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7 Important Insurance Tips for Daycare Centers


Is your daycare covered? You can be held liable for accidents and damages as a business owner. Insurance can legitimize your business and protect it in case of liabilities. Whether you run a daycare from your home or a child care center, insurance companies will treat it like a business, and you should do the same.

Top Types of Daycare Insurance You Should Go For

Protect yourself and your daycare from costly liabilities by following these insurance tips:

1. Get Daycare Liability Insurance

Children get sick all the time. Their immune systems are still developing, after all. For instance, a single child with chicken pox can cause an outbreak or accidentally get food poisoning, or slip on a puddle as they jump on it.

The injuries can lead to lawsuits that can set your daycare back financially unless you have daycare liability insurance. Children three years old or older are more likely to get injured, so make sure your policies are updated accordingly.

2. Fulfill Appraisal Requirements

Daycare center appraisal requirements differ from county to county. If you plan to renovate the space, you will need to provide information regarding the building's history, what it is used for, and a complete list of planned improvements. The appraisal requirements should reduce delays in the appraisal process.

3. Eliminate Appraisal Delays

Children grow and learn when they are allowed to run around and play, and toddlers and preschoolers especially can get rambunctious quickly. Falls and slips are natural, but they can also lead to lawsuits. Reduce chances of that happening by foreseeing how they might act and adopt safety measures accordingly. These measures will also reduce delays in the appraisal process. You may have to pay higher premiums than other business owners since incidents in your daycare are unpredictable.

4. Liability Insurance Claims

Parents will trust you and depend on your to ensure their children are safe in your daycare center. That is a duty of care you owe them breaching, which can lead to a lawsuit. Your daycare may be held responsible if a child gets sick or injured. Whether you have liability insurance or not, inform parents of the injuries immediately.

5. Get Commercial Auto Insurance

If your daycare center offers transportation for children to and from their residences or field trips, commercial auto insurance can protect you in case of an accident. The insurance pays for property damage and injuries if you are at fault. The coverage also includes the passengers in the vehicle. Consider collision insurance, and comprehensive insurance after getting first-party medical coverage for your daycare.


6. Invest in Property Insurance

Property insurance can protect your assets from fire, wind damage, and theft. These are the perils that every business owner who owns supplies, a building, and equipment should be insured against. You can get replacements for damaged items or their cash value minus depreciation costs.

In most cases, insurance companies provide products that combine property damage and liability into a business owner's policy (BOP) policy. This gives you the benefits of both policies in a single and affordable package. Depending on the insurance provider you choose, you may get affordable premiums. You can get BOP insurance for your daycare's property, equipment, machinery, payroll, inventory, playgrounds, and other miscellaneous expenses.

7. Don't Forget Errors and Omissions Insurance

You can get protection for errors and negligence claims with errors and omissions insurance (E&O). This type of insurance can protect your business from negligence claims. Some of the incidents it can cover include the following:

· Failure to provide advertised services. For example, you can be held liable if you fail to potty train a toddler even though it is mentioned in your program.

· Injuries caused by lack of supervision.

· Professional mistakes or oversights. For example, you can be held criminally liable if you give a child with a peanut allergy a peanut butter and jelly sandwich.

Daycare insurance can protect your business, the children you are in charge of, and your staff. An emergency can set you back financially significantly if you are not covered. Make sure to follow these tips and research insurance packages you can afford.

For daycare training, check out the community at Standout Daycare. We are passionate about providing resources and training to aspiring daycare owners and can help you get a good start. Our business coaches can help you reach business goals and ensure you are accountable for your growth. Become a member today!

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