Looking for Daycare Insurance?
Insurance for daycare centers, preschools, childcare programs and in-home daycare providers.
Claims and lawsuits involving daycares have become more common, and while larger facilities are often in the spotlight, in-home and small daycare providers face the same risks.
Because daycare insurance can be difficult to find and is not offered by many standard carriers, coverage is often provided through specialized insurance companies that understand the unique risks of child care operations. In many cases, this coverage is added as an endorsement to a Business Owners Policy (BOP), modifying the policy to properly address the specific exposures daycares face.
Where We Insure Daycares
Who We Insure
Insurance options for daycare and childcare businesses of many sizes.
Childcare Centers
Coverage for commercial daycare and childcare facilities.
In-Home Daycares
Insurance for childcare businesses operated from home.
Preschools
Coverage for early education and preschool programs.
Montessori Programs
Insurance for Montessori and early learning programs.
Before & After School Programs
Coverage for supervised school-age childcare programs.
New & Growing Daycares
Options for new businesses and expanding childcare centers.
Daycare Insurance Coverages
Every childcare business is different. Your insurance program may include several types of coverage based on your facility, employees, enrollment, transportation, property, and daily operations.
General Liability
Helps protect against covered third-party bodily injury and property damage claims, including many accidents that happen at your facility.
Learn About General Liability →Abuse & Molestation Coverage
Important protection for childcare businesses against certain claims or allegations involving abuse, molestation, or improper conduct.
Read Our Daycare Coverage Guide →Professional Liability
Can help protect against covered claims involving negligent supervision, professional mistakes, or an alleged failure to provide proper care.
Learn About Professional Liability →Commercial Property
Helps protect buildings, furniture, equipment, supplies, and other business property used by your daycare.
Learn About Commercial Property →Business Owners Policy
A BOP can combine several important business coverages into one insurance package for eligible daycare operations.
Learn About a Business Owners Policy →Workers' Compensation
Helps provide benefits for covered work-related employee injuries and illnesses. Requirements vary by state.
Learn About Workers' Compensation →Commercial Auto
Daycares that own vehicles or transport children may need commercial auto insurance designed around how those vehicles are used.
Learn About Commercial Auto →Employment Practices Liability
EPLI can help protect against covered employment-related claims such as discrimination, harassment, or wrongful termination.
Learn About EPLI →Cyber Liability
Helps address certain risks involving sensitive parent, employee, payment, and business information stored electronically.
Explore Business Insurance →
How Much Does Daycare Insurance Cost?
Daycare insurance costs vary based on your size, operations, employees, property, and coverage needs.
Number of Children
Enrollment and licensed capacity can affect pricing.
Employees & Payroll
Staff size and payroll can impact insurance costs.
Type of Daycare
Home daycares and larger centers have different risks.
Property & Facility
Buildings, equipment, and playgrounds can affect coverage.
Transportation
Transporting children can create additional insurance needs.
Claims History
Prior claims can affect eligibility and pricing.
Frequently Asked Questions About Daycare Insurance
Common questions from daycare centers, preschools, and in-home childcare providers looking for business insurance.
What insurance does a daycare need?
Coverage needs vary, but a daycare insurance program may include general liability, abuse and molestation coverage, professional liability, commercial property, workers' compensation, commercial auto, umbrella liability, EPLI, and cyber liability. The right combination depends on the daycare's employees, enrollment, facility, transportation, and other operations.
Does an in-home daycare need business insurance?
In-home daycare providers should carefully review their insurance. Running a childcare business from a residence creates business exposures that may not be adequately covered by a standard homeowners policy. Depending on the operation and insurance company, a daycare endorsement or separate business policy may be needed.
Does homeowners insurance cover a home daycare?
Coverage varies by insurance company and policy. Homeowners policies may restrict or exclude certain business activities, while some companies offer endorsements for qualifying in-home childcare operations. It is important to confirm in writing how the daycare operation is covered rather than assuming a homeowners policy applies.
What is abuse and molestation coverage for a daycare?
Abuse and molestation coverage is designed to address certain claims or allegations involving abuse, molestation, improper conduct, or related supervision exposures. Coverage terms, exclusions, limits, and whether the protection is included or added by endorsement vary by insurance company and policy.
Does daycare insurance cover injuries to children?
Daycare liability policies can provide protection for certain covered bodily injury claims involving children in the daycare's care. Whether a particular incident is covered depends on the facts of the claim and the terms, conditions, limits, and exclusions of the policy.
Do daycare centers need workers' compensation insurance?
Daycares with employees should review workers' compensation requirements in their state. Workers' compensation can provide benefits for covered work-related employee injuries and illnesses. Requirements vary by state and by the size and structure of the business.
Does a daycare need commercial auto insurance?
A daycare that owns vehicles or transports children may need commercial auto insurance. Vehicle ownership, how vehicles are used, who drives them, and whether children are transported should all be reviewed when building the daycare's insurance program.
How much does daycare insurance cost?
Daycare insurance costs depend on factors such as the number of children, number of employees, payroll, annual revenue, location, property values, transportation, claims history, coverage limits, deductibles, and the types of insurance purchased.
Can a new daycare get insurance?
Insurance options may be available for new daycare businesses. Eligibility depends on the state, type of childcare operation, facility, number and ages of children, owner experience, safety procedures, and the underwriting requirements of the insurance companies available.
Can Nelson Insurance Agency insure daycares outside South Dakota?
Yes. Nelson Insurance Agency works with businesses in multiple states. Daycare insurance availability varies by state, insurance company, and the specific childcare operation. Contact us or start a quote to determine what options are available for your daycare.
What information is needed for a daycare insurance quote?
Insurance companies may ask about your daycare location, years in business, number and ages of children, licensed capacity, employees and payroll, annual revenue, transportation, property, playground equipment, prior insurance, claims history, requested coverages, and safety procedures.
