Does Michigan require Workers Compensation Insurance for Nannies or Domestic Workers?
You may not think of your home as a workplace, but when you hire domestic workers, that’s what it is. Household employers in Michigan must carry a workers’ compensation insurance policy if they work 35 hours or more per week for at least 13 weeks during a 52 week period. Workers Compensation insurance can assist with medical expenses and lost wages if an employee has a work-related injury or illness while employed in your home. Employers have additional protection since workers who accept benefits generally forfeit their right to sue the employer regardless of fault. Domestic workers can be nannies, home health care workers, or anyone who performs household services full-time.
Why do you need Michigan workers’ compensation insurance if you employ a domestic worker?
Families that don’t have workers’ compensation insurance coverage can be liable if a workplace injury occurs in the home. Employers’ liability could include employee medical expenses, doctor visits, rehabilitation, medication, and lost wages. A significant accident to your domestic worker could be financially devastating to your family. In addition to financial liability, Michigan can impose substantial fines with the Bureau of Workers’ Disability Compensation for not having a worker’s compensation policy.
The Penalties if you do not carry Michigan Workers Compensation
- First of all, if a worker gets an injury on the job, they may sue the employer for civil damages. If the employer were at fault for the injury, the employer could be liable for medical payments and lost wages.
Will my homeowner’s insurance protect me if I am sued?
Homeowner’s insurance protects you if someone like a roofer or electrician has an injury while working in your home. It’s not made to cover employees, which your nanny or domestic worker is.
How to get a Michigan Workers Comp policy for your domestic worker
Click the MI Worker’s Compensation Quote button to fill out the information on the type of coverage you need, or call 248-277-4505. You must purchase a worker’s compensation policy from a Michigan insurance agent.