What insurance is required by law for a one-person owner-only unarmed PPO agency?

What insurance is required by law for a one-person owner-only unarmed PPO agency?

• A. Must have $500,000 in liability insurance
• B. Workers compensation insurance
• C. No insurance required
• D. $1 million in liability insurance

Answer: (C)

In California, a one-person owner-only unarmed Private Patrol Operator (PPO) agency is not mandated to carry any specific insurance by law. This exemption acknowledges the unique situation of small, owner-operated businesses, simplifying their operational requirements and allowing them to focus resources on establishing and managing their operations without the burden of mandatory insurance. While larger agencies or those with employees typically have specific liability and workers' compensation insurance requirements to protect themselves and their employees, unarmed and owner-only agencies fall into a different category where such burdens are not legally required. This means they can operate without the financial overhead of insurance premiums, provided they comply with other regulatory obligations relevant to their business function.

In California, a one-person owner-only unarmed Private Patrol Operator (PPO) agency is not mandated to carry any specific insurance by law. This exemption acknowledges the unique situation of small, owner-operated businesses, simplifying their operational requirements and allowing them to focus resources on establishing and managing their operations without the burden of mandatory insurance.

While larger agencies or those with employees typically have specific liability and workers' compensation insurance requirements to protect themselves and their employees, unarmed and owner-only agencies fall into a different category where such burdens are not legally required. This means they can operate without the financial overhead of insurance premiums, provided they comply with other regulatory obligations relevant to their business function.