Updated July 8, 2026
Daycares typically pay from about $570/year for general liability insurance, roughly 1.9x the base office rate. You're supervising children, and when one gets hurt on your watch the claim lands on your GL policy regardless of fault.
What Drives the Daycare Rate
Trade risk class and annual revenue drive that number, and a daycare lands at roughly 1.9x the base office rate. Enter your own enrollment and revenue into the GL cost calculator for a closer estimate.
One Thing Worth Knowing
Several states set a minimum liability limit as a condition of keeping your childcare license, separate from anything a carrier would otherwise require. Check your state licensing board before you shop for a policy, not after.
Filling Out a Daycare's Coverage
Hiring staff makes workers' comp required in most states; the workers' comp calculator estimates that cost. A BOP folds in property coverage at a bundled discount versus a standalone property policy. The total cost calculator combines all three into one figure.
Daycare Owners: What to Check First
- Ask specifically what your GL policy excludes for a daycare; the gaps are rarely obvious until a claim exposes them.
- Confirm your limit against a $1 million per occurrence and $2 million aggregate baseline; many licensing boards set their own floor.
- For general background before you shop, the SBA business insurance guide is a reasonable starting point.