Organizations that employ workers who provide at-home care to the disabled or elderly can be especially susceptible to costly legal claims. That’s why it’s critical that a company has all its bases covered when it comes to an insurance plan. By Nik Levin
Organizations that employ workers who provide at-home care to the disabled or elderly can be especially susceptible to costly legal claims. That’s why it’s critical that a company has all its bases covered when it comes to an insurance plan. If you’re a franchise owner of a caregiving organization, you may find yourself not knowing which insurance plan is best for you. With a plan that covers the necessities of caregiving liability, you can rest assured that your franchise is protected in any event. Here is an overview of the different types of coverages you should consider as an at-home-care organization.
Workers’ Compensation
Caregiving employees will be exposed to a number of potential liabilities on the job – including sharp instruments like needles or scalpels, back injuries from lifting patients or injury that comes from the patients themselves. It’s important to have good workers’ compensation coverage, but it can be a challenge to ensure that coverage is comprehensive. Defining the scope of a caregiver’s work and what could cause them to file a workers’ compensation claim is important. Traditional insurance often covers a vague scope of work, making it difficult and expensive to cover employees in all situations. Your plan will need to cover employees for situations that may initially seem to be outside the scope of work, but that they still perform when they’re on the job (such as changing a light bulb or lifting heavy objects).
Abuse & Molestation
For organizations that provide care to vulnerable populations, abuse and molestation claims are very real threats. And the financial costs of facing a civil case due to abuse can be staggering. No organization is ever immune to abuse claims, so it’s important to consider the role of your insurance coverage in mitigating costs. Traditional insurance may include exclusionary language, and if your organization’s policy contains an exclusion, you won’t be covered in the event of those claims. However, specific abuse and molestation coverage is available to add to your existing policy or to stand on its own.
Employment Practices Liability
Employment practices liability insurance protects the organization against claims by workers that their rights have been violated – including discrimination, wrongful termination and sexual harassment. In the home-caregiving field, employees tend to be female, leaving them open to harassment by clients, so employment practices liability insurance is especially important for a caregiving franchise to have. Exposure to these claims increase if you fail to conduct thorough background checks on your employees, so it’s imperative to take the proper precautions during the hiring process.
General Liability
General liability insurance is the foundation of any company’s insurance plan. As the broadest type of insurance, it covers general business risks, such as third-party bodily injury or property damage. These policies can help pay for unexpected lawsuits and even avoid bankruptcy in the event of legal costs. And while every business is different, a general liability policy is an important part of owning one.
To help protect the future of your at-home-caregiving organization, having the right insurance is a must. Contact Gallagher Franchise Solutions at franinsurance.com to learn more about coverage options and how we can best insure your caregiving franchise.
– Nik Levin
Nik Levin is one of the nation’s leading risk-management experts in the franchising sector. As an Insurance Specialist for Gallagher Franchise Solutions, Nik creates innovative and cost effective insurance and risk-management programs for the some of the top franchises across the U.S. An outspoken advocate for franchisees, Nik uses Gallagher’s broad reach in the insurance market to minimize the risk of owning a franchise.