Does Homeowners Insurance Cover Injured Workers?

Learn about homeowner liability for injuries to workers. Here’s what to know if you’re hurt while working in a private home.

Most injured workers are hurt at commercial job sites or businesses, but many are harmed working in private homes. Experts estimate there are at least 2.2 million domestic workers in American homes, most are home care aides.

In addition to domestic workers, there are millions of construction workers, including those who work “off the books” offering home repairs, roofing, painting, and other services.

When you’re injured on the job, you expect workers’ compensation benefits to cover your medical expenses and lost wages. But what if you’re hurt working in someone’s home? Depending on your work status, your options may be limited.

Here we discuss when domestic workers are covered by homeowner’s insurance and how workers can pursue compensation for injuries at someone’s home.

When Homeowner’s Insurance Covers Workers

Most property owners carry homeowner’s insurance. This covers damage to their home and provides financial protection in the event of a lawsuit filed by someone injured on the property.

Domestic workers, babysitters, and other business people like contractors, landscapers, postal workers, and others on the property to conduct business are classified as invitees. Family members, social visitors, and friends who drop by for coffee are classified as licensees.

Whether you’re an invitee or a licensee, the homeowner owes you a duty of care to provide a safe environment while on their property. Every state has premises liability laws that require property owners to do everything reasonably possible to protect visitors from harm.

Homeowner’s Insurance Injury Coverage

Most homeowner’s policies have two kinds of coverage for injuries:

  1. Medical Payment (Med-pay) coverage will only pay medical expenses for covered injuries. The injured person usually doesn’t have to prove the homeowner was negligent to make a med-pay claim. Med-pay coverage limits often range from $1,000 to $5,000 and won’t pay for pain and suffering.
  2. Personal Injury Liability coverage is meant to protect the homeowner from lawsuits filed by persons who are not members of the household. The insurance company will not pay liability claims unless there is proof that homeowner negligence was the proximate cause of your injuries. Liability coverage limits typically range from $100,000 to $300,000.

Injury Claim Exclusions

The homeowner is not automatically responsible for every injury that occurs on their property.

Most homeowner’s insurance policies won’t pay for injuries caused by:

Let’s say you’re a nanny, driving the kids to soccer practice in the homeowner’s car. If the car is rear-ended, your neck and back injuries should be covered by the at-fault driver’s auto insurance, or the uninsured motorist coverage on the car you were driving.

The homeowner’s insurance policy would not cover your injuries from the car accident.

Employment Status Makes a Difference

Eligible workers can rely on workers’ compensation insurance to cover their medical bills and a portion of their lost wages while they recover from a workplace injury. But not all employers are required to provide worker’s comp, and many states exempt certain classes of workers from eligibility for workers comp.

Classes of workers exempt from workers’ comp often include:

  • Domestic employees
  • Temporary workers
  • Freelance or independent contractors
  • Undocumented immigrant workers

Even though you’re working in a private home, you may still be eligible for workers’ comp when your wages are paid by:

  • A company, such as a residential cleaning service
  • A general contractor or subcontractor, usually for building repair or construction jobs
  • An agency, like a pet sitting or home health care service

Laws vary from state to state. Find your State Workers Compensation Office here.

Proving the Homeowner’s Negligence

If you’re not eligible for workers’ comp benefits, you will have to file a personal injury claim against the homeowner. Even if you were invited onto the property to work, you still have to prove the homeowner is at fault for the circumstances that led to your injury.

You’ll have to prove the homeowner was negligent by showing:

  1. The homeowner knew a dangerous condition existed or could exist.
  2. The homeowner had time to repair the danger but failed to do it.
  3. The dangerous condition was the direct and proximate cause of your injuries.
  4. You didn’t know the condition existed or couldn’t avoid it.
  5. You didn’t contribute to the circumstances that caused your injury.
  6. You didn’t agree to assume the risk of injury.

Example: Liability for Rotted Porch Floor

Mike ran a home repair and handyman business. He was hired to install a security door on the front of Susan’s home. While bringing his toolbox onto the front porch to begin removing the old door, some rotted planks gave way under his feet. Mike fell through the porch floor, breaking an ankle and straining his knee.

