Assisted living
Does my state require an assisted living facility to carry liability insurance?
Many states require liability insurance as a condition of licensure, and some prescribe a specific minimum limit. Others require insurance without stating an amount, and several impose no stated minimum at all. Because the requirement is set separately in every state, and because facility categories are defined differently in every state, there is no national answer.
Confirm the current requirement directly with the agency that licenses your facility category, and get it in writing. These provisions are amended more often than operators expect, so a requirement confirmed a few years ago should be reconfirmed rather than assumed.
Then treat it as a filing obligation rather than a benchmark. Where a stated minimum exists it typically sits far below what a lender, a landlord or one serious claim would require.
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More assisted living questions
Can we use one medication administration policy across several states?
No. Delegation rules differ by state, and a single national policy built to the most permissive state creates violations everywhere else.
What is a negligent admission or retention claim?
An allegation that the facility accepted or kept a resident whose needs exceeded what its license, staffing or building could safely meet.
What changes on our insurance when we open a second building?
The aggregate stops being academic. With one building, whether the annual aggregate is shared or per location makes no difference. With two it decides everything.
Do we need abuse coverage if we have never had a claim?
Abuse produces the largest verdicts and the most publicity in this industry, and the sublimit is where programs most often fail.
Is a business owners policy enough for an assisted living facility?
No. A general business policy has no adequate professional services grant, which is the exact coverage a negligent care claim requires.
Does adding a memory care wing change our insurance?
Yes, and adding the unit to a schedule of locations is not the same as underwriting it. Two exposures distinguish memory care and neither is addressed by an assisted living program.
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