There is a misconception “that” homeowners insurance is sufficient coverage for a six bed capacity residential care facility. Nothing could be farther from the truth! If there was a claim, “based on RCFE business activities”, on a traditional homeowner’s policy, it would be categorically denied. All RCFE facilities need to acquire Commercial Insurance for their “business liabilities.” [...]
The characterization of whether an individual is an independent contractor or employee is based upon what is actually occurring not what is written in a contract. The substance of a relationship (reality) will prevail over the form (the contract). The Courts weigh a series of factors in making this determination, the most important of which [...]
Insurance coverage, of course. Will your current insurance cover your business in this home? Will they cover the injury or death of a resident if the family sues? Will they cover a kitchen fire when they discover you are operating a residential care home? If you have a homeowner’s policy they probably won’t. There are [...]
As you plan for your residential care business you will need to learn more about insurance coverage. Where should you go to find proper coverage? Your current insurance agent? Finding an agent that advertises commerical insurance? Typically each insurance agency has its own area of expertise. Not every agency knows everything about every type of [...]
