If you are unfortunate enough as a Daycare Provider to end up in court than liability money from your Daycare Insurance Plan will be the best money you ever spent. As accidents will happen, insurance will provide the protection you need to pay the medical bills and other associated cost. While having a business in your home may prove convenient, not having enough Daycare Insurance could lead to you losing your business and the family home, as well. Protection for your assets begins with understanding how the policy works to help you. In this article, we will discuss the difference between a "claims made" as opposed to an "occurrence".
"Claims Made" Compared To "Occurrence"
So what exactly is different with the way the insurance company views a "claims made" compare to an "occurrence"? A "claims made" policy is limited to only covering a claim that has been reported happening at a particular time, during the policies term. In other words, a claim can be filed with the insurance company against a Daycare Provider years after the incident. Even if the child is no longer attending that Daycare where an incident occurred, or if the Daycare is no longer in business. However, the insurance company does not have to pay the claim if it were made after the term expired.
Having the right kind of insurance for your daycare business is essential. An "occurrence" Daycare Insurance Policy may be the best solution for a Daycare Provider. It will cover a claim that has been reported even after the policy expires as long as the policy was in place or current with premium payments at the time of the incident. The money in the policy will be made available to handle the claim reported.
Accidents Happen Unfortunately
As little children grow and develop, many are learning to walk, run, stand up, maneuver around objects, balance themselves in shoes while in the company of other children in training, at daycare or child care centers. Accidents will happen. Pinched fingers, scrapped knees, allergic reactions to something new, broken bones, and head traumas to name a few are all part of the risk that come with running a Daycare Center. It makes good sense to protect your assets with Daycare Insurance.
Daycare Insurance policies have been developed with accidental and liability coverage to protect your business from the unexpected. When initiating your policy you can select coverage and limit amounts as well as choose your effective date. Getting your own Daycare Insurance will give you peace of mind and security.