Day Care Business Insurance: Key Coverages You Need
- Nate Jones, CPCU, ARM, CLCS, AU
- 2 days ago
- 2 min read
Running a day care, whether home‑based or a commercial child care center, comes with unique responsibilities. Parents trust you with their children’s safety, development, and daily care. Because of this, securing the right day care business insurance is essential for protecting your staff, children, and business operations.
Below are the key coverages every day care needs to stay protected and compliant.
General liability is the foundation of child care protection. It covers:
Accidental injuries to children or visitors
Property damage caused during operations
Legal fees from lawsuits
Because day cares involve active play and constant supervision, this coverage is considered essential. The Insurance Information Institute provides detailed guidance on how general liability protects small businesses from common risks.
2. Professional Liability (Errors & Omissions)
Professional liability protects the day care when a parent alleges:
Negligence
Improper supervision
Failure to meet state or licensing standards
If a parent claims a staff member made a poor judgement call, this coverage is what responds.
Unfortunately, allegations in child care settings can arise even when staff are innocent. This coverage protects your business against claims of:
Abuse
Misconduct
Negligence related to supervision
Many states and licensing boards expect child care providers to carry this coverage.
Whether you operate a home‑based or commercial day care, property insurance helps protect:
Buildings
Play structures
Furniture
Learning materials
Office equipment
This ensures you can recover quickly after a fire, theft, or weather‑related event.
If your day care has employees, workers’ comp is required in most states. It covers:
Employee injuries
Medical bills
Lost wages
Rehabilitation costs
Workers' comp protects your staff and shields your business from unexpected injury‑related expenses.
6. Commercial Auto (If Transportation Is Provided)
Day cares that transport children need commercial auto. It covers:
Accidents
Medical costs
Liability arising during transport
This applies to vans, buses, or staff vehicles used for business.
Get the Right Insurance Coverages for Your Day Care
Not all insurance companies specialise in child care coverage, and policy needs differ based on your licensing, number of children, employee count, and facility type. Wexford Insurance partners with top-rated carriers that understand day care operations, helping owners secure the right limits, deductibles, and policy forms tailored to their business.
👉 Request your day care business insurance quote from Wexford Insurance today and make sure your children, staff, and business are fully protected.
