Private Patrol Operator Practice Test

What type of insurance is required for an unarmed PPO agency with at least one employee?

1. General Liability Insurance

2. Property Insurance

3. Workers' Compensation Insurance

4. Professional Liability Insurance

The correct answer is: Workers' Compensation Insurance

For an unarmed Private Patrol Operator agency that employs at least one person, Workers' Compensation Insurance is mandated. This type of insurance provides coverage for medical expenses and a portion of lost wages for employees who may suffer work-related injuries or illnesses. It's crucial for protecting both the employees and the employer from the financial impact of potential workplace injuries. In many states, the law requires coverage to ensure that employees have access to necessary medical care and compensation in the event of a workplace incident. Additionally, having Workers' Compensation Insurance can help the employer mitigate the risk of lawsuits related to workplace injuries. While General Liability Insurance and Professional Liability Insurance are important for various operational risks and professional services, they do not specifically address the needs of employee protection as Workers' Compensation does. Property Insurance would cover physical assets but is not relevant to employee-related accidents or health issues. Therefore, Workers' Compensation Insurance is the correct choice for a PPO agency with employees.