I hosted a dinner party in my tiny home. My friend climbed the ladder to check out the loft, slipped on a rung, and fell 8 feet onto the hardwood floor. Broken collarbone and concussion. He didn’t sue me, but his health insurance company did (subrogation) to recover the $25,000 in medical bills. My insurance argued that a ladder without a handrail is “an attractive nuisance” and “unreasonably dangerous.”
Key Takeaways
- Ladders are Liability Nightmares: Steep ladders/stairs without handrails violate building codes in standard houses. Insurers view them as high-risk.
- Medical Payments (MedPay): Your policy usually has $1,000 – $5,000 in “Medical Payments to Others.” This pays for the ambulance regardless of fault. It is the “goodwill” money to stop a lawsuit.
- The “Defective Condition” Defense: If you built the ladder yourself and it doesn’t meet code (rise/run), you are liable.
- Loft Railings are Mandatory: If your loft sleeping area has no railing, insurance can deny the claim citing “Gross Negligence.”
The “Why” (The Trap)
The trap is “Subrogation.”
Even if your friend says “I won’t sue you,” if his health insurance pays $25,000 for surgery, they have the legal right to sue you (and your homeowner’s insurance) to get that money back if they find you were negligent.
A tiny home loft with an open edge or a vertical ladder is a prime target for a negligence claim.
The Investigation (My Analysis of Safety)
I analyzed how insurers view “Vertical Living.”
Strategic Insurance
- The Advice: They strongly recommend stairs with handrails over ladders.
- The Requirement: Most carriers require photos of the loft. If there is no railing, they may refuse to bind the policy until one is installed.
Foremost
- The Clause: Premises Liability covers “bodily injury.”
- The Caveat: They have exclusions for “Trampolines” and sometimes “Unusual Hazards.” An unsecured ladder could be argued as a hazard.
The Lawsuit Risk
- The Reality: If a guest falls, you are almost certainly liable. The question is whether insurance pays. If the build is “illegal” (non-certified), they might deny. If it’s NOAH certified, the liability should hold.
[IMAGE: Photo of a steep tiny home ladder with grip tape added, and a sturdy railing installed on the loft edge]
Comparison Table
| Feature | Ladder (Vertical) | Stairs (Storage) | Ship’s Ladder |
| Safety Score | Low | High | Medium |
| Liability Risk | High | Low | Medium |
| Code Compliant? | No | Yes (usually) | Maybe |
| Insurance Preference | Dislike | Prefer | Accept |
Step-by-Step Action Plan
- Install Loft Railings: Do it today. 36-42 inches high. Spindles no more than 4 inches apart (so a kid can’t fall through).
- Add Handrails: Even a ladder needs handles at the top. Secure them into studs.
- Increase MedPay: Raise your “Medical Payments to Others” from $1,000 to
5,000.Itcosts 5,000.ItcostsÂ10/year and settles small injuries quickly. - Increase Liability: Have at least $300,000 in Personal Liability. Medical bills are expensive in 2026.
FAQ
Can I make guests sign a waiver?
You can, but it rarely holds up in court for a private residence, especially against gross negligence.
What if I live alone and don’t care?
It’s your risk. But if a paramedic or firefighter falls while rescuing you, you are liable.
Are alternating tread stairs safer?
Yes, and they take up less space. Insurers prefer them over ladders.