When you open a daycare, your primary focus is providing for your students. Unfortunately, even if you have their best interests at heart, you may still end up involved in a lawsuit. In this situation, will your daycare insurance policy protect you? What do you need to know about this type of coverage? Make sure you have protected your daycare adequately with daycare insurance.
Why Might a Daycare Get Sued?
There are countless reasons why a daycare could end up involved in a lawsuit. Ultimately, these are broken up into two categories. The first has to do with workers’ compensation issues. If you have a teacher at your daycare, and he or she gets hurt on the job, the daycare could be on the hook for those medical bills. If the employee does not feel you are adequately covering those medical bills, he or she could file a lawsuit against the daycare.
The other category has to do with children. If you have a child who is sick, injured, or abused, the parents could bring a lawsuit against the daycare. Therefore, you need to be prepared for both of these situations.
Will Your Daycare Insurance Policy Protect You?
The good news is that your daycare insurance policy should protect you against these events. Usually, these policies have a provision for legal cost coverage. For example, if you need to hire an expert lawyer to defend your daycare, your daycare insurance policy should cover you. If you have to hire expert witnesses to help you during the lawsuit, your insurance policy might be able to pay for this as well. If you need to settle your case, you might be able to draw on your insurance policy for this also.
What Type of Coverage Do You Need?
Ultimately, you have to make sure you have the right coverage. First, there may be a limit regarding the legal protection of the policy. If the policy limit is $100,000, and your expenses go over $100,000, you may be responsible for paying the rest. Furthermore, your insurance policy may protect you against some legal expenses but not others. Make sure you understand exactly how the legal coverage in your insurance policy can be used. If you have questions about the details of your legal coverage, make sure you speak to a professional who can help you.
Protect Your Home Daycare Against Legal Liability
Ultimately, you need to make sure your daycare is protected against legal liability. Even if you have the best interests of your students and teachers at heart, accidents can still happen from time to time. You never know what is going to happen when you aren’t looking. If someone files a lawsuit against your daycare, this can be incredibly expensive. Even a single lawsuit can cause your daycare to shut down. Don’t let this happen to you. Invest in daycare insurance, and make sure your daycare is adequately protected.
