Do I need to purchase domestic help workers compensation coverage?
Homeowners insurance policies exclude liability for domestic help that should be covered by a Worker’s Compensation policy. Who should be covered varies depending on the state you’re in. In New York, any domestic staff member who works at least 20 hours a week for 6 or more weeks must be covered under a workers compensation policy. Whereas, in Connecticut, a nanny, au pair, driver, etc that works more than 26 hours per week must be covered under a workers compensation policy.
When would I need workers comp policy for domestic employees?
If your nanny is driving your child to their sporting event and gets in a car accident, regardless of who was at fault in the accident, as a staff member, the nanny can file a Worker’s Compensation claim against you for her medical bills and lost wages while recovering.
What does a workers compensation insurance policy cover?
Workers Comp can assist with lost income and medical expenses if a domestic employee incurs a work-related injury or illness. This policy will provide protection for the homeowners because when the domestic worker accepts the workers compensation benefits, they usually are forfeiting their right to sue their employer/ the homeowner.