Several states will not license a home care agency until the certificate arrives.

General and professional liability

A fall during a transfer, a missed medication reminder, damage in a client’s home. Usually written together for this class, at the $1,000,000 and $3,000,000 limits California and Illinois set by law.

Without it — No license in the states that require it, and no defense when a family sues over the care itself.

Employee dishonesty bond

Third-party coverage when a caregiver is accused of stealing from a client. California, Virginia and Connecticut name a minimum in the license rule.

Without it — The accusation every agency eventually receives, paid from the agency’s own account.

Abuse and molestation

Defense of an abuse or neglect allegation from a client or a family, including negligent hiring and supervision.

Without it — Excluded from standard general liability forms, and the claim most likely to close an agency.

Hired and non-owned auto

Liability when caregivers drive their own cars between clients or drive a client to an appointment.

Without it — The agency is named in the suit and the caregiver’s personal policy defends only the caregiver.

Workers compensation

Caregiver injuries, overwhelmingly from lifting and transfers. California’s license rule requires it outright.

Without it — The medical bills and lost wages from a transfer injury are owed by the agency, and in California the license itself is at risk.

Cyber and privacy

Breach response for client records, schedules and visit verification data.

Without it — Notification costs start immediately and are covered by no other policy here.

Is this the same as home health insurance?

No, and the license decides it. A home health agency provides skilled nursing and therapy under physician orders and usually bills Medicare or Medicaid. A non-medical home care agency provides companionship, personal care and help with daily living, and is licensed or registered separately in most states. The coverage list is similar; the rating, the limits a regulator names and the medication rules differ.

Home health agency insurance, by state

What limits does my state license require?

Of the licensing rules we checked, California and Illinois require $1,000,000 per occurrence and $3,000,000 aggregate, Virginia and Washington require $1,000,000 per occurrence, and Connecticut and New Jersey require a $10,000 bond. Nevada requires coverage without naming a figure, and Florida’s registration statute sets none. The rules and their sources are listed on this page. Contracts with Medicaid plans and referral sources often ask for more than the license does.

Our caregivers give medication reminders. Is that covered?

Reminding and assisting is ordinary non-medical work and sits within a home care policy when it is described on the application. Administering medication is a nursing act in most states and belongs on a home health policy with licensed staff. Describe exactly what your caregivers do, because a claim arising from a task the application never mentioned is where coverage disputes start.

How fast can a new agency get a certificate for its license application?

Often within a day or two once the application is complete. A new agency has no loss history, so the underwriter reads the owner instead: resumes, years in care, any agency previously run. Have those ready with your service list and expected caregiver payroll, and send us the license checklist so the certificate shows the exact limits and wording the state asks for.

What do home health and home care agencies pay for insurance?

From policies we bound effective January 2025 to September 2026. Professional liability (including combined general and professional packages): home health and home care agencies we placed paid a median of $800 a year, with the middle half between $510 and $1,580 (33 policies from 24 agencies). Workers compensation: home health and home care agencies we placed paid a median of $2,060 a year, with the middle half between $1,610 and $3,150 (21 policies from 17 agencies). General liability, written on its own: home health and home care agencies we placed paid a median of $350 a year, with the middle half between $350 and $510 (7 policies from 7 agencies). Payroll, services, limits and claims history move the figure, so treat it as scale rather than a quote.