Nanny Insurance: Cost & Quotes From $15/mo

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A home daycare isn’t always an option. There were over 169,000 nannies employed in the United States in 2021. The Congressional Research Service estimates that the average family spends over $4,000 a year on childcare every year. With childcare being an essential part of the American economy, it can often come with liabilities and exposures.  

If you employ a nanny or are a nanny yourself, you will want a comprehensive insurance policy that covers you where it counts. In this article, you will learn about the components of good nanny insurance and critical areas of interest, including:

  • The different insurance policies nannies need

  • Their function and policy limits

  • Cost of premiums

  • The best companies 

Do Nannies Need Insurance?

General liability is a good policy option for nannies because it covers some of the most common types of liabilities like personal injury and property damage. See some of the other categories of insurance that a nanny or babysitter might want for adequate insurance protection as described below.

General Liability Insurance for Nannies

CoverWallet  NEXT (Best) Thimble  Hiscox The Hartford
Per occurrence limit  $1,000,000 $1,000,000 $1,000,000/$2,000,000 $300,000/$1,000,000 $1,000,000/$2,000,000
Aggregate limit  $2,000,000 $1,000,000/$2,000,000 $1,000,000/$2,000,000 $300,000/$2,000,000 $1,000,000/$2,000,000
Products and completed operations aggregate limit  $2,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
Advertising injury coverage aggregate limit  $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
Tenant’s legal liability coverage limit  $100,000 $100,000 $5,000 $100,000 $1,000,000
Waiver of subrogation included? Yes No Included Can be included No
Hired/non-owned auto liability coverage included? Yes No Excluded Can be included Can be included
Equipment breakdown floater included? No  Yes Yes Can be included Can be included

Nanny liability insurance will often include general liability coverage. This protects you from personal injury and property damage claims from your customers. Situations to use this policy include:

  • A nanny accidentally damages property in someone’s home that is not covered by a homeowner’s policy

  • While watching a kid, they accidentally damage one of that kid’s electronic devices

What Are the Coverage Limits for General Liability?

While these limits will vary by policy, you can typically get $1 million per occurrence and $2 million in aggregate coverage. 

Can Self-Employed Nannies Get General Liability Insurance?

Yes, Self-employed nanny insurance often will include general liability insurance because it offers protection for some of the most common business liabilities.

Professional Indemnity Insurance for Nannies

CoverWallet  NEXT Thimble (Best) Hiscox The Hartford
Per occurrence limit  $1,000,000 $1,000,000 $1,000,000/$2,000,000 $1,000,000 $1,000,000
Aggregate limit  $2,000,000 $2,000,000 $1,000,000/$2,000,000 $1,000,000 $2,000,000
Name additional insureds? Yes Yes Yes Yes Yes
Waiver of subrogation included? Yes No Yes Can be included No
HIPAA coverage included? No No No No No
Sexual misconduct coverage included? No No No No Can be included
License defense coverage included? No No No No Can be included
Deductible  $500 $500 $500 $50/$10,000 $500

Professional indemnity insurance policy  covers liabilities that are caused by mistakes you make in your nanny job. Some examples include:

  • You neglect to consider a food allergy that causes one of the kids you are watching to need medical care

  • You make a scheduling error that makes you unable to provide service to a client, which they sue you for

What Professional Indemnity Add-Ons Should I Take?

One critical add-on you might need is an extending period add-on that gives you more time to file claims in a professional indemnity policy.  This takes the stress off of trying to get a claim filed before the policy expires.

What Are the Professional Indemnity Coverage Limits?

Professional liability coverage limits for babysitters are typically around $25,000 to $50,000. However, with a larger policy, it can have an occurrence limit of $1 million or higher.

Are Professional Indemnity and Professional Liability the Same Insurance Policy?

Yes, professional indemnity is another name for a professional liability insurance policy. Another name for this type of policy is errors and omission insurance.

What is Abuse and Molestation Coverage in Professional Liability Insurance?

Abuse and molestation policy add-ons would be a good pick-up for nannies since they will often deal with kids. This policy protects you from costs associated with being accused of abusing one of the children you are in charge of.

