Family day home systems and family day homes; civil penalty. Requires any person who operates a family day home approved by a licensed family day system, a licensed family day home, or a voluntarily registered family day home to furnish a written notice to the parent or guardian of each child under the care of the family day home stating (i) the amount of liability insurance in force covering operation of the family day home or (ii) the fact that there is no liability insurance in effect. The bill also requires that such notice be acknowledged in writing and requires the operator to notify parents and guardians in the event the amount of insurance coverage decreases. Any person who fails to give the required notice shall be subject to a civil penalty of $500 for each such failure.
Senate Bill 704, which goes into effect July 1, 2006, requires Child Care Providers to notify clients of the amount of liability insurance coverage for their business. Failure for Providers is a $500 penalty, which is usually greater than the cost of the insurance protection. This is actually a very important coverage that protects Providers when an unpleasant and sometimes very costly lawsuit results. Child Care Providers are at risk for lawsuits and should always be properly insured to protect personal and professional assets.
Are you providing child care services out of your home? As the Provider, you are responsible for the supervision and safety of children in your care at all times. Therefore, it is important to increase your awareness and take preventive measures to guard yourself and your business from possible legal liability. Providing a safe environment at all times, following requirements for applicable licensing, and purchasing liability insurance are all important preventive measures to protect yourself, your family, and the families enrolled in your program.
Are you struggling to budget for other business costs, such as taxes, license fees, and now insurance: here are a couple of suggestions that have worked for other Providers. You could put 25% of your income each week in a separate bank account. Another suggestion would be to bank all of your food program checks and use that income for these types of expenses. Either method of budgeting could even provide you with a nice bonus in December.
The premium for child care business insurance is 100% tax deductible. The annual premium for the DCI policy that includes the $20,000 accident medical for children in care is almost always less than $10 per week.
DCI liability + accident medical premium examples: (1) - $500,000 liability-annual premium $357 for six (6) children in care. The initial installment would be $150. (2) - $300,000 liability- annual premium of $343 for eight (8) children in care. (3) - $1,000,000 liability-annual premium of $469 with nine (9) children in care. The installment plan initial deposit is $175.
WHY YOU NEED INSURANCE!!
Here are a few of the facts and reasons for why every Family Child Care Provider needs insurance that will best protect you and your family.
DCI is working aggressively to make insurance coverage available to VAFCCA members. As your
representative, John Governor is committed to improving the quality of family child care by helping Providers successfully manage and protect their businesses. Insurance is not easy to understand. John Governor’s wife Sandy has been a Family Child Care Provider for over 26 years. His services, which include an in depth understanding (of the risk and daily challenges facing Family Child Care Providers) as well as his 30 years of experience as a Licensed Insurance Agent, are at your disposal. John is available to review your program and guide you through the application process.
DCI is in our 30th year specializing in insurance coverage to Family Child Care Providers. We work with food programs, resource referral agencies, child care associations and other child care advocate organizations desirous of educating Providers on what to look for on child care liability and accident insurance. Our expertise has been called upon by US Congress, US Department of Labor, and Child Care Regulators.
Lawyers familiar with the child care industry and child care businesses have found the best insurance for the Provider is available through DC INSURANCE SERVICES (DCI).
johngov@bellsouth.net or call (615) 948-6840
Remember where young children go, accidents follow, so it is crucial to choose the right child care insurance coverage. An ideal policy provides full protections when the unexpected occurs whether it is at home, on the playground or on a field trip. The right policy protects everyone against the unexpected. Experience and Quality counts both with child care service and with child care insurance. For a minimum average investment of under $10.00 per week you can provide the liability coverage choices of $100,000 to $2,000,000 with protection, safety, and piece of mind for your own family and the Families enrolled in your program. We look forward to hearing from you.