When do I need to buy workers' compensation nanny insurance?
Workers compensation insurance in Massachusetts is a legal requirement for almost all businesses. As soon as you hire your first employee (that's right, even a nanny or au pair), you are required to have coverage.
Workers compensation insurance coverages and rates are regulated by the state. There may be a waiting period, so you could be putting your employees at risk if you don't secure the coverage before an incident occurs.
You may think your home is a safe place for your nanny, but there is no way you can anticipate it all. Even a minor injury can be costly.
Of work-related injuries are from strains or sprains
Of work-related injuries are from slips, trips and falls
Annual cost of nanny workers' comp, including fees
What is (and is not) covered by workers compensation insurance?
Like every other form of business insurance, workers compensation insurance has a list of conditions and exclusions. Understanding what is (and is not) covered will help you make sure your employees are properly protected.
What is typically covered?
Injuries to all employees regardless of hours worked
Lost wages (limited)
Ongoing care expenses
Treatment for work-related illness
Repetitive injury care
Disability benefits (limited)
What is not typically covered?
Small cuts/scrapes remedied by a first aid kit
Injuries sustained outside the scope of work
Injuries to individuals that are not your employees
Injuries to sole proprietors, members or partners of an LLC or Partnership (optional)
Getting workers' compensation for your nanny or au pair may be confusing. Here are some questions you may be asking yourself before securing the workers compensation coverage you need.
Do I need workers compensation insurance for my nanny?
Yes. In Massachusetts, any business that has one or more employees who works more than 16 hours a week is legally obligated to have this coverage.
But even if your nanny works less than 16 hours, you should probably still consider the coverage to protect yourself and your nanny.
Shouldn't health insurance cover my nanny's injuries?
If you think your nanny's health insurance is enough to cover any injuries they acquire on the job, you might be wrong.
Many Massachusetts health insurance companies have a “work related injury” exclusion in their coverage terms and conditions. So if your nanny or au pair is injured in the course of their work, and seek medical care under their health insurance plan, they could be denied coverage.
How much does nanny insurance workers compensation insurance cost?
Workers compensation insurance is regulated in Massachusetts, meaning that it will cost the same from any insurance agent or company you choose to work with.
For each nanny that works for you, the base charge is $141 per year. (With fees and state assessment charges, the total cost for one nanny on a $1 million workers compensation policy is $286.)
How nanny workers compensation insurance helps fulfill your family's legal obligations
Cover your nanny's medical expenses and lost wages following a workplace injury or illness as well as yourself from lawsuits.
In Massachusetts, you are legally obligated to protect any and all individuals working for you. Without coverage, your business could be issued a Stop Work Order by the Department of Industrial Accidents.
Protection from employee-related lawsuits claiming employer negligence. These lawsuits can be filed by the employee, the family of the employee, or even third parties.
Safety net for your nanny/au pair
Being injured and out of work can be a discouraging and isolating thing. Having the financial protection your nanny or au pair can help them focus on healing and get back to work quicker.
Simplifying workers compensation nanny insurance … one blog at a time
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