As owners and operators of residential assisted living (RAL) communities, you know that our work carries both great rewards and important responsibilities. A recent Nurse Professional Liability Claim Report shows that claims involving nurses in senior living settings have been increasing. While that may sound concerning, the good news is this: there are clear, proactive steps you can take right now to reduce your exposure, strengthen your operations, and protect your team. The better news is that these proactive steps are already part of your recommended business practices.
Trends
The report found that nurses in assisted living and long-term care accounted for 12% of all closed malpractice claims, up from 10.5% in 2020. The average cost of resolving these claims also rose, now averaging $179,428 in senior living. We have previously had Meetup group meetings here at RALNA discussing these types of claims against RALS.
Common factors leading to claims include:
• Medication errors
• Inadequate monitoring of residents
• Delayed assessments or miscommunication after a change in condition
• Resident falls or safety incidents
These challenges highlight the importance of strong operational systems. The positive takeaway: when operators invest in training, communication, and compliance, claims become less likely — and staff feel more supported in their roles.
Employment Risks: Staying Ahead of Overtime and Wage Claims
In addition to clinical liability, operators are also seeing more wage and hour lawsuits — often tied to overtime rules or employee misclassification. These claims can be costly, but they’re also preventable with the right safeguards.
Common Solutions to Address These Risks:
• Stay compliant with overtime rules: Pay time-and-a-half for hours worked over 40 per week (unless your state sets stricter rules).
• Classify employees correctly: Avoid calling caregivers or nurses “independent contractors” unless the role truly qualifies.
• Keep accurate records: Strong timekeeping and payroll practices are your best defense.
By putting the right systems in place, you reduce risk, boost employee satisfaction, and protect your bottom line.
Practical Steps to Strengthen Your Community
Every operator has the opportunity to create a safer, more compliant, and more successful environment. Here are some action items you can take today:
- 1. Invest in staff training – Ongoing education builds confidence, reduces mistakes, and improves resident care.
- 2. Enhance communication – Clear updates to families and healthcare providers can prevent misunderstandings and reduce liability.
- 3. Audit wage and hour practices – A quick compliance review can help you avoid unexpected legal disputes.
- 4. Encourage documentation – Good records protect your staff, your residents, and your business.
- 5. Work with advisors – Partnering with experienced legal and insurance professionals ensures you’re fully covered.
The Bigger Picture
Yes, claims are on the rise. But that also means we, as operators, are being given a clear roadmap of where risks are and how to address them. By taking intentional steps, you’re not only protecting your business, you’re also creating a stronger workplace for your staff and a safer home for your residents.
The information provided above is intended for educational purposes and serves as a general guide. It is not tailored legal advice for specific circumstances. For detailed guidance on this topic, please consult with a qualified legal professional or reach out to our firm.
We welcome your feedback and topic suggestions! If there’s a particular issue that you would like to see addressed, please email me at [email protected].
