Insurer Releases Cigar

The insurance company holding the $25 million infertility policy on Cigar has agreed to allow the 7-year-old to cease breeding, according to Richard Craigo, attorney for owner-breeder Allen Paulson.

Cigar’s policy, arranged through a London-based broker, required that the horse be bred to 20 mares twice and get at least 60 percent of them in foal to be considered fertile. None of the 34 mares bred to him has become pregnant.

The insurers and Cigar’s owners next must reach a closure agreement stipulating a date for payment. After that is finalized, negotiations will begin to determine ownership of Cigar. Paulson has said that he will seek to regain the horse but did not anticipate returning Cigar to racing.