Do I need insurance in Texas to operate a daycare out of my home?

Do I need insurance in Texas to operate a daycare out of my home?

Do you operate a small childcare from your residence? Here's what you should know about insurance whether you have one or are considering starting one.

No coverage under homeowner's insurance
A listed family home in Texas is one that provides care for up to three unrelated children for at least three hours each day, three or more days a week. Because a listed family home is a business, losses resulting from your in-home daycare are not covered by homeowners insurance.

You require liability insurance.

If a child is in your care and anything unfortunate occurs, whether at home or somewhere else, you need to be protected. Injury and accident coverage is provided through liability insurance. Each kid in your care engaged in a negligent occurrence must be covered by liability insurance in the amount of at least $300,000 in Texas for a listed family home or other daycare.

If you are exempt, tell your parents.

There are several exceptions, such as daycares who are unable to find insurance or that have reached the $300,000 policy's limits. Every parent or guardian of a child in your care must get written notice from you if your company is eligible for an exception. You can fill out a form to do that.

Get accepted

You must obtain a listing from Child Care Licensing at the Texas Health and Human Services in order for a listed family home to be in operation in Texas. Create a Child Care Regulation online account or get in touch with your neighborhood Child Care Licensing Office as an excellent place to start.

This article was contributed on Aug 02, 2022