What is Private Households Insurance?
Private households insurance protects individuals who employ domestic workers such as housekeepers, nannies, gardeners, or personal chefs. These policies help cover liability risks and workers’ compensation in case an employee is injured or causes damage while on the job. It’s important coverage for homeowners who have regular in-home staff.
Who Needs It
If you hire anyone to work in your home regularly—whether full-time or part-time—you may need private households insurance. This includes:
- Families employing a live-in nanny or au pair
- Homeowners with cleaning or landscaping staff
- Individuals with personal chefs, drivers, or caregivers
Even if your household staff is hired through an agency, you may still be responsible for certain liabilities.
What It Typically Covers
Private households insurance may include:
- Workers’ compensation: Covers medical costs and lost wages if a domestic employee is injured on the job
- Employer’s liability: Provides legal defense and settlement support if an employee sues for a work-related injury or illness
- Third-party liability: Covers accidental damage or injuries caused by a domestic worker to someone outside your household
Some policies may also include coverage for wrongful termination or harassment claims, depending on the insurer.
Common Exclusions and Limitations
Private households insurance usually does not cover:
- Contractors or workers not classified as household employees
- Intentional acts or criminal behavior
- Damages resulting from non-work-related activities
Make sure to review any exclusions in your policy to understand what is and isn’t covered.
Factors That Influence Cost
Several factors can affect the cost of private households insurance, such as:
- Number of employees and their job roles
- Full-time vs. part-time employment
- Location of your home
- History of past claims or liability issues
Insurers may also consider payroll size and whether employees live on the premises.
Proof of Insurance and Compliance
Many states require homeowners to carry workers’ compensation for in-home employees. Having proof of insurance helps ensure compliance with local labor laws and protects you from financial risk. Be sure to check your state’s requirements, especially if you pay your employees directly rather than through an agency.
How to Get a Quote
Getting coverage for your household staff is quick and easy. To explore your options and request a quote, visit our quote page.
Frequently Asked Questions
Do I need insurance if I hire a babysitter occasionally?
If the babysitter is hired occasionally and not regularly employed, you may not need a full private households policy. Check with your insurer for guidance.
Is workers’ compensation required for household employees?
Requirements vary by state, but many states do require workers’ compensation for domestic employees. It’s best to confirm with your local regulations.
Are household employees covered under homeowners insurance?
Standard homeowners insurance typically does not cover injuries to domestic workers. A separate private households policy may be necessary.
What happens if my housekeeper gets hurt on the job?
A private households policy with workers’ compensation can help cover medical costs and lost wages resulting from a job-related injury.
Can I include multiple employees under one policy?
Yes, most private households policies allow you to cover more than one domestic worker under a single policy.
Still have questions? Talk to a local insurance expert.