Au Pair Insurance FAQ: Your Questions Answered

Got questions about au pair insurance? We've got answers. Here are the most common questions host families ask.

General Questions

Do I really need insurance for my au pair?

Yes. At minimum, you need:

Auto insurance (if they drive) — Required everywhere
Workers' compensation — Required in many states

Beyond legal requirements, insurance protects you from potentially massive liability if something goes wrong.

Doesn't my au pair agency provide insurance?

Partially. Agencies provide basic medical insurance for the J-1 visa. This covers personal health issues (doctor visits, illness, etc.).

It does NOT cover:

Work-related injuries (you need workers' comp)
Driving accidents (you need auto insurance)
High-cost medical events (limits are often low)

How much will all this cost?

For most families, total annual costs are:

| Coverage | Annual Cost | |----------|-------------| | Workers' comp | $500 - $1,500 | | Auto addition | $200 - $800 | | Supplemental medical | $150 - $400 | | Total | $850 - $2,700 |

Costs vary significantly by state and your specific situation.

Workers' Compensation

What is workers' compensation?

Workers' comp is insurance that covers employees injured on the job. It pays for:

Medical treatment
Lost wages during recovery
Rehabilitation
Death benefits (worst case)

Does my state require workers' comp for au pairs?

States that require it (always):

California, New York, New Jersey, New Hampshire, Hawaii, Alaska

States with hour/wage thresholds:

Massachusetts (16+ hours/week)
Connecticut, Iowa, Minnesota, Utah ($1,000+/quarter)
Washington DC (240+ hours/quarter)
Several others

States where it's optional:

Texas, Florida, and most other states

Even in "optional" states, workers' comp is recommended.

What happens if I don't have workers' comp and my au pair gets hurt?

You're personally liable. You could be responsible for:

All medical bills (easily $10,000 - $100,000+)
Lost wages
Pain and suffering damages
Legal fees if you're sued

Plus, in states that require coverage, you'll face fines and potentially criminal charges.

My homeowners insurance covers liability. Isn't that enough?

No. Homeowners policies typically exclude household employees from liability coverage. Workers' comp is separate and specifically covers employment-related injuries.

How do I get workers' comp?

Options include:

Household employment specialists (GTM, HomeWork Solutions)
Small business insurers (NEXT Insurance)
State funds (in some states)

Take our quiz to get specific recommendations.

Auto Insurance

Do I need to add my au pair to my auto insurance?

If they drive, yes. Most policies only cover named drivers and immediate family. Your au pair needs to be listed.

What if they only drive occasionally?

Still add them. Even occasional driving needs coverage. One accident without proper coverage could be devastating.

Can my au pair get their own car insurance?

Technically yes, but it's usually:

More expensive
More complicated (they're not a U.S. resident)
Unnecessary (adding to your policy is simpler)

Does my au pair need a U.S. license?

Most states accept foreign licenses for visitors, and au pairs on J-1 visas typically qualify. However:

An International Driving Permit (IDP) is helpful
Some insurers prefer a U.S. license
Your au pair can get a state license if they want

What if my au pair is under 25?

Insurance will be more expensive, as it is for any young driver. Shop around — rates vary significantly between companies.

Medical Insurance

What does the agency medical insurance cover?

Typical agency plans cover:

Doctor visits
Hospital stays
Emergency care
Prescriptions

With limits usually around $50,000 - $100,000.

What doesn't agency insurance cover?

Common exclusions:

Pre-existing conditions (often)
Dental and vision (usually)
Mental health (limited)
Work-related injuries (never — that's workers' comp)

Should I get supplemental medical insurance?

Consider it if you want:

Higher coverage limits
Dental and vision
Mental health coverage
Coverage for pre-existing conditions
Lower out-of-pocket costs

Supplemental plans cost $150 - $400/year.

What if my au pair gets sick? Which insurance do I use?

Regular illness/injury: Agency medical insurance first
Work-related injury: Workers' compensation
Car accident: Auto insurance

Cost Questions

Why is insurance so expensive in some states?

Several factors:

State regulations (NY and CA have strict requirements)
Medical costs (higher in major metros)
Lawsuit environment (some states have more litigation)
State insurance funds (can be more/less competitive)

Can I deduct au pair insurance on my taxes?

Possibly. If your au pair provides childcare that allows you to work:

Workers' comp may be deductible as a household expense
Childcare costs may qualify for the Child Care Tax Credit
Consult a tax professional for your specific situation

What's the cheapest way to get covered?

Shop around — Get multiple quotes
Bundle services — Some providers offer discounts for payroll + insurance
Consider higher deductibles — If you can afford them
Skip supplemental medical — If agency coverage is adequate (but review limits)

Don't skip required coverage to save money — the risk isn't worth it.