"Do I need worker's compensation insurance my Nanny?" That is a question we often hear at The Russell Agency. The short answer is yes. Homeowners have a non business exposure for domestic employees subject to the Worker's Compensation law.
Under the Workers' Compensation Law, a homeowner must insure its obligations to provide benefits to injured domestic employees when they are employed by the homeowner for more than 26 hours per week on a regular basis. A domestic employee may fall into such worker categories as chauffeurs, nannies, au pairs, babysitters, maids, cooks, housekeepers, laundry workers, butlers, companions and gardeners. To satisfy the obligation to compensate the employee with statutory benefits should an injury occur, a homeowner must purchase a worker's compensation policy.
If you have a nanny, or other domestic employee, who works less than 26 hours per week, you may still want to voluntarily protect the employee with benefits available under the Workers' Compensation Law. Again, this is possible with the purchase of a standard workers' compensation policy.
The annual premium for a worker's compensation policy for a nanny is charged per nanny and will depend on whether the nanny works 26 hours per week or less. If the nanny works 26 hours or more, you can expect to pay about $1,248.00 per year. If the nanny works less than 26 hours, you can expect to pay about $482.00 per year.
If you would like to learn more on this subject, please give Tim Russell a call at (888)962-3564.