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Commercial Property Insurance for Nannies

CoverWallet NEXT (Best) Thimble The Hartford Hiscox
Building coverage limit (minimum) $50,000 $340,000 $25,000/$500,000 $35,000 $25,000
Contents coverage limit (minimum) $50,000 $35,000 $25,000/$500,000 $35,000 $15,000
Outdoor signs Excluded $2,500 Excluded Excluded Included
Accounts receivable  Excluded Excluded $5,000/$10,000 Excluded Included
Money and securities Excluded $2,500 $1,000 Excluded Included
Lock and keys  Excluded $2,500 Excluded Excluded Included
Business interruption floater Excluded Included Included Excluded Included
Equipment breakdown floater Excluded Included Excluded Excluded Included
Inland marine insurance floater Excluded Excluded $10,000 Excluded Excluded
Employee dishonesty floater Excluded $5,000 $2,500 Excluded Excluded

Insurance for nannies and babysitters with commercial property protection will cover the costs if your business property is damaged. It also covers personal business property that is on or near your business premises. Some examples are listed below.

  • A thief breaks into your business property and steals a laptop you use for your business

  • Constant winds or hails causes you to need to replace some parts of your business building

What Are the Coverage Limits for Commercial Property?

Commercial property coverage limits average around to about $60,000 for the duration of the policy.

Do Babysitters Typically Need Commercial Property Insurance?

Since babysitters often conduct some business activities from home, they might want to look into babysitter insurance that features home-based business coverage instead. This similar policy is tailored to protect home business owners and their unique needs. 

For nannies, insurance for nanny in home of their clients may not need this coverage since they are often considered employees and are protected under insurance policies that the homeowner has.

A woman holding a baby in a living room, ensuring the safety and protection of both through nanny insurance.

Business Owner’s Policy for Nannies

CoverWallet NEXT (Best) Thimble  The Hartford Hiscox
General liability aggregate limit  $2,000,000 $1,000,000/$2,000,000 $1,000,000/$2,000,000 $1,000,000/$2,000,000 $300,000/$2,000,000
Commercial property coverage limit  $50,000 $320,000 $25,000/$500,000 $35,000 $75,000
Optional policies can be added? Yes Yes Yes Yes Yes
Name additional insureds for free? Yes Yes Yes Yes Yes
BOP discount? Yes Yes Yes Yes Yes

A business owner’s policy is a combination of insurance policies that make for simplified nanny insurance coverage. It includes policies like general liability, commercial property, and more. Examples of when to use this coverage include:

  • Medical expenses for a customer that is hurt on your commercial property

  • If you accidentally damage customer property while on a nanny job and need to pay to replace it

What Are the Requirements for a Business Owner’s Policy?

Typically your business must be in a low-risk industry and rent or own a small commercial space.

What Coverage Limits Does Business Owner’s Policy Have?

Business owner’s policy will have a coverage limit of $1 million typically, but this limit can be different depending on your policy options.

What Business Owners Policy Addons Are Worth It for Nannies?

Business ordinance coverage can help you keep up with maintaining your commercial building if you live in an area that has updated building codes.

What Business Owner’s Policy Add-on Should I Get?

A communicable disease add-on to the property coverage of a BOP will be a good option for nannies if their services get canceled due to an outbreak of a contagious disease. This can cover the resulting costs for cleaning or replacing infected business property. 

Tools and Equipment Insurance for Nannies

NEXT  Thimble Hiscox The Hartford
Aggregate limit $3,000/$10,000 $2,500/$5,000 $15,000/$25,000 $5,000-$10,000
Covers hired and borrowed equipment? $3,000/$10,000 $2,500/$5,000 No Yes
Miscellaneous equipment also covered? $5,000/$10,000 No Yes Yes
Offered as an endorsement to general liability insurance? Yes Yes Yes Yes
Deductible $500 $500 $0 $0

Tools and equipment insurance is a policy that covers the costs to repair or replace tools or equipment that your business uses. A nanny or babysitter liability insurance policy with this coverage could also help replace your movable tools in the event that they become stolen. Some situations this policy applies to include:

