If you are opening a new program, switching agents, or finally replacing a policy that never quite fit, figuring out how to get insurance for a daycare can feel like a second job. The forms ask about things you may not have thought about in a while, and every insurer seems to want the information in a slightly different way.
The good news is that the process is predictable. Insurers who write childcare want to understand the same handful of things about your operation. If you have those answers ready, quoting goes faster, the quotes you get back are more accurate, and you spend less time chasing follow up questions.
Here is the process we walk owners through, step by step.
Step 1: Describe your operation clearly
Before you fill out anything, take a few minutes to write down how your program actually runs. Underwriters price and approve childcare based on details, and vague answers tend to produce vague (or delayed) quotes.
Think through:
- Program type. Childcare center, in-home daycare, private preschool, or before and after school program. Some owners run more than one.
- Licensed capacity and typical attendance. These are often different numbers, and insurers may ask for both.
- Ages served. Infants and toddlers, preschoolers, school age children, or a mix.
- Staff. How many employees, which roles, and whether anyone works part time or as a substitute.
- Your building. Owned or leased, a commercial space or your home, and roughly how old it is.
- Vehicles. Whether you transport children at all, and in what: a center van, a bus, or staff driving their own cars.
- Activities. Field trips, swimming, splash days, gardening, cooking projects, or anything off site.
This short description becomes the backbone of every application you complete. It also helps a specialist spot coverage questions early, like whether your field trips or the van need attention.
Step 2: Gather your documents and numbers
Most childcare applications ask for similar information. Pulling it together in one place before you start saves a lot of back and forth.
Business information
- Legal business name, mailing address, and every location where care happens
- Entity type and the owner names
- Years in business, and your own experience in childcare if the program is new
- Hours and days of operation, including any evening or weekend care
Enrollment and staffing
- Licensed capacity and average daily attendance
- Number of employees and estimated annual payroll
- Hiring practices, such as background checks and reference checks
Building and property
- Square footage, construction type, and year built
- Safety features such as smoke detectors, sprinklers, alarms, and fencing around the playground
- A rough value for furniture, toys, kitchen equipment, and electronics
Vehicles and drivers
- Year, make, model, and seating capacity for each vehicle
- A list of drivers, with license information your agent will request securely
Current insurance and history
- Your current policies, including the declarations pages
- Current premium and renewal date
- Claims history (insurers often call these loss runs), which your current insurer can provide
If you are brand new, some of these will be estimates. That is normal. Just label them as estimates and update your agent when real numbers come in.
Step 3: Check what others require of you
Your licensing agency, landlord, lender, or a school district you partner with may each have their own expectations for proof of insurance. These requirements vary by state and provider type, and they change, so confirm them directly with each source rather than relying on what another provider told you.
Pull your lease and any contracts, and highlight the insurance section. Look for coverage types, limits, additional insured wording, and certificate deadlines. Our guide to where daycare insurance requirements come from explains each source and what to ask.
Share these documents with your agent. It is much easier to build a quote around a known requirement than to fix a policy after the landlord rejects your certificate.
Step 4: Decide which coverages to price
Most childcare programs start with general liability insurance, abuse and molestation coverage, and professional liability for the care you provide. From there, the list depends on how you operate: workers compensation for your staff, property and business income if you have a facility, commercial auto if you transport children, and options such as umbrella, cyber, and accident medical.
Rather than repeat the full list here, our checklist of the insurance a daycare needs breaks it down by program type. Use it to make a short list of what you want quoted, plus anything you are unsure about.
Step 5: Work with a specialist who shops multiple markets
Not every insurer writes childcare, and the ones that do have different appetites. One may prefer centers over home programs. Another may limit transportation or certain ages.
An independent agency that works with multiple insurance markets can present your program to several of them at once. A specialist who knows childcare can also explain why one quote includes coverage another leaves out, which is often the most important part of the conversation. Eligibility depends on underwriting, and options vary by insurer and state, so expect some back and forth.
Answer follow up questions honestly and completely. An application that understates enrollment or leaves out the van may lead to problems later, including at claim time.
Step 6: Review the quotes side by side
When quotes come in, resist the urge to sort by price alone. Two quotes can look similar on the first page and be very different inside: different limits, a sublimit on abuse coverage, a deductible that is higher than you expected, or an exclusion for an activity you run every summer.
Ask your agent to walk you through the differences. For a deeper checklist, see our article on comparing daycare insurance quotes.
Step 7: Bind coverage and keep your certificates
Once you choose, you will sign the application and any required forms, arrange payment, and confirm the effective date. Coverage is not in force until it is bound, so do not cancel an existing policy or open your doors until you have confirmation.
After binding:
- Save the binder, then the full policy documents when they arrive
- Request certificates of insurance for your landlord, licensing agency, or partners that asked for them
- Confirm any additional insured or notice requirements were met
- Store everything where you and your director can find it quickly
Step 8: Set a renewal reminder now
Put a reminder on your calendar a couple of months before the renewal date. That gives you time to update enrollment, payroll, vehicles, and any new activities, and to review whether your coverage still fits.
Also tell your agent about changes during the year, such as adding an infant room, buying a van, or opening a second location. Waiting until renewal can leave a gap. If you are still in the planning stage, our insurance checklist for starting a daycare lays out what to handle before opening day.
When you are ready, you can request a quote for your program or call us at 605-275-9700 to talk it through with a childcare insurance specialist.
Questions about coverage for your program?
Talk with a childcare insurance specialist. We work with multiple insurance markets to compare options.
This article is general information, not legal, regulatory, or safety advice, and it does not change the terms of any policy. Requirements vary by state and provider type.
