Judge Rules New Mexico Not Use Purses to Pay Insurance

The New Mexico Horsemen's Association has claimed a legal victory in a funding dispute with the state's racing commission and racetracks, citing a Sept. 20 order by New Mexico District Court Judge Victor S. Lopez.

The organization distributed a release Oct. 11 stating that Lopez determined the New Mexico Racing Commission improperly required horsemen, through their purse accounts, to pay half of the racetrack-obtained insurance premiums for jockeys and exercise riders—in violation of state statute.

"It is neither the commission's nor this court's role to decide and implement policy which would essentially allow the skimming of racing revenue for the admittedly favorable purpose of protecting jockeys and exercise riders who may sustain injuries in the course of engaging in the inherently dangerous profession of horse racing," Lopez wrote in his order.

The NMHA claims that since 2009 more than $9 million has been used from purse accounts at New Mexico's five racetracks for insurance premiums. 

The NMRC issued a statement Tuesday that the method of funding insurance premiums had been in effect since 2007 and was made with NMHA's agreement. The insurance plans were in place to insure jockeys and riders hired by horsemen, the NMRC wrote.

"NMRC is adamant that steps will be taken to ensure that all jockeys and riders are properly insured," the regulator added.

The ruling could further affect Horseracing Integrity and Safety Authority fee collection, with the NMRC saying it is seeking a "fair and efficient way for New Mexico horsemen to pay those fees."