Susan knew the porch floor was in bad shape but decided to have the door replaced first. She always came in by the side door to avoid the rickety porch.

Susan failed to repair the rotted porch floor and failed to warn Mike to stay off the porch. Therefore, homeowner negligence was the direct and proximate cause of Mike’s injuries.

If Mike had been hired to fix the rotting porch, he might not be covered by the home insurance. The insurance company would argue he assumed the risk of injury when he accepted the job. 

Evidence is Crucial to Your Claim

Even for simple Med-pay claims, you need to prove your injury occurred on the property and prove the extent of your injuries. For liability claims, you’ll also need to collect evidence that shows the homeowner’s negligence.

Medical Care: Without medical records of your injury, you don’t have a claim. If you’re hurt, tell the homeowner and get immediate medical treatment.

If you are seriously injured, call 911. Electric shocks, falling from a roof, head injuries, or being drenched by a pot of boiling water are all examples of situations requiring emergency care.

Shock and distress can mask pain and other symptoms of severe injuries. If you aren’t taken directly to the hospital, have a medical evaluation as soon as possible. Refusing or delaying medical treatment will make it very hard to build a strong claim later.

Insurance Information: Ask the homeowner for their insurance company’s contact information. If they don’t volunteer the information up front, you may have to file a lawsuit.

Witness Statements: Witnesses can be game-changers in an injury claim. If you have cooperative witnesses, get their contact information. Ask them to write down what they saw and then sign and date their written statement.

Photographs: If you’re able, take photos or videos of where you were injured, and details of what caused your injury. Also take pictures of your injuries as soon as possible, and throughout your recovery.

What if I’m Working “Off the Books?”

Imagine you’re a licensed electrician laid off from your full-time job. Your neighbor needs help building an addition to his home. He offers to pay you “off the books” to install all the electrical outlets in his new room. You could use the cash.

What happens if your neighbor drops a two-by-four on you or the electrical circuit you’re completing shorts out and burns you? Working on your own, you won’t have the protection of worker’s compensation coverage to tide you over financially if you suffer significant injuries.

Your only option will be to seek compensation from your neighbor’s homeowner’s insurance policy.

If you were injured grabbing the wrong wire, that’s not your neighbor’s fault. Med-pay coverage could pay your medical expenses up to the coverage limits, usually $5,000 or less. Med-pay won’t pay for lost wages or pain and suffering.

If you’ve suffered more serious injuries and can prove your neighbor was negligent when he dropped that two-by-four on you, you can file a lawsuit against him. His insurance company will hire an attorney to defend him against your claims.

Working “Off the Books” Complicates Injury Claims

This is where it gets tricky. When you hire an attorney to sue your neighbor, the attorney will ask for copies of your medical records and bills, receipts for out-of-pocket expenses, and proof of your lost wages.

If you’ve been paid cash “under the table” you don’t have a pay stub, and probably haven’t paid state and federal income taxes on that money. You can’t sue for lost wages without income verification.

Good luck getting a wage statement from the guy you’re hauling into court.

In the lawsuit, you’ll have to explain how you came to be hurt at your neighbor’s home, and your neighbor will tell his side of the story.

If you haven’t paid income taxes, or if you’ve been collecting unemployment insurance since you were laid off, you may inadvertently incriminate yourself if you admit that you’ve been working and collecting unreported wages.

When to Hire an Attorney

If you have recovered from soft tissue injuries like minor cuts and bruises, sprains, or muscle strains, you can probably handle a Med-pay claim directly with the insurance company.

You won’t be able to recover anything for pain and suffering, but you can pursue compensation for your medical bills, out-of-pocket expenses, and maybe lost wages. Send your demand in writing with copies of all your medical bills and records, and a statement of your lost wages.

If your injuries are severe and costly, like broken bones, extensive burns, head trauma, or any permanent injury, you’ll need an experienced attorney to convince the insurance company to pay the full value of your claim. Your attorney can also discover if the homeowner has any supplemental liability insurance, like an umbrella policy, that would apply to your claim.

Don’t be afraid to have a confidential consultation with an attorney to discuss your work status and compensation options. There’s no obligation, and it costs nothing to find out what a good personal injury attorney can do for you.

Homeowner Liability for Injured Workers Questions