Court of Appeals Decides Issue of First Impression for Homeowner's Insurance
The Court of Appeals held that babysitting can qualify as a business pursuit in Zulpo v. Farm Bureau Mut. Ins. Co. of Arkansas, Inc., No. 06-787.
Ms. Zulpo babysitted 1-year old Jeron McGrew in her home for $100 per week. One day, she left the child in care of Mr. Zulpo. Jeron died, and the lawsuit that followed presented an issue of first impression in Arkansas:
Whether providing full-time child-care services for compensation in one's home, on a regular basis, comes within a "business-pursuits" exclusion in a homeowner's insurance policy.
The Court of Appeals agreed that it does and affirmed the grant of summary judgment to Farm Bureau. After noting the split in authority among jurisdictions, the court based its decision that Ms. Zulpo was engaged in a business pursuit on the facts that she offers child care services in her home 5 days per week and routinely advertises her child care services.
