Starting January 1, 2025, Maryland will introduce new rules that affect how businesses who hire security personnel or in-house loss prevention staff operate.
These regulations aim to enhance licensing, certification, and insurance verification practices in the industry.
Licensing Requirements
Under Senate Bill 760 (2023), any employer with one or more security guards or loss prevention personnel must ensure that these employees hold valid licenses.
This is a crucial step towards maintaining professional standards in security roles.
Insurance and Registration
Additionally, companies classified as “Security Guard Employers” will have to register online through the Maryland State Police Licensing Division.
As part of this process, they will need to provide evidence of their insurance coverage as well.
For businesses that employ five or more security guards, carrying commercial general liability insurance will be mandatory.
This insurance needs to encompass coverage for errors and omissions as well as completed operations, with a minimum total aggregate coverage set at $1 million.
For those with fewer than five guards, a total aggregate coverage of $500,000 will meet the requirements.
Digital Licensing Transition
Alongside these new mandates, the Maryland State Police Licensing Division has announced that all licensing applications will transition to a fully digital format starting January 1, 2025.
Applicants must now submit their documents and payment online through the designated licensing portal, streamlining the process for everyone involved.
These changes represent significant steps towards improving industry standards and ensuring that security personnel are both qualified and well-protected.
Source: Insurancejournal.com
