horse Owners: Part II—Key Questions to Ask Before Meeting an Attorney

Part of being a responsible horse owner is making sure that your animals are taken care of should something happen to you, as their caretaker, owner, and partner. As we discussed in our previous estate planning article, there is a lot to consider. Here, we will discuss what to think about before meeting with an estate attorney. There are a lot of questions to ask yourself, as well as the attorney.

An estate attorney helps individuals make legal decisions about their property, assets, animals, and other responsibilities in the event of death or incapacitation. Some estate attorneys specialize in or have experience handling the specific needs of animal care in their estate planning, particularly horses.

Why do equines require special considerations in estate planning? There are several reasons, including, but not limited to:

Life Expectancy and Care: Horses have long lifespans, and their care involves unique needs (feeding, turnout, exercise, medical care, stabling, etc.). Planning for their future is essential to avoid leaving them in a vulnerable situation.
Specific Knowledge: Unlike dogs, cats, and other small animals, horses require unique knowledge and training to take care of them properly. Many people are intimidated by their sheer size, let alone the delicacies that come with their care and maintenance. The right person must be willing and able to take on your equines should you be unable to.
Legal and Financial Aspects: Unlike other assets, horses cannot be passed down in the same way. They require care, and many jurisdictions do not treat them like other personal property—an understanding of how they will be handled legally is crucial.
Potential for High Costs: Horse care can be expensive, and decisions must be made about who will bear the financial responsibility for the animal’s care.

Steps to Take Before Meeting with an Estate Attorney

Identify Your Goals for Your Horses

Short-Term and Long-Term Plans – Do you want your horses to stay within the family or be sold? Would you like them to be rehomed or placed with an equestrian rescue group? Clarifying these goals is the first step.
Define the criteria for care. Consider how you would like your horses to be cared for—what are the qualifications for a caretaker, the type of living conditions, and any particular feeding or medical preferences?

Evaluate the Financial Aspects

Funding the Care of Horses. Discuss how to fund your horses’ care posthumously—this could involve setting up a trust, creating an insurance policy, or allocating specific assets toward their upkeep.
Discussing with the caretaker. Who will financially support and be legally responsible for your horses? An estate plan can help designate funds for their care.

Decide on a Caretaker

Who Will Care for Your Horses? Identify a trusted individual, family member, or professional caretaker who will take on the responsibility.
Responsibilities and Boundaries: You will need to provide specific details about their responsibilities and the limits of their duties (for example, whether they can sell or transfer the horses if necessary).
Backup Plan—It’s wise to name a backup caretaker in case the primary one is unable or unwilling to fulfill the role.

Legal Structure for the Horses’ Future

Creating a Trust for the Horses— There are two types of trusts available to horse owners—testamentary and inter vivos. Click here to find out more about these trusts!
Legally Binding Documents—discuss drafting a legally binding will that specifies who will care for your horses and how expenses will be managed. This is often incorporated into your will alongside instructions for other assets.

Discuss Specific Terms with the Estate Attorney

Understanding State Laws—Different states have varying laws regarding animals as property and the legal steps required to ensure their care. It’s important to discuss these laws with your attorney to know the proper course of action.
Veterinary and Other Care Provisions—Some owners may want to specify a veterinarian or specific medical care for their horses. These provisions should be written into the plan.
Equine Organizations or Charities—If rehoming the horses or placing them with a rescue group is part of the plan, your attorney can help create the necessary arrangements.

Some Questions to Ask Your Estate Attorney

What legal tools are available to ensure the proper care of my horses?
How do I fund the ongoing care for my horses in the event of my death?
What happens if the designated caretaker is no longer able or willing to care for the horses?
How can I ensure my wishes are enforceable, and how can I prevent disputes over my horses’ care?
Are there any tax implications I need to consider for the funds or provisions dedicated to my horses?

In conclusion, planning for your horse’s future should be handled in the same way you would provide for any other significant asset—with proper planning and considerable thought. A well-prepared estate plan provides not only financial stability for the horses but also emotional peace of mind for their owner.