Insurance Recommendations

Effective Date: January 25, 2025

Company: LoopHood, Inc.

⚠️ CRITICAL: LOOPHOOD PROVIDES NO INSURANCE

LoopHood does NOT provide ANY insurance coverage for transactions, services, rentals, or products exchanged through the platform.

YOU are solely responsible for obtaining appropriate insurance coverage. Without insurance, YOU assume ALL financial liability for injuries, damages, losses, or claims arising from your activities.

WHY INSURANCE MATTERS

Insurance protects you from financial ruin if something goes wrong. Without insurance:

• You could be personally liable for hundreds of thousands of dollars in damages
• Medical bills, legal fees, and property damage could bankrupt you
• You have no protection if sued by clients, customers, or injured parties
• Your personal assets (home, savings, car) could be seized to pay claims

The recommendations below are guidelines only. Consult with a licensed insurance agent to determine appropriate coverage for your specific situation.

1. CHILDCARE SERVICES

⚠️ HIGH RISK: Insurance STRONGLY RECOMMENDED

Recommended Coverage

General Liability Insurance:

Coverage Amount: $1,000,000 - $2,000,000
What It Covers: Bodily injury, property damage, medical expenses
Approximate Cost: $300-$600/year

Professional Liability (Errors & Omissions):

Coverage Amount: $500,000 - $1,000,000
What It Covers: Negligence, mistakes, failure to supervise
Approximate Cost: $200-$400/year

Recommended Insurance Providers

NEXT Insurance - Childcare & Babysitting Coverage

Hiscox - Small Business Insurance

State Farm - Home Daycare Insurance

2. PET CARE SERVICES

Recommended Coverage

Pet Care Liability Insurance:

Coverage Amount: $500,000 - $1,000,000
What It Covers: Pet injuries, bite injuries, property damage by pets
Approximate Cost: $200-$400/year

Care, Custody, and Control Coverage:

Coverage Amount: $50,000 - $100,000
What It Covers: Injury or death of pets in your care
Approximate Cost: $100-$200/year

Recommended Insurance Providers

Business Insurers of the Carolinas - Pet Care Coverage

Pet Sitters Associates - Comprehensive Pet Care Insurance

3. ELDER CARE SERVICES

⚠️ HIGH RISK: Insurance STRONGLY RECOMMENDED

Recommended Coverage

Professional Liability (Caregiving):

Coverage Amount: $1,000,000 - $2,000,000
What It Covers: Negligence, falls, medication errors, failure to supervise
Approximate Cost: $400-$800/year

General Liability Insurance:

Coverage Amount: $1,000,000 - $2,000,000
What It Covers: Bodily injury, property damage
Approximate Cost: $300-$600/year

Recommended Insurance Providers

NEXT Insurance - Senior Care Coverage

Hiscox - Elder Care Providers

4. VEHICLE RENTALS

⚠️ CRITICAL: Traditional Auto Insurance Often EXCLUDES P2P Rentals

Most personal auto insurance policies DO NOT cover peer-to-peer vehicle rentals. You MUST verify coverage or obtain specialized insurance.

Insurance Options

Option 1: Commercial Auto Insurance

Coverage Amount: Minimum $500,000 liability
What It Covers: Liability, collision, comprehensive during rental
Approximate Cost: $1,500-$3,000/year (varies widely)
Requirement: Owner must have commercial policy

Option 2: Turo Insurance

Coverage Amount: Up to $1,000,000 liability
What It Covers: Liability, physical damage during rental
Cost: Percentage of rental fee (10-40%)
Note: If listing on Turo instead of LoopHood

Option 3: Personal Policy with P2P Endorsement

Some insurers offer P2P rental endorsements
Must explicitly confirm coverage with your insurer
Get written confirmation before renting

Recommended Actions

BEFORE RENTING YOUR VEHICLE:

1. Call your insurance company and ask specifically about P2P rentals
2. Get written confirmation of coverage or denial
3. If not covered, obtain commercial insurance or specialized P2P policy
4. Verify renter has appropriate insurance that covers P2P rentals
5. Exchange insurance cards and document before rental begins

Insurance Providers to Contact

State Farm - Ask about P2P rental coverage

Turo - P2P Car Sharing Insurance

Contact multiple insurers as P2P rental policies vary significantly.

5. TOOL & EQUIPMENT RENTALS

Recommended Coverage

Equipment Floater Policy:

Coverage Amount: Replacement value of equipment
What It Covers: Theft, damage, loss of tools/equipment
Approximate Cost: $100-$300/year for $5,000-$10,000 coverage
Recommended For: High-value tools ($500+)

General Liability (Optional):

Coverage Amount: $500,000 - $1,000,000
What It Covers: Injury or property damage caused by your equipment
Approximate Cost: $200-$400/year

Recommended Insurance Providers

State Farm - Personal Articles Policy

Allstate - Equipment Coverage

GENERAL INSURANCE TIPS

1. Always Verify Coverage Before Transacting

Don't assume your existing policies cover P2P activities. Call your insurer and ask specifically about the type of transaction you're planning.

2. Get Confirmation in Writing

Ask your insurance agent to provide written confirmation of coverage, including policy numbers and effective dates.

3. Consider Umbrella Policies

Personal umbrella liability policies provide $1-$2 million in additional coverage for only $150-$300/year. This can protect your assets in catastrophic scenarios.

4. Document Everything

Keep copies of insurance cards, policy declarations, and written confirmations. Exchange this information with other parties before transactions.

5. Review Policies Annually

As your activities change, so do your insurance needs. Review coverage annually and update as necessary.

INSURANCE CHECKLIST

Before Engaging in High-Risk Activities:

Call your insurance company and ask specifically about P2P/sharing economy coverage

Get written confirmation of coverage or denial

If denied, obtain appropriate insurance before proceeding

Verify the other party has appropriate insurance

Exchange insurance cards and keep copies

Keep proof of insurance readily available during transactions

IMPORTANT DISCLAIMER

LOOPHOOD DOES NOT PROVIDE INSURANCE COVERAGE OF ANY KIND. THE INSURANCE RECOMMENDATIONS ON THIS PAGE ARE FOR INFORMATIONAL PURPOSES ONLY AND DO NOT CONSTITUTE INSURANCE ADVICE, ENDORSEMENTS, OR GUARANTEES.

LoopHood is not affiliated with any insurance providers listed. Consult with a licensed insurance agent or broker to determine appropriate coverage for your specific needs. Insurance requirements, coverage, and costs vary by state, activity, and individual circumstances.

Questions About Insurance Requirements?

Email: safety@loophood.app

For insurance quotes and advice, contact a licensed insurance agent in your state.

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