In this day and age, every family might find themselves stretched for time. Given that more and more households have both parents working, many people find less time to devote to the household. You simply might not be able to cook all the meals, clean the house or work in the yard. That’s why many families hire household help like nannies, maids or yard teams, to help them with upkeep.
If you plan to hire in-home help, think about what it means for you and your household. You are going to invite someone in who is not familiar with your home or family. As their employer, what happens to you if something happens to your employee? In many cases, your homeowners insurance might come in handy. However, you should to what you can to keep your own liability risks to a minimum.
Protecting Your Employee With Liability Coverage 
Many home insurance policies can extend a degree of protection to those whom you employ in the home. However, policies might contain specific exclusions that limit coverage in unique cases.
If an employee gets hurt on your property, your homeowner’s liability insurance might help. Liability insurance generally covers instances of accidental injuries or property damage to others. This might include your employees. So, if your maid falls and sprains her ankle while mopping the floor, you might be able to provide them with assistance under your home liability coverage.
Nevertheless, your homeowner’s coverage might not apply to injured employees in all cases.
- Some policies specifically exclude domestic employees. If you find that your homeowners insurance contains this exclusion, you might have recourse. Ask your insurer if you can obtain an umbrella insurance policy. Umbrella insurance can expand your liability coverage, and it might extend protection to these employees.
- Certain states require homeowners to provide certain domestic employers to provide workers’ compensation for their workers. Workers’ comp provides income for employees who sustain illness or injuries on the job. If you have to provide this coverage, you will likely have to use it in cases of employee injuries. Check your local statutes to see if you must by workers’ comp.
Remember, your homeowners insurance will likely not cover instances where someone else sues one of your employees for damage the employee causes. In other words, your employee likely can’t come to you when they make mistakes. It’s a good idea to recommend or advise your employees to carry their own commercial liability insurance. It can help them better protect themselves in case they become the party at-fault in accidents.