Typical Home Care Insurance Package
Most Home Care Agencies Take the Following Insurance Coverage:
General Liability
General liability is a very broad policy form, with several sub-sections of coverage. From a home care perspective, the most common incident that triggers general liability is damage to a client’s property (for instance if a caregiver breaks the Ming vase over the fireplace or starts a fire while cooking). General liability also responds to allegations of libel and slander, slip and fall damage to a 3rd party on your premises, and various other perils.
Professional Liability
In a home care setting, professional liability responds to damage to a client due to allegations of improper care or due to the absence of proper care. We have seen claims ranging from improperly reported/treated bed sores, to scalding burns while bathing, to falls while assisting a client down the stairs.
Non-Owned Auto Liability
Non-owned auto liability responds in the event that an employee is in an at-fault accident while driving on the job. For instance, if a caregiver is driving a client on an errand and runs over a pedestrian. Non-owned auto is liability protection for the agency; it does not fix the employee’s car!
Commercial Crime Bond
Bonding responds to allegations of theft from a client’s home, or theft from the employer, by an employee. Theft from a client is the most common claim in home care, and can include theft of cash or personal items (jewelry, valuables, drugs), unauthorized use of credit cards, or other means of stealing from the elderly.
Workers Compensation
Workers compensation is mandatory in 49 states (with certain numerical exceptions) and responds to on-the-job injury to employees (and increasingly, contractors)
As an Agency Gets Bigger they May Consider the Following Additional Lines of Coverage
Contents Insurance
Protects your business personal property (copiers, desks, chairs, computers, etc.) from loss. Some policies also provide business income replacement and extra expense reimbursement, both valuable in the event of a catastrophic claim but too complicated to address here.
Employment Practices Liability Insurance
Responds to employment related claims such as EEOC claims, failure to promote, age discrimination, etc.
Umbrella Liability
Extends the limits of insurance available on underlying policies.
Cyber Liability
Responds to data breach claims of various kinds including HIPAA and cyber terrorism.