Daycare & Child Care Centers Insurance

Coverage recommendations, carrier options, and cost estimates for insuring daycare & child care centers businesses. Built for independent agents quoting this class.

NAICS: 624410·Also known as: child care center, preschool, nursery school

Recommended Coverages

GL

essential

Third-party bodily injury, property damage, personal and advertising injury arising from business operations. For Daycare & Child Care Centers businesses, key exposures include child injury frequency. Common claims include child injury during play. Agent note: Abuse and molestation coverage is non-negotiable — standard GL may exclude it

Typical Limits

$1M per occurrence / $2M aggregate

Premium Range

$400 - $3,000/year for small businesses; $3,000 - $15,000+ for contractors and higher-risk classes

Professional Liability

essential

Claims arising from professional errors, omissions, negligent acts, or failure to perform professional duties.

Typical Limits

$1M per claim / $2M aggregate is standard; higher limits for regulated professions

Premium Range

$500 - $3,000/year for low-risk professions; $3,000 - $20,000+ for attorneys, accountants, and healthcare

Workers Comp

recommended

Medical expenses, lost wages, rehabilitation costs, and death benefits for employees injured on the job. For Daycare & Child Care Centers businesses, key exposures include child injury frequency. Common claims include child injury during play.

Typical Limits

Statutory limits per state law; Employers Liability typically $500K/$500K/$500K

Premium Range

Based on payroll × class code rate × experience mod. Ranges from $0.50 to $30+ per $100 of payroll depending on classification

Abuse & Molestation

recommended

Abuse & Molestation provides specialized coverage tailored to the risks Daycare & Child Care Centers businesses face. Key exposure: abuse and molestation exposure. Common claims include abuse allegation.

Typical Limits

Varies by carrier and state

Premium Range

Varies by business size and risk profile

Commercial Property

situational

Physical damage to buildings, business personal property, equipment, inventory, and tenant improvements from covered perils (fire, wind, theft, vandalism).

Typical Limits

Based on replacement cost of building and contents. Business income limits typically 12 months of projected revenue.

Premium Range

$750 - $5,000/year for small businesses; varies widely based on property values, construction type, and location

Risk Profile

Physical Risk

moderate

Liability Risk

moderate

Professional Risk

high

Property Risk

moderate

Top Risks

  • Child injury frequency
  • Abuse and molestation exposure
  • Regulatory compliance
  • Field trip transportation
  • Allergic reaction to food

Carriers That Write Daycare & Child Care Centers

One of the largest small commercial writers in the U.S. with broad class appetite. Competitive BOP pricing and a streamlined agent portal with fast online quoting.

GLWC

Broad appetite across most commercial classes with competitive package pricing. Strong multi-line capabilities — agents can bundle GL, property, auto, and umbrella under one carrier.

GLWC

Known for competitive commercial auto rates and fast online quoting. Strong appetite for businesses with vehicle fleets and a growing BOP book.

GLWC

Berkshire Hathaway-backed (AM Best A++) with competitive pricing for standard small business classes. Fully online quoting and binding process.

GLWC

Cost Estimate

$2,000 - $10,000 for businesses with $200K - $2M revenue

Key Pricing Factors

  • Annual revenue ($200K - $2M is typical for this class)
  • Employee count (5-25 is typical)
  • Number of children enrolled
  • Age range
  • Staff-to-child ratio
  • Background check policy

See the Per-Coverage Cost Breakdown

For median GL, BOP, WC, and auto premiums sourced from Insureon, plus a worked quote example and the underwriting questions to expect, see our daycare & child care centers insurance cost page.

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Frequently Asked Questions

How much does Daycare & Child Care Centers insurance cost?
Insurance costs for Daycare & Child Care Centers businesses vary based on revenue ($200K - $2M), employee count (5-25), location, claims history, and coverage types needed. Key coverages include GL, Professional Liability, Workers Comp. Get quotes from multiple carriers to find competitive pricing — premiums can vary 20-40% between carriers for the same account.
What insurance does a Daycare & Child Care Centers business need?
Most Daycare & Child Care Centers businesses need GL, Professional Liability, Workers Comp at minimum. Abuse and molestation coverage is non-negotiable — standard GL may exclude it The right coverage package depends on your revenue, employee count, and specific risk exposures.
What are the biggest insurance risks for Daycare & Child Care Centers businesses?
The primary risks for Daycare & Child Care Centers businesses include: Child injury frequency; Abuse and molestation exposure; Regulatory compliance; Field trip transportation. Common claims include Child injury during play, Abuse allegation, Allergic reaction to food/art supplies. Understanding these risks helps agents recommend appropriate coverage limits and endorsements.
What do carriers look at when underwriting Daycare & Child Care Centers businesses?
Key underwriting factors for Daycare & Child Care Centers include: Number of children enrolled, Age range, Staff-to-child ratio, Background check policy, Transportation provided, State licensing compliance. Carriers use these factors to determine pricing and eligibility. Businesses with clean loss history and strong risk management practices typically qualify for better rates.
What should agents know when quoting Daycare & Child Care Centers insurance?
Abuse and molestation coverage is non-negotiable — standard GL may exclude it. Background checks on all employees are a basic underwriting requirement. State licensing compliance directly affects insurability. Using a comparative rater to quote multiple carriers simultaneously helps agents find the best combination of coverage and pricing for each Daycare & Child Care Centers account.

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