How to Insure Caregiver Drivers in Louisiana: A Comprehensive Guide
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You're probably aware that Louisiana requires all drivers to carry minimum liability insurance that meets state requirements. However, if you run a caregiving business or drive as a caregiver for others, you may need to purchase additional insurance to protect yourself and your passengers. In this guide, learn how to insure caregiver drivers in Louisiana.
Understand Louisiana's Insurance Laws
Louisiana is considered a no-fault state. This means if you're responsible for a car accident, your liability insurance policy will pay for the damage to the other person's property and any medical expenses they incur.
The minimum liability insurance required for personal automobile drivers in Louisiana is 15/30/25. This pays:
- $15,000 for one person's bodily injuries arising from a single-car accident
- $30,000 for all bodily injuries arising from a collision
- $25,000 for property damage related to an accident
Note that a limited-liability policy only compensates others harmed by a car accident you cause. It does not pay for damage to your vehicle or for any medical expenses you incur.
State law requires additional insurance coverage for healthcare workers driving in Louisiana. Minimum liability coverage for individuals or businesses offering common or contract passenger transport is:
- $250,000 for bodily injuries to one individual arising from a single-car accident
- $500,000 for all bodily injuries arising from a collision
- $10,000 for property damage related to an accident
If you're an employee of a caregiving business and transporting passengers is a part of your job, your employer must carry the requisite liability insurance and add you to their policy. You must purchase the extra coverage if you're a contractor or provide transport services as a business.
Review the insurance requirements of your state:
Importance of Liability Insurance for Caregiver Drivers
Liability insurance laws exist to protect drivers, passengers, and other involved parties financially in the event of an accident. As a caregiver, you're taking an extra risk by transporting individuals who require additional care. Your passengers may have medical conditions that make them more susceptible to injury or death if an accident occurs.
For instance, if you're transporting an elderly patient with osteoporosis, they may be more likely to experience a broken bone during a collision. Their already weaker bone structure boosts the likelihood of a fracture.
Implications of Louisiana's No-Fault Insurance System
Since Louisiana follows a no-fault system, the at-fault driver's insurance coverage pays for injuries and property damage to others in an accident. If you're at fault for an accident when transporting patients as a caregiver, your Louisiana car insurance company should pay their medical expenses, provided you have the appropriate coverage.
However, costs can quickly add up, especially if you're transporting multiple people. To protect passengers and yourself, you may want to enhance your liability coverage limits or add extra protections, such as medical payments or uninsured/underinsured motorist coverage.
Identifying Suitable Auto Insurance Options
Finding the right auto insurance as a caregiver starts with understanding your needs. The type of insurance required depends on several factors, including who owns the vehicle.
If you let caregivers use your personal vehicle to transport others, non-owner car insurance may apply. A non-owner policy offers liability coverage, and caregivers can set liability limits aligning with the 250/500/10 Louisiana state requirements.
Another option is commercial auto insurance, the best alternative for business owners with company cars used by caregivers to transport passengers.
Not all Louisiana car insurance companies offer commercial liability insurance for caregiver drivers. You may need to check with several insurers to find one that underwrites Louisiana policies for caregivers.
If you own a caregiving business but allow your employees to use their personal vehicles for work purposes, a hired/non-owned auto insurance (HNOA) policy may be a good fit. This type of policy protects the business from lawsuits if an employee is in an accident while driving for work.
Key Coverage Considerations for Home Care Workers
Home care workers typically offer caregiving services to one or two people in a single residence. They may have multiple patients, but they don't see them simultaneously. Instead, they go from home to home, providing services to each patient. They may transport one or two passengers in a personal or company vehicle when helping patients attend their doctor's appointments or handle other essential matters.
As a home care worker, you fall under Louisiana's commercial insurance laws if you transport passengers. If you work for a caregiving company, your employer may name you as an insured driver on their policy. You're responsible for knowing how to insure caregiver drivers and maintaining the appropriate insurance if you provide independent services.
Adding Caregivers as Insured Drivers
If you purchase a commercial liability insurance policy for your caregiving business, you may add other primary drivers who work for you. Anyone you list under your policy must be a valid driver under Louisiana law.
Eligible licensed drivers must be at least 18 and register with the Louisiana Public Safety Commission. Depending on the vehicle size and the number of people they transport, they may need to hold a Louisiana Commercial Driver or Chauffeur's License.
Understanding Exclusions in Caregiver Driver Policies
It's essential to thoroughly review your caregiver auto insurance policy for exclusions. An exclusion is something the insurer does not cover. If an accident or injury falls under the policy's exclusions, you may need to rely on alternate forms of insurance or pay costs out of pocket.
Some exclusions you may encounter include reimbursement for the driver's injuries or damage to the vehicle caused by something outside the driver's control, such as a weather-related event. Purchasing medical payments insurance may cover driver's injuries, while comprehensive coverage pays for vehicle repairs caused by an unforeseen event.
Importance of Regularly Reviewing Insurance Policies
Keep in mind that your insurance needs may change along with your business circumstances. Be sure to stay on top of:
- Following updates to Louisiana's commercial and passenger transport laws
- Insuring new vehicles you purchase for caregiver transport and removing old ones that are no longer used in the business
- Adding or removing new caregiver drivers from your insurance policy
- Increasing coverage amounts to reflect your risk levels
- Removing any unlicensed drivers from transportation duties until they meet state requirements
Comparing Auto Insurance Providers
Finding insurance compliant with caregiver auto insurance requirements in Louisiana can be complex, but EverQuote can help. Through EverQuote, you can access cheap car insurance rates from multiple providers in just minutes.
Simply provide us with basic information about yourself and your business, your vehicle type, and the coverage you need. We'll give you a thorough comparison of insurance options that meet your requirements. Get started today with EverQuote!