Daycare centers have many of the same insurance needs as other types of businesses. However, these centers' unique services mean they also have unique needs that can lead to decidedly different insurance choices.
So what daycare insurance plan features deserve closer scrutiny?
"A daycare will want to know if coverages have combined or separate limits, and, if risk management services are included, the types and costs," explains Nicholas Colletta, Assistant Vice President at Philadelphia Insurance Companies (PHLY). "This information will help them get the full picture they need to understand which company can give them better peace of mind and offer them invaluable business services."
What to Know About Child Care Insurance
Daycares offer families an essential service. They provide care for children while parents work or take care of other responsibilities. Rising birth rates and rising numbers of parents who work lead observers to expect this critical industry to grow. Major national players along with local or regional systems may make for crowded markets.
The right insurance partner can ultimately help daycares succeed in this competitive landscape.
Key Features That Should Be Part of a Daycare's Insurance Plan
"While insurance for daycare centers could look similar, there may be differences within the coverage that could have a substantial impact if there is a claim," says Lori Anne Deery, CPCU, ARM, and Product Specialist at PHLY. "There are several things PHLY does differently with child care insurance and risk management services than many other insurers."
Daycare Insurance Coverage:
PHLY offers all the types of coverage a daycare needs, including:
- General and Professional Liability (including teachers' acts and omissions)
- Abuse and Molestation Coverage
- Property and Business Income
- Auto (including buses, 15 passenger vans, and private passenger vehicles)
- Crime and Fidelity
- Directors and Officers
- Crisis Management Enhancement
Additionally, PHLY includes coverages for field trips and after-school care as part of the child care center policy.
PHLY offers even more coverage benefits with:
- Separate - not combined - limits for GL, PL, and Abuse coverages with excess limits available (many insurers combine them)
- Abuse and molestation coverage for both physical and sexual abuse (many insurers only cover sexual abuse)
- Available participant accident coverage for medical costs from injuries (many insurers don't offer this coverage)
These three enhancements can make a big difference in daycare centers' financial responsibility should the unfortunate happen.
Risk Management Services:
PHLY offers no-cost, industry-specific safety and training programs and services to give daycares more peace of mind without impacting their budgets. In some instances, these services can even make their business stronger.
Daycares have access to risk management services that address the following risks:
- Staffing and turnover
Daycares are always concerned with attracting, training, and retaining the best possible employees. PHLY can help insureds come up with best practices through programs that help them evaluate and hire potential staff.
- Abuse prevention training
Keeping those in their care safe from abuse is a top priority. But daycare child abuse isn't the only concern. Abuse between employees can also occur. PHLY makes no-cost online training and policy support available to help improve everyone's safety in a child-serving operation.
- Water Damage Prevention
This PHLYSENSE property monitoring tool immediately alerts businesses to hazardous property conditions such as low temperature or the presence of moisture. It's provided at no cost to property insurance customers.
- Auto risks
Daycares can improve safety and protect people and finances with these programs:
- Defensive and Distracted Driver training
- PHLYTRAC GPS tracking solution
PHLYTRAC installs in minutes and provides real-time insights on driver behavior, allowing for safe corrections that lower the risk of driver-related accidents. The program includes live maps, driver scorecards, a dashboard with vehicle health, and more. "PHLYTrac was even in the news recently," Colleta says, "because it helped track down a stolen bus."
These risk management programs can make a real difference to daycares and in protecting their employees and the children in their care.
PHLY Has Fast Quote Turnaround, Daycare Niche Experience, and More
In addition to the enhanced coverages and features PHLY provides, we also make it easy to apply for child care insurance with our fast quote turnaround.
"Our small business unit processes most quotes in two to three business days," Deery says. "Your daycare clients don't have to wait to get the coverage they need."
PHLY also offers over 20 years of experience writing policies for daycare businesses. We've earned a 96% overall customer satisfaction rating and an A++ (Superior) AM Best rating. Daycares can trust that PHLY understands their needs and will be there in their times of need.
Make sure your daycare clients have the insurance protection and risk solutions they need with PHLY. Contact your PHLY representative today to find out more.