Running a licensed child care facility in Edmond or anywhere in the OKC metro comes with a responsibility that goes beyond curriculum and daily care. Oklahoma law sets specific insurance requirements for licensed providers, and understanding them is part of running a compliant, protected operation. Here’s what child care providers need to know.
The State Liability Requirement
Under Oklahoma law (10 O.S. Section 404.3, known as Demarion’s Law), licensed child care facilities are required to maintain general liability insurance of at least $200,000 for each occurrence of negligence, covering injury to a child that occurs while the child is in the facility’s care. A facility that doesn’t carry that coverage must notify parents and guardians in writing, and failing to comply with the statute is grounds for suspension or revocation of the facility’s license. This isn’t optional paperwork, it’s a baseline requirement tied directly to your ability to legally operate as a licensed provider in Oklahoma.
Annual Proof of Insurance
Meeting the coverage requirement is only part of the obligation. Under the law, a standard form signed and dated by a licensed insurance agent, confirming the facility holds an unexpired, uncancelled policy of at least $200,000, must be completed annually and kept on file at the facility. This means your insurance isn’t a “set it and forget it” item, it needs to stay current and be documented on a yearly basis to keep your license in good standing. Missing that annual verification can create licensing complications that are entirely avoidable with a little advance planning.
Why $200,000 Per Occurrence May Not Be Enough
The state minimum is exactly that, a minimum. Depending on the size of your facility, the number of children in your care, and your specific risk exposure, $200,000 per occurrence may not provide enough of a cushion if a serious incident happens. Many providers choose to carry higher limits than the state requirement, either through higher base coverage or an umbrella policy layered on top, simply because the cost difference between the minimum and a more comfortable limit is often smaller than people expect.
Abuse and Molestation Liability Coverage
This is a coverage category worth addressing directly and matter-of-factly, because it’s a standard and important part of commercial insurance for child care operations. Abuse and molestation liability coverage protects your facility in the event of an allegation involving a staff member, volunteer, or other individual associated with your program. Standard general liability policies often exclude this type of claim entirely or provide very limited coverage for it, which means a facility relying only on its base general liability policy may have a significant gap in exactly the area where protection matters most. Given the nature of child care work and the trust families place in providers, this coverage is a standard part of a well-built policy, not an unusual add-on, and it’s worth confirming it’s explicitly included rather than assumed.
Vehicle Coverage for Transportation
If your facility transports children, whether for field trips, pickups and drop-offs, or a regular van route, those vehicles need their own dedicated coverage separate from your general liability policy. A personal auto policy on a staff member’s vehicle, or a standard commercial auto policy not built for passenger transport involving children, may not provide adequate protection. This is an area where it pays to be specific about how the vehicle is used when setting up coverage, rather than assuming a generic policy has it handled.
Property Coverage for Your Facility
Beyond liability, most child care providers also need property coverage for the building, playground equipment, furnishings, and supplies that make up daily operations. Given how much specialized equipment goes into a licensed facility, from safety gates to age-specific furniture, it’s worth making sure your property coverage reflects the real replacement cost of what’s inside.
Protection That Matches the Responsibility
Child care providers across Edmond and the greater OKC metro carry a unique set of responsibilities, and the insurance behind your facility should match that responsibility completely. Rondon Insurance Services is an independent agency working with multiple carriers, so we can help you meet Oklahoma’s licensing requirements while making sure your coverage actually reflects the realities of running a child care program. Reach out and let’s make sure your facility is properly protected.
