Neospora caninum is an important cause of abortion in dairy cattle. The objective of this observational study was to estimate the rate of vertical transmission of N. caninum in dairy herds in Québec and to investigate horizontal transmission in the same herds. The genealogy of cows from 23 dairy herds were examined. Prevalence of seropositive animals in herds studied varied from 4.3% to 61.8% (average, 21.9%). The overall rate of vertical transmission was estimated to be 44.4%, varying from 0% to 85.7%. Seven cases of horizontal transmission were identified in 6 of the 23 herds studied. Estimated vertical transmission rate varied from herd to herd, but appeared to be higher in herds with a high prevalence of seropositive animals. Although horizontal transmission was identified in 6 herds, it does not appear to be the major route of infection for N. caninum.