Orlando, Florida—As the elderly population continues to increase, more and more medical facilities as well as independent companies, have experienced growth, which in any case for any business means good news. Bigger client base, more revenues. On the good side.

To qualify to start your NEMT business, you must meet several government requirements. First you have to bids for the opportunity to manage these services. You may need to:

• Obtain a business license and/or provide proof of a business license.
• Register with the county or city in which you plan to do business.
• Provide proof of vehicle insurance.
• Provide registration of your vehicle(s).
• Provide photos of your vehicle(s).
• Have your vehicle(s) inspected.
• Have your maintenance files inspected.
• Have your driver files inspected.
• Perform drug and alcohol testing.
• Comply with local regulations.
• Charge a standardized rate.
• Provide driver license identification.
• Provide proof of driver training.
• Provide more than one employee for some services.
• Provide a roster of personnel.
• Obtain a coordination contract or agreement with the Community Transportation Coordinator.
• Comply with Chapter 14-90 of the Florida Administrative Code.
• Have documented policies and procedures.
• Report your annual operating statistics, revenues, and expenses.

Potential brokers must submit bids, and the State Medicaid Agency evaluates them and choses brokers based on their “experience, performance, references, resources, qualifications, and costs.” Some states hold nongovernmental brokers accountable to their contracts and the State Medicaid rules through regular audits and monitoring. Medicaid NEMT is an important and necessary service for beneficiaries who do not have the means to get to and from their medical appointments. Everyone associated with Medicaid transportation must play their part to stop fraud and abuse.

We know transporting your elderly, and special needs clients, represents more equipment. In this case vehicles that are often outfitted with special features; plus, your drivers and staff are required to communicate effectively with medical staff, transfer patients with care, and maintain standards required by licensing agencies. When your business is growing, you will face even more challenges and risks as well.

Since most NEMT businesses are regulated by the state, each state levies minimum insurance requirements.  Further, many paratransit companies are contracted with various transportation Managers that have additional insurance requirements.  Transportation Managers often require they be added to the transportation vendor's policy as additional insureds. 

Some of the products you must consider for your particular type of business are:

• Auto Liability Insurance
• Physical Damage Insurance for Your Vehicles
• Property Insurance for your business premises
• General Liability Insurance
• Workers Compensation Insurance
• Excess or Umbrella Insurance

Insurance carriers usually have a set of non-emergency medical transportation requirements and rating factors you’ll need to consider. 

These include:

• The vehicle’s age and seating capacity
• The age of your drivers
• The vehicle’s features – vehicles equipped with light bars, sirens, and life support equipment including oxygen tanks are typically prohibited
• Safety equipment and written procedures - your insurance company might have guidelines for vehicles with wheelchair access

At Garzor Insurance, we welcome any inquiries regarding our Commercial Auto and NEMT products, as we are eager to help you find the right coverage solutions for your complex business!   Call us toady at (321) 206-8035 for a free quote and compare different providers.

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