Home care agencies often start with a general liability policy because landlords or contracts require it. But the most serious claims against care providers usually involve the care itself — and general liability excludes professional services.
What general liability does and doesn't cover
General liability covers bodily injury and property damage from your premises and non-professional operations: a visitor trips in your office, or a caregiver accidentally breaks a client's lamp. It typically excludes injuries arising from professional services — the hands-on care, supervision and decisions that are the core of your business.
What professional liability covers
Professional liability responds to claims that your services, or the failure to provide them, caused harm. Common examples include:
- A client falls during a transfer or while bathing.
- A medication reminder or administration error.
- A missed visit that leads to dehydration or injury.
- Failure to notice or report a change in condition.
- Pressure injuries alleged to result from inadequate care.
Claims-made policies
Many care provider policies are written on a claims-made basis. The claim must be made while the policy is in force, and the incident must have occurred after the retroactive date. Keep coverage continuous and preserve your retroactive date when you change carriers. If you sell or close your agency, ask about tail coverage.
Who is covered
Confirm that your policy covers the agency, administrators, nurses and aides, and whether independent contractors are included.
Documentation is your defense
Care plans, visit notes, incident reports and training records are the evidence that defends professional liability claims. Make documentation part of every visit.
Professional liability is the foundation of a care provider's insurance program. Make sure yours fits the services you actually provide.
This material is for general information only. Coverage depends on the actual policy language, and availability varies by carrier.