Illinois Requirements

Illinois Home Services Agency Insurance Requirements (2026)

Illinois licenses home care in three distinct categories, and picking the wrong one is the most expensive mistake a new Illinois agency makes. The Illinois Department of Public Health issues Home Services Agency, Home Nursing Agency and Home Health Agency licenses under 210 ILCS 55 — and the category you hold determines your staffing model, your background check obligations and the liability limits your Community Care Program contracts will demand.

  • Three IDPH license categories under 210 ILCS 55 and 77 Ill. Adm. Code 245
  • $1,500 non-refundable license fee for a Home Services Agency
  • No state surety bond identified for home services or home health licensure
  • Fingerprint background checks required under the Health Care Worker Background Check Act

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Which Illinois license applies to you

A Home Services Agency provides non-medical personal care and homemaker services. A Home Nursing Agency provides nursing through licensed staff without Medicare certification. A Home Health Agency provides skilled nursing and therapy and is typically Medicare-certified. All three fall under the Home Health, Home Services, and Home Nursing Agency Licensing Act, 210 ILCS 55, with rules at 77 Ill. Adm. Code 245. The non-medical Home Services Agency license carries a $1,500 non-refundable fee.

No bond, but a real insurance obligation in the rules

Illinois does not impose a surety bond for home services or home health licensure in 210 ILCS 55 or Part 245. What the rules do require is more subtle: section 245.210(b)(6) requires an agency using contracted third-party staff to include, in the written agreement, a statement of responsibility for liability and insurance coverage including employment and workers' compensation. In other words, if you staff through contractors, your contracts have to allocate insurance explicitly — and IDPH can ask to see them.

Fingerprint background checks are non-negotiable

The Health Care Worker Background Check Act, 225 ILCS 46, and IDPH's Health Care Worker Background Check Code at 77 Ill. Adm. Code 955 require fingerprint-based Illinois State Police criminal history checks for anyone providing direct care, expressly including home services workers. Disqualifying offenses are enumerated in the statute, and IDPH maintains a Health Care Worker Registry recording findings of abuse, neglect and misappropriation. Checking the Registry at hire and documenting it is one of the strongest arguments you can make for better abuse and molestation pricing.

Workers' compensation in Illinois

Unlike Ohio, Illinois is a competitive market: you buy workers' compensation from a private carrier or qualify to self-insure, with the Illinois Workers' Compensation Commission regulating rather than underwriting. Penalties for going without are severe — up to $500 per day with a $10,000 minimum. For home care agencies, the premium turns on correct caregiver class code assignment and on your experience modification, both of which are worth auditing annually.

Community Care Program contracts set your limits

The Community Care Program is Illinois' primary 1915(c) waiver for older adults, operated by the Department on Aging with the Department of Healthcare and Family Services as the Medicaid agency. Part 245 does not state general or professional liability dollar limits, so the CCP provider agreement and any managed-care contract are what actually define them. The pattern we see most is $1M per occurrence / $2M aggregate general liability with $1M professional liability, additional insured status on a primary and non-contributory basis, and a waiver of subrogation on workers' comp — but read your own agreement rather than assuming.

Have us review your contract's insurance requirements

Building the Illinois program

A typical Illinois Home Services Agency carries $1M/$2M general liability with professional liability, a dedicated abuse and molestation limit, an employee dishonesty bond with third-party coverage, hired and non-owned auto for caregiver travel, workers' compensation from the first hire, and cyber liability once electronic client records or Medicaid billing are in play. Agencies holding a Home Nursing or Home Health license add higher professional liability limits and usually an umbrella for hospital discharge partners.

Have Insurance Requirements From a Client?

Send us the insurance requirements from your contract, lease, vendor agreement, or licensing agency. A KTL commercial insurance specialist will review the requirements and help determine the coverage, limits, and endorsements you need.

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Frequently asked questions

A Home Services Agency license from IDPH under 210 ILCS 55, with a $1,500 non-refundable application fee. Nursing and skilled services require the Home Nursing or Home Health license instead.