P-III.C · Liability Coverage
Household workers and workers' compensation (§11590)
A household that employs a nanny, housekeeper or other worker at home has a special exposure: that worker could be hurt on the job. California handles part of this exposure through the personal liability policy itself.
Under Insurance Code §11590, a comprehensive personal liability policy may not be issued or renewed in California unless it covers the insured's liability for workers' compensation owed to a residential employee described in Labor Code §3351(d), which includes child care. If a policy leaves this wording out, it is read as if the coverage were there.
Limits on the rule:
The coverage steps aside if other valid workers' compensation insurance applies.
Under §11591, the requirement does not apply to work in the insured's trade or business.
Remember
· §11590: a CA comprehensive personal liability policy must cover workers' comp owed to residential employees.
· It steps aside for other valid workers' comp, and does not apply to the insured's trade or business (§11591).
CA
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