DREENA asked in Business & FinanceInsurance · 1 decade ago

If a Company Of 3 Years is Not Insured and Bonded?

Who pays for the expenses if something were to happen to a client and employee? Can this company be sued, and if so, is it required by law that they are insured and bonded?

Note: Caregiving company in California.

Update:

Do they have to show client and employee that they have the insurance and bond paperwork to them that they are bonded.

4 Answers

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  • 1 decade ago
    Favorite Answer

    Well, the company!!! If you're not a corporation, the individual RUNNING the company can be PERSONALLY held liable!

    Absolutely, the company can be sued, and will probably lose.

    The ONLY insurance required by law is workers compensation, for the employees. Any other coverage is strictly voluntary. But you're crazy to not have it. OTOH, it's really expensive.

    Source(s): agent, 21+ years
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  • 1 decade ago

    State Laws are the ONLY thing that would govern whether or not a Caregiver is REQUIRED to carry any type of insurance. As a client or employee, you could say that you require that they carry insurance or you would not give them a contract, or sign on as an employee. Just be prepared to say no thanks if they say they are not willing to carry the insurance.

    Any company and/or it's owners can be sued for anything the company is liable for (il.e. negligence in the care of their clients). The only bond I can think of that might apply is an Employee Dishonesty bond and that only applies if an employee steals from a client and is prosecuted and found guilty.

    i hope this helps!

    Source(s): 10+ years in insurance
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  • 4 years ago

    Those sound about right. We would charge 3150-4100(you give a big size range) That's without insurance or bonding.

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  • Ted
    Lv 7
    1 decade ago

    It's your choice. You, the customer, can require proof of insurance as a condition of getting the contract.

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