Hiscox vs. Next vs. Simply Business: Best Childcare & Babysitting Insurance
Running a childcare business means you're trusted with children's safety. One small accident – a child tripping, a toy breaking, or even a misunderstanding about your care – can lead to a lawsuit that puts your entire business at risk. But paying too much for the wrong insurance policy eats into your earnings. This guide cuts through the noise, showing you exactly which insurer fits your unique childcare, babysitting, or nanny setup.
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The quick answer for childcare businesses
Next Insurance is the fastest choice for independent babysitters and small in-home daycares – you can often get a certificate of insurance in under 10 minutes to show demanding parents. Hiscox wins for nannies, specialized child educators, and consultants who need professional liability (Errors & Omissions) coverage for their advice or service. Simply Business is a comparison marketplace, not a direct insurer – use it when you want to see multiple quotes side by side before committing, especially if you need commercial auto for child transport or property coverage for a dedicated daycare space.
Side-by-side breakdown for childcare providers
Next Insurance: online-only, instant quotes, general liability (GL) for low-risk babysitting or home daycare can start around $25/month. No phone sales required, certificate of insurance (COI) downloadable immediately. Best for: independent babysitters, occasional nannies, very small in-home daycares focused on general supervision.
Hiscox: specialist small business insurer, strong professional liability (E&O) products perfect for advice-based services. Monthly payment options, coverage in many professions, quote process is slightly slower. Best for: professional nannies, childcare consultants, sleep coaches, tutors, or anyone whose service involves specific expertise or advice that could be disputed.
Simply Business: broker marketplace, not a direct insurer. Gets you quotes from multiple carriers including Markel, Travelers, and others. Useful for comparing pricing and bundling. Best for: growing home daycares, nanny agencies, or any childcare business that needs commercial auto insurance for transporting children or property insurance for a dedicated space alongside GL.
When to choose Next Insurance for your childcare business
Choose Next when you need general liability coverage fast for a new babysitting client or when parents ask for proof of insurance immediately. Next is ideal for covering basic risks like a child getting a scraped knee on your watch, accidental property damage (e.g., a child spilling juice on a client's carpet), or a dog bite if you have pets. It's also strong if you need to add clients (parents) as 'additional insureds' frequently – for example, if a school requires it for pickup authorization. The app makes that process painless.
When to choose Hiscox for your nanny or consulting service
Choose Hiscox when your work involves professional advice, specialized instruction, or deliverables that could be disputed by a parent. A general liability policy does not cover you if a client claims your sleep training advice caused them distress or if your tutoring methods led to a child's academic setback – that’s professional liability (E&O) territory. Hiscox bundles GL and professional liability cleanly, which most online-only competitors don't, making it perfect for expert nannies, child development consultants, or specialized educators.
When to use Simply Business for complex childcare needs
Use Simply Business when you're not sure what you need, when your situation is complex (e.g., multiple coverage types, you own a dedicated commercial property for your daycare, or you use a specific vehicle for transporting children). This marketplace can compare carriers for general liability, professional liability, commercial auto for your daycare van, and property insurance for your facility. If you hire other caregivers, they can also help with workers' compensation. Simply Business helps you get a broker relationship without being locked into one company's pricing.
The verdict for your childcare insurance
Independent babysitters, occasional nannies, and small, family-run home daycares: start with Next for quick general liability. Professional nannies, specialized child educators, and consultants providing advice: start with Hiscox for robust professional liability. Growing home daycares, nanny agencies, or businesses with complex needs like transporting children or owning a dedicated facility: run Simply Business first to see the whole market. Do not skip this step – operating a childcare business without liability coverage is the single fastest way to lose everything you've built if an accident or claim occurs.
How to get started with childcare business insurance
1. Identify your primary coverage need: general liability for accidental injuries/damage, professional liability for advice/service claims, or both. 2. Get a quote from your leading candidate (Next for basic GL, Hiscox for professional liability). Pay attention to specific coverage for common childcare incidents like playground accidents or allergic reactions. 3. If the quote feels high or the coverage feels thin (e.g., doesn't cover food prep liability), run Simply Business to compare quotes from multiple carriers. 4. Purchase your policy before you care for your first paying child. 5. Download your certificate of insurance (COI) and save it somewhere you can find it in 30 seconds – parents will ask for it.
RECOMMENDED TOOLS
Next Insurance
Instant online quotes — coverage in minutes
Hiscox
Best for professional services and E&O coverage
Simply Business
Compare multiple carriers side by side
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FREQUENTLY ASKED QUESTIONS
Do I need business insurance if I am an LLC?
Yes. An LLC protects your personal assets from business debts, but it does not protect you from liability claims arising from your work. If a client sues you, the LLC limits personal exposure but the business itself still needs insurance to cover legal costs and settlements.
What is the difference between general liability and professional liability?
General liability covers bodily injury and property damage — someone trips and falls at your event, for example. Professional liability (E&O) covers claims that your work, advice, or service caused financial harm to a client. Most service businesses need both.
How much does small business insurance cost?
General liability for a low-risk service business typically starts at $25-50/month. Professional liability adds $30-80/month depending on your profession and revenue. Bundled policies (BOP) can be more cost-effective for businesses with physical locations.
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