CQC Care Home Ratings – what does it mean for your Care Home Insurance?
Many Care Home owners that we speak to are eagerly awaiting the new CQC rating system although there is always that nervous anticipation of quite how the inspection will go and of course what rating your home will receive.
When the star rating system was introduced some years back there was much more concern amongst care home owners about what effect this would have on their home and there were several deficiencies with the system but, overall it seems that when it was stopped it left everyone in a state of limbo with the replacement reports not being as easily understood by the public.
With the new rating system being based on the Ofsted system of Outstanding, Good, Requires improvement and Inadequate anyone looking for a care home suitable for their needs, or those of a loved one, will form an instant opinion before reading the inspection reports.
In the same way your Care Home Insurance could be affected.
Insurers are using technology much more these days, fraud databases, company information, credit checks and the like have been in place for some years. Google street view is often used to “see” the Care Home and make a judgement on not only if it is of standard construction but also if it is in good condition and well maintained.
Now with the CQC ratings Insurers, like potential residents, will form an opinion on the home. If rated Excellent Insurers will be keen for your business but if rated Inadequate will Insurers offer you a quote?
In the previous era of star ratings there were some Insurers that would not offer cover to the low star rating homes and those that did applied a higher premium so it is highly likely that a similar stance will again be taken by the Care Home Insurance market
In recent years there have been several Insurers withdraw from quoting care homes so there are fewer Insurers now than under the old star rating meaning that if you do get anything less than a Good rating there might not be too many places to go to find Insurance.
Your rating will then stay with you until the next inspection so your Insurance renewal could fall between this period and be taken into account by the Insurers. Make sure that you have your action plan available to send to your Insurance Broker so that you can demonstrate what you have done to address the improvements required following the inspection. This way your Insurance Broker will be able to make good representation on your behalf to ensure the most competitive premiums are secured for you.
Of course the best situation is to be awarded Good or Excellent and I am sure that the majority will strive to achieve this status – good luck to you all over the coming year, please don’t hesitate to call me if you have any Care Home Insurance queries.