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Explanation of Coverage

Welcome to the Explanation of Coverage page.  This page is designed to give perspective owners  and existing owners an idea of some of the coverages that are recommended for your center.  Once you have reviewed the information below, you can go to the next page an request a quotation for your center.  However, if you would like to proceed to your insurance quotation now, just hit next page.

The coverages below and the amounts indicated are meant as a guideline ONLY and are not intended to be specific coverage recommendations for a particular center.
BUILDING Insurance is required when the building is owned, however, some Landlords may require you as Lessee to carry coverage on their building. If the coverage is needed, the building should be insured to its' full value on a replacement cost basis with inflation guard endorsement attached. Coverage will provide all risks protection.
PERSONAL PROPERTY (CONTENTS) Insurance protects your contents or personal property on a replacement cost basis on all risks form, including theft coverage.
LOSS OF INCOME (TUITION) Insurance provides replacement of, income lost as the result of a covered loss to the property.
EXTRA EXPENSE Insurance provides expense coverage in relocation or set up of temporary facilities to reduce loss of income in the event of a loss.
MONEY & SECURITIES Insurance provides replacement of, loss of money, securities, checks, etc. in the event of a loss or destruction, (including theft).
ACCOUNTS RECEIVABLE Insurance provides reimbursement for loss of monies when receivable records are destroyed through a loss.
VALUABLE PAPERS & RECORDS Insurance provides replacement when records are destroyed through a loss.
EMPLOYEE DISHONESTY Insurance provides to reimburse loss due to theft or embezzlement on the part of an employee. Coverage should be in the maximum amount of funds to which the employee has access.
COMPUTER COVERAGE Insurance specific to the needs of the computer owner. Coverage will provide insurance for hardware and software as well as loss of income and extra expense costs directly related to the loss of the computer system. Coverage will be written on a replacement cost basis, options to be included: mechanical breakdown and electrical disturbance.
   
GENERAL LIABILITY
The following coverages will be included in the General Liability Form:
Premises/Operations
Personal and Advertising Injury Liability
Products & Completed Operations
Medical Payments (excludes payments to children)
Extended Bodily Injury
Contractual Liability
Host Liquor Liability
Limited Worldwide Liability
Non-Owned Watercraft
Fire Damage Legal Liability (Damage to Landlords Building)
Additional Persons Insured (Employees)
Incidental Medical Malpractice
Automatic Coverage for Newly Acquired organizations
Professional Liability for Teachers
Abuse and Molestation Coverage
Coverage options range from $100,000 per occurrence / $100,000 aggregate (policy year) to $1,000,000 per occurrence / $2,000,000 aggregate.

BUSINESS AUTOMOBILE COVERAGE Combined Single Limit of insurance. Coverage options range from $100,000 to $1,000,000. Uninsured Motorist coverage options range from the minimum of $50,000 to a maximum equal to the amount of liability coverage purchased. Business Automobile coverage should be purchased whenever vehicles are used to transport children in the Day Care situation. Personal Automobile Coverage will not cover for liability in a business situation. At a minimum, the option of hired and non-owned automobile coverage should be purchased when the Day Care does not own or operate vehicles.

WORKERS' COMPENSATION Part I - The company's promise to pay all benefits required by the Workers' Compensation and Occupational Disease law of the state or states designated in the policy.

Part II - Protects the employer in the basic amount, listed below, against common law suits brought by employees allegedly injured in the course of their employment.

Coverage Coverage Limit
Bodily Injury by Accident $ 100,000 each accident
Bodily Injury by Disease $ 500,000 policy limit
Bodily Injury by Disease $ 100,000 each employee

 
UMBRELLA LIABILITY Provides coverage for a specified limit (ex: $ 1,000,000) above that in the "underlying" policies: General Liability, Automobile Liability, Employer's Liability.

Student Accident Coverage  
  When they are covered: Students (and teachers or supervisors) are covered while participating in Day Care (under age 7) activities or After School Care (age seven and over) activities sponsored and supervised by the policyholder, while traveling with a group in connection with such activities or while traveling directly between school and home. Travel for Head Start participants and supervisors is covered only while in a vehicle designated by the Program Director and driven by an appointed licensed driver.
     
  Description of Benefits:
Life $   5,000
Both hands or both feet or sight of both eyes, or; one hand and one foot, or; hand or foot and sight of one eye $ 10,000
Either hand or foot $   5,000
Sight of one eye $   5,000
Speech $   5,000
Hearing $   2,500
Thumb and index finger of either hand $   2,500
Catastrophe Benefit: (Maximum) $ 35,000
For Paralysis of one lower limb or one upper limb $ 17,500
If as a result of one accident, the Insured Person suffers more than one loss for which a benefit is payable under:
a) Accidental Death and Dismemberment Benefits
b) Catastrophe Benefit

We will pay a total benefit amount not to exceed the amount payable for the one loss that provides the largest amount.

 
Accident Medical Expense: Pays incurred expenses for necessary medical or surgical treatment, services or supplies if the first expense is incurred within 26 weeks of the date of the accident. For any one accident, covered expenses will be paid up to $25,000 if they are incurred within two years of the date of the accident. However, the maximum amount payable for dental treatment, services, and supplies required as the result of each accident is $1,000.