South Carolina Daycare Insurance

Last updated: September 14, 2026

South Carolina does not require liability insurance for childcare centers, group homes or family homes—but operators without coverage must obtain signed parent notices and keep them on file. Workers’ compensation generally starts at four employees.

South Carolina daycare liability: insurance or signed parent notice

S.C. Code §63-13-210 does not require liability insurance. An owner or operator of a childcare center, group childcare home or family childcare home who does not carry liability insurance for the childcare business must obtain signed statements from each child’s custodial parent or guardian acknowledging notice that the facility does not carry liability insurance, and keep those statements on file while the child is enrolled. New enrollees receive the notice and sign at enrollment.

DSS Form 2902 requires the applicant to certify either that liability insurance is in place or that written parent notice has been provided and kept on file. The DSS Booklet 2955 April 2026 licensing-law compilation retains the same §63-13-210 text. No statutory minimum dollar limit appears in the rule.

Under S.C. Code §63-13-20, a childcare center regularly receives 13 or more children; a group childcare home is a residence with at least 7 but not more than 12 children (including resident or related children in care); and a family childcare home is a residence with no more than 6. Give the insurer your category, operator name and capacity so any certificate matches the application.

How much liability coverage should you buy?

Where the rules set no dollar floor, treat any quoted limit as a purchasing decision against your exposures and contracts—not as a statutory number. Send the provider any lease, school agreement or other contract requiring higher limits. Ask for comparable options at different limits, with the same covered activities and deductible, so you can see the cost difference.

Review the per-occurrence limit and any aggregate or separate abuse-related limit. Ask how defense costs affect available protection. If considering an umbrella, have the agent identify the underlying policies it requires and the childcare exposures it excludes; do not assume it fills every gap in the base policy.

Transport and commercial auto in South Carolina

Chapter 63-13 and Form 2902 address facility liability insurance or parent notice; they do not publish a parallel childcare-specific commercial-auto dollar floor. If you transport children, standard South Carolina compulsory auto liability and commercial-use exclusions on personal policies still matter as a practical purchasing question. Ask the agent whether personal auto, commercial auto or hired/non-owned coverage fits the vehicles and drivers you use.

Coverage to compare for a South Carolina daycare or preschool

General liability, professional liability and abuse or molestation coverage answer different questions. Have the provider explain how the proposal handles a premises injury, a supervision allegation and a claim involving a staff member. Confirm that the services you offer are described and that the relevant people and locations are insured.

For a home, ask the residential insurer how business childcare affects its coverage and compare the proposed endorsement with a separate childcare policy. For a center or preschool, distinguish landlord-owned property from your furnishings, supplies and improvements. Ask which causes of loss and interruptions are covered before adding property or business-income protection.

How much does South Carolina daycare insurance cost?

There is no single premium for every daycare. As a broad reference, Insureon’s national human-and-social-services customer medians are $91/month for general liability, $135 for a business owner’s policy and $99 for professional liability, checked September 14, 2026. That sample is broader than daycare; these are not state daycare averages or Simply Business prices.

Use those figures only to understand separate budget categories. A business owner’s policy can bundle liability and property, so do not add every figure as though it were a required package. Request a childcare-specific proposal using your program type, child count and ages, payroll, transportation, claims history and required limits.

Compare the total annual premium, deductible, included activities and any separate abuse-coverage limit. Ask about installment charges, endorsements and the cost of changes during the year. Two prices are comparable only after the provider explains the differences in protection.

Request quotes using your actual license category and services. Comparing those details consistently is more useful than assigning every South Carolina program the same estimated premium.

Workers’ compensation at four employees

The South Carolina Workers’ Compensation Commission employer FAQs explain that businesses regularly employing four or more employees must maintain coverage. Part-time workers and family members count toward that threshold. Certain payroll and other statutory exemptions may apply; confirm your facts with the commission or counsel before assuming an exemption. Keep employee-injury coverage separate from the facility liability-or-notice choice DSS reviews.

Keep coverage and licensing evidence aligned through the year

Calendar policy renewal alongside licensing paperwork. Resolve cancellation notices or a replacement policy before a lapse while children remain in care. Do not assume reduced enrollment, a school break or a change in insurer removes obligations that apply to your South Carolina license type.

Before adding transport, provide the insurer with vehicle ownership, driver and trip details. Ask about commercial auto or hired/non-owned exposures and coverage for the off-site activity itself. Update the agent before a capacity increase, move or additional location so the policy and evidence match what DSS expects to see.

Prepare your South Carolina daycare insurance quote

• Legal operator name, address, permit or certificate type and requested coverage date.
• Licensed capacity, actual enrollment, ages served, hours and all locations.
• Staff, volunteers, payroll and screening/supervision procedures.
• Transportation, field trips, water activities and other services offered.
• Existing policy, claim history and insurance requirements from leases or contracts.

Ask each provider to identify the named insured, covered activities, limits, deductibles, exclusions and endorsements. Confirm whether defense costs reduce any relevant limit and how claims must be reported. If a quote cannot cover an activity, resolve that gap rather than assuming a certificate will make the proposal acceptable.

Frequently asked questions

Does South Carolina require daycare liability insurance?

No dollar mandate. Under S.C. Code §63-13-210, centers, group childcare homes and family childcare homes that do not carry liability insurance must obtain signed parent/guardian acknowledgments and keep them on file while each child is enrolled. DSS Form 2902 asks you to certify insurance or written parent notice.

What happens if South Carolina coverage lapses?

If liability insurance lapses or is canceled and not replaced, §63-13-210 requires signed parent statements within 30 days. That deadline is about parent notice—not a separately cited DSS “30-day records review.”

Which South Carolina programs fall under the insurance-or-notice rule?

Childcare centers (13 or more children), group childcare homes (7–12) and family childcare homes (6 or fewer), as defined in S.C. Code §63-13-20. The insurance-or-notice duty applies across those categories.

When must a South Carolina daycare obtain workers’ compensation?

Generally when four or more employees are regularly employed in South Carolina. Part-time and family members count toward the threshold under Workers’ Compensation Commission guidance; certain payroll and other statutory exemptions may also apply.

Related guides

Daycare Insurance · South Carolina / Daycare

Requirements and source benchmarks checked September 14, 2026. Policy terms and availability depend on the insurer and your business.