Each-way betting is essentially two bets: a win bet and a place bet. The place terms are determined by the number of runners and the type of race. In the UK, the standard place terms for horse racing are 1/5 of the odds for the first three places in a race with 8 or more runners, or 1/4 of the odds for the first two places in a race with 5-7 runners. If your horse wins, both the win and place bets are paid out. If your horse finishes in a place, only the place bet is paid out.