If you're running an in-home caregiver business, congratulations! You're part of a gigantic industry predicted to grow 54% by 2026, while the average growth of all other industries is predicted at just 7%.
Baby boomers (born from 1946 to 1964) are causing this industry growth with their needs for assistance with daily living activities such as bathing, dressing, eating, drinking, mobility, transportation, and more.
Your in-home caregiver business plays a critical role in providing these services to help Baby Boomers remain independent in their homes. Is your home health care liability insurance up-to-date with your business risks when offering care? You may be surprised about the different areas of coverage that should be part of your comprehensive insurance package.
The Top 7 Areas Your Homecare Liability Insurance Should Cover
You may think that professional liability is the only real coverage needed in case a client is injured or otherwise harmed while under the care of your agency. But professional liability (which can include malpractice) isn't your agency's only claim risk.
To be fully covered from liability, your homecare business should carry these seven types of protection:
1. Professional Liability: This coverage protects your agency from claims of negligence or malpractice in the actual rendering of professional services to others. Example: A caregiver was assisting a client to the restroom when the client fell and was injured.
2. General Liability: This coverage protects your agency from claims arising out of and in the scope of your operations that result in bodily injury or property damage and personal and advertising injury. General Liability coverage may also provide medical payment coverage to third parties. Example: An individual slipped and fell on snow and ice in front of your agency’s office.
3. Property Liability: This coverage helps protect your agency's physical location if damages occur there. It can also cover any damages to equipment your agency may use. Example: A pipe burst, resulting in damage to your office equipment.
4. Auto Liability: This coverage helps ensure your agency is protected should auto accidents and injuries happen while a caregiver is driving to and from a visit or driving a client to an appointment. Example: A caregiver driving a client to the store in their personal vehicle turned left in front of another car, resulting in bodily injuries.
5. Crime and Fidelity: This coverage protects your agency if an employee is dishonest, including theft from a client or your business. Example: A caregiver stole a client's diamond earrings and other personal belongings.
6. Abuse and Molestation: This coverage protects your agency from claims of abuse and misconduct by clients and employees and also includes sexual harassment. Example: A client was physically abused by a caregiver.
7. Umbrella/Excess Coverage: Careful homecare agency owners should also consider including these liability coverages for affordable, additional layers of claims protection.
These seven coverages can help ensure all parts of your business are adequately covered in the event of a claim—and they should also help you continue with business as usual. Additionally, depending on the scope of your care services, you may also want to consider having access to risk management services that can help you with areas such as elder abuse, fall prevention training, and driving training. Some carriers offer these services to their policyholders as part of their coverage.
Does Your Agency Have the Protection It Needs to Succeed?
Talk to your insurance agent to determine the best combination of insurance coverages for your home health care business so that you aren't left unprotected.
An insurance company like Philadelphia Insurance Companies (PHLY) offers the liability insurance coverages you need as a home health care provider along with the kinds of risk management services (such as training for elder abuse prevention, fall prevention, and driver safety) that can help reduce a good portion of the risks you'll encounter. In fact, PHLY has been protecting home health care providers and independent contractors for nearly two decades and understands the challenges you face. So you can trust that PHLY knows exactly what types of coverage and services make the most sense for your business needs.
And when you factor in that PHLY has an A++ rating from AM Best, you can relax knowing we'll always be there for you. If you're interested in finding out more about PHLY's home health care liability insurance and risk management services, please don't hesitate to contact your agent or one of their experts today.
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