Insurance for Microschools: What Founders Actually Need

No family will ask about your insurance on a tour. Your church landlord will ask in the first conversation, and so will your gut at 2 a.m. Here is what a small school actually needs, what it costs, and how to get quotes without a broker runaround.

The core policy: general liability

General liability (GL) covers injuries and property damage: a student breaks an arm on the playground, a parent trips on a step. For a small program, expect roughly $500 to $2,000 a year depending on enrollment, location, and whether you serve preschool ages. Insurers will ask for your student count, schedule, space type, and safety procedures. Have them written before you call.

The rider you must not skip

Abuse and molestation coverage. It is uncomfortable to think about and essential to carry. Many base policies exclude it; you want it explicitly included, along with a written prevention policy: background checks for every adult, two-adult rules, and clear bathroom procedures. Insurers price better when you can show these in writing.

What your landlord will require

Church and commercial landlords typically require you to name them as an additional insured, usually at $1M per occurrence. This is a routine, free-to-cheap endorsement. Get the requirement in writing from the landlord and hand it to your insurer.

Other coverage worth pricing

• Accident/medical: pays small injury claims without touching liability. Cheap, parents appreciate it.
• Professional liability: covers claims about the education itself. Often bundled.
• Property: your furniture, books, and kits, especially in shared space.
• Workers compensation: required in most states once you hire, sometimes even part-time.

Where founders actually start

Specialty insurers that write childcare programs, camps, and small private schools understand your model; mainstream small-business agents often do not. See the Insurance & Legal directory for starting points, and get three quotes, because pricing for identical coverage varies wildly.

Start early. Quotes can take two to four weeks, which is why the 90-day checklist puts insurance in month one. And if you are choosing between a cheaper policy without abuse coverage and a pricier one with it, that is not actually a decision.

This is general information, not legal or insurance advice. Confirm coverage details with a licensed agent in your state.