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How to Get a Home Health Care License in Arizona

Sep 1, 2023 · 5 minutes to read

The demand for home health care services in Arizona is growing as Baby Boomers get older and Gen X nears retirement age. Starting a home health agency is one way to enter the healthcare industry and cater to the needs of the state’s aging populations, those living with a disability, and people with chronic illnesses.

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Getting a home health care license is a vital step towards starting a private home care business. This article details how to get your home health care license in the Grand Canyon state.

Before You Apply for a License

Applying for a home health license may be easier if you take some steps to establish your agency first.

The application provided by the Arizona Department of Health Services asks for information about your business, its ownership, and the services you’ll provide. It may be useful to take some steps before focusing on the application:

  • Do market research – Understand the demand for home health services in your area, identify your competition, and discover how they do business (i.e., their services, what they charge, how they advertise).
  • Write a business plan – Determine the services your agency will provide, set business goals, create revenue forecasts and budgets, and start building a marketing plan.
  • Choose a business structure – Sole proprietor, partnership, or Limited Liability Company (LLC) are just some of the options you can choose from.
  • Establish your business – A business license and permits may be required to open a home health agency.
  • Sort your business finances – Get an Employer Identification Number (EIN) from the IRS and set up business bank accounts (if required for your business structure or desired).

Apply for a Home Health Care Institution License

A completed application must be submitted to start a home care agency in Arizona. You will be asked to provide details about your agency and meet state requirements, such as:

  • A copy of your commercial lease, if you are renting premises for your agency
  • Accreditation details, including Medicare/Medicaid certification
  • Business structure and ownership
  • Information about your computer servers and patient data storage
  • Pass a site inspection

A fee must be paid when filing your application.

Protect Your Agency

Insurance is not necessary to get a home health care license in Arizona. However, you are required by state law to have Workers’ Compensation for your employees.

While most insurance is optional, you may still want coverage for your home health agency. Claims and lawsuits can quickly become expensive. In a worst-case scenario, the unexpected bills that come with them could put you out of business. Insurance helps you cover legal fees, medical bills, and other unplanned expenses, so you don’t have to.

Arizona home health agencies typically consider:

Professional Liability – Also known as Errors and Omissions (E&O) insurance, this type of policy protects your business against claims of negligence, misrepresentations, or mistakes. Professional Liability claims are typically made by clients who allege some form of financial damage as a result of your services, products or employees.
Negligence claims are all too common for home health aides and agencies. Professional Liability insurance helps shield you if a patient or their family are unhappy with your services.

General Liability – These policies can protect you against any claim by an outside party regarding injury or damage to their property. In these instances, your policy will cover your legal expenses as well as your cost to replace or remedy the situation up to the limits of liability.
Home health aides may interact with many members of the public during the day. General Liability insurance helps protect you against third-party claims from health professionals, suppliers, delivery people, and others.

Business Owner’s Policy – Also called a BOP, this is a combination of policies, combining covers such as General Liability insurance and business personal property coverage, to help protect small businesses from costly interruptions to service.
A BOP is a convenient way to handle claims, like broken equipment or unplanned business interruptions, that could cost your agency money.

Hire Employees

Arizona home health agencies must employ qualified home health aides. You may require applicants to already have their certification or offer Arizona-approved home health aide training for successful hires.

Home health certification in Arizona requires just the federal minimum of training hours. This is 75 hours of instruction, with at least 16 clinical hours. There is no individual license required to work in the state, but home health aides must apply for a fingerprint clearance card in the first 20 days of employment (if they don’t already have this clearance).

Insurance Solutions for Home Health Agencies

Starting a home health agency in Arizona can be an excellent way to serve your community. While you may be focused on getting licensed, providing home health aide certifications that meet Arizona’s standards, and growing your home care business, consider protecting it as well.

BizInsure has insurance options tailored to the needs of Arizona’s home health agencies. With A-rated solutions at competitive prices, your agency could have instant protection in minutes.

Get instant quotes online now and see if you could save with BizInsure!

This information is a general guide only and does not take into account your objectives, financial situation or needs. Always check with your local licensing board when getting or renewing your [profession] license to ensure you are meeting their current licensing requirements.
As with any insurance, coverage will be subject to the terms, conditions and exclusions contained in the policy wording. The information contained on this guide is general only and should not be relied upon as advice. The number of quotes provided varies between products, occupations and other underwriting factors determined by the insurers.
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