What Bonded and Insured Mean for Pet Sitters and Dog Walkers

Why these words come up when you hire a sitter

When you hand over a key, you want to know what happens if something breaks, goes missing or someone gets hurt. Pet Sitters International (PSI), a professional association for pet sitters, suggests asking any sitter whether the company is insured and bonded, and asking for proof of coverage.

Our own pet sitting FAQs say insurance is not required for a dog sitter but is highly advised. On the licensing side, the Department of Licensing and Consumer Protection (DLCP) lists the requirements for its General Business category, which includes Pet Services, as a certificate of occupancy or home occupation permit, corporate registration if applicable, and tax registration with a Clean Hands certificate. Insurance is not on that list, so check each sitter's coverage yourself.

Danny's Pet Care says its sitters are insured and background-checked. As with any sitter, ask to see proof rather than taking the words on trust. For the rest of the vetting list, see how to choose a pet sitter or dog walker.

Liability insurance: harm the business causes

The DC Department of Insurance, Securities and Banking (DISB) describes a commercial general liability policy as coverage for bodily injury, personal injury and property damage caused by a business's operations. For a pet sitter, that kind of policy might come into play if a sitter left a tap running and flooded a kitchen, or if a walked dog knocked a passerby down. Whether any given claim is covered depends on the policy's wording, its limits and its exclusions.

Some businesses buy liability coverage as part of a bundle. DISB describes a business owner's policy as combining general liability, commercial property and business income insurance in one policy.

Coverage for your pet while it is in the sitter's care

Liability policies are written around harm to other people and their property, so it is fair to ask how a sitter's policy treats the animals it cares for. PSI tells pet owners to confirm that a sitter's policy has adequate coverage and is customized for pet-care businesses.

DISB's small business insurance guide describes a related type of coverage, bailee's customer insurance, which covers a business's legal liability for damage, loss or destruction of customer property while it is in the business's care, custody or control. Policies use different names and terms, so the practical step is simple: ask the sitter, or the insurer named on their certificate, whether injury to or loss of a pet in their care is covered.

Bonds: what bonded can mean

A bond is not the same as an insurance policy, and bonded can describe several different arrangements. These are the terms you are most likely to hear:

• Fidelity bond. DISB's fact sheet for cleaning businesses says crimes by employees are addressed through employee dishonesty coverage or a fidelity bond, and its small business guide says commercial crime insurance, also called fidelity or crime insurance, protects businesses from financial losses due to theft, fraud and other dishonest acts. In plain terms, a fidelity bond mainly protects the business.
• Surety bond. DISB's small business guide describes a surety bond as an arrangement in which a third party, the surety, backs a business's promise to meet its contractual or legal obligations to another party, the obligee. If the business fails to deliver, the surety steps in, often by paying the obligee, and then seeks repayment from the business.
• Contract and commercial bonds. The U.S. Small Business Administration (SBA) explains that contract bonds make sure the terms of a specific contract are fulfilled, while commercial bonds, which government agencies require of certain businesses, make sure laws and regulations are followed and protect the public against things like fraud.
• Janitorial-style bonds. DISB's fact sheet for cleaning businesses describes janitorial bonds as a contract among three parties that protects clients if employees steal from the company or from the property where they are working. When a home-service business says it is bonded, it may mean a bond of this kind.
• What to ask. If any sitter says they are bonded, ask what kind of bond it is, who it protects, who issued it, and how a client would make a claim.

Workers' compensation for sitters who are employees

DISB's small business guide describes workers' compensation as insurance that covers medical expenses, lost wages and rehabilitation costs for employees who are injured or become ill while working, and says it is generally mandatory for employers. The DC Department of Employment Services (DOES) runs the District's Workers' Compensation Program, which processes claims and monitors employers for compliance with insurance coverage requirements.

For you, the point is practical. If a walker employed by a company slips on your icy steps, workers' compensation is generally the coverage designed for an employee's on-the-job injury. Ask a company whether its walkers are employees and whether it carries workers' compensation. The rules depend on the business and the worker, so DOES is the place for specific questions.

How to ask for proof, and what proof does not tell you

Ask for a certificate of insurance (COI). DISB describes a COI as a document that proves a business or individual has insurance coverage, and it advises customers to get one from the service providers they hire. DISB also cautions that a COI does not automatically mean coverage will be provided for every issue; it is proof of the coverage an insurer has issued.

When you read a certificate, check that the business name matches the company you are hiring, the policy dates are current, and the types of coverage match what you were told. DISB's fact sheet says you can search its insurance licensing portal or call DISB to check whether an agent or insurer is licensed in DC. Mount Rainier readers can take insurance questions to the Maryland Insurance Administration, which regulates insurance in Maryland.

Insurance and bonds may pay for some losses after the fact. They do not show that a sitter is careful, kind or good with a nervous dog. That is why PSI lists training and background checks as separate questions, and why our meet-and-greet questions matter as much as any certificate. Our pet sitter service page explains how our in-home visits work, our services page lists what we offer, and you can contact us with questions. Key handling has its own guide: keys, lockboxes and smart locks.