Day Care Liability vs. Professional Liability: What’s the Difference?
- Nate Jones, CPCU, ARM, CLCS, AU
- 2 days ago
- 2 min read
When operating a child care center or home‑based day care, insurance can feel overwhelming, especially when multiple types of liability coverage are involved. Two of the most important policies are General Liability and Professional Liability, and while they sound similar, they protect your business from very different risks.
Understanding the difference ensures your day care is fully protected and compliant with state requirements.
1. What Is General Liability Insurance?
General liability covers accidental injuries and property damage that occur during your daily operations. This policy responds to physical incidents such as:
A child slipping and getting hurt
A visitor injuring themselves on your property
Accidental damage caused during activities
Playground‑related injuries
General liability is often required by state licensing boards, landlords, and facility owners. Organisations like the Insurance Information Institute outline how general liability protects small businesses from common injury‑related claims.
However, this policy does not cover claims related to your professional judgement, that’s where professional liability comes in.
2. What Is Professional Liability (Errors & Omissions)?
Professional liability protects your day care from claims alleging:
Improper supervision
Negligence
Failure to follow educational or safety standards
Poor decision‑making by staff
Failure to provide adequate care
These types of claims aren’t physical accidents, they involve the quality of care or professional services provided. For this reason, many commercial day care centers and even home providers must carry professional liability to remain compliant with licensing and accreditation standards.
3. Key Differences Between the Two
Here’s a simple way to think about it:
General Liability = Physical injuries or property damage
Professional Liability = Professional mistakes, negligence, or improper supervision
Both policies are essential for protecting your business against unexpected legal and financial risk.
4. Why Day Care Owners Need Both Coverages
Day care environments involve active play, education, supervision, and interaction. Without both liability types:
A playground injury may be covered, but an allegation of improper supervision may not
A parent’s claim of developmental neglect may fall outside general liability
Your business could face uncovered legal expenses
Having both policies ensures all major risks are protected.
Get the Right Liability Coverage for Your Day Care
Not all insurance companies understand child care exposures, and choosing the wrong liability coverage can leave your business vulnerable to large claims. Wexford Insurance partners with top-rated carriers that specialise in day care insurance, helping owners secure the right liability limits, deductibles, and policy forms tailored to their operations.
👉 Request your day care business insurance quote from Wexford Insurance today and make sure your children, staff, and business are fully protected.
