AboutKristen Mulcahy, CIC Expertise My specialty is commercial insurance for business owners. I can answer questions regarding
liability, property, auto, workers compensation, directors and officers, umbrellas and
risk management for all types of businesses. Risk management or loss control, is taking
measures to reduce the chances of a loss in the first place or, helping you prevent it
from happening again. Insurance can be complicated and confusing and there are no stupid
questions! I own a Risk Management company in New England that provides insurance consultations
to business owners and sight inspections for insurance companies.
Question QUESTION: I'm looking into care options for my aging mother. She has found someone through a friend that would assist her for 4-6 hours a day in my mother's home, and that would be willing to drive my mother's car to take my mother to appointments. What kind of problems do you see here, and what work arounds would you suggest for any that you see? Thanks!
ANSWER: Spencer;
Personally, and I went through this in the last few years with my own mother, I would seek out a company that provides this type of service, a Companions and Home Makers type of business because if anyone is going to be driving your mothers car, they will need to have a valid license and these companies verify that information on their employees so you wouldn't have to do it. The other issue would be the chance of injury to the worker/helper. If they slip and fall themselves while helping your mother and are injured, their employer will have workers compensation insurance to cover those injuries and again, you wouldn't have to worry about it. If you do reach out to one of those companies, make sure you ask, "Are your workers employees or independent contractors and do you have workers compensation insurance?" Some of these companies avoid paying for workers compensation by calling their employees "independent contractors". Another reason I would go through an agency, is because they are most likely licensed by the state you're in, in some way, and they have probably done a background check on their employees (I'd ask), that can give you a sense of comfort. Lastly, if you're located in a state where inclement weather could occur, an agency would have back up personnel incase the regular aid couldn't get to your mother, etc...
Now with that said, if you decide to use this person your mom found instead of an agency, ask them for a copy of their driving record and you'll need to have some sort of agreement drawn up by an attorney to relieve you of the liability incase this person is injured while caring for your mother.
I hope this has helped! If you have any other questions feel free to email me again.
Kristen
---------- FOLLOW-UP ----------
QUESTION: From an insurance perspective, what issues could come up if the woman is driving my mother in my mother's car and is involved in an accident? If it is established that she is being paid, does that void any coverage from my mother's insurance?
Thanks again,
Spencer
Answer Spencer,
Actually there's not much of an issue. If your mother has given him/her permission to drive her vehicle and your mother has valid insurance in place, from a liability standpoint, everything should be fine. With that said, I'd review the limits of insurance on your mothers policy. One issue that could arise is the care worker being seriously injured and not having an adequate amount of medical coverage on the policy and of course, having the other driver seriously injured and the limits on the policy being inadequate. If this is the route you go, sit down with the agent for your mothers policy to discuss limits and potential issues. You may need to add the care worker onto the policy as an additional driver. Another suggestion would be to examine and/or purchase an excess liability policy (umbrella) as well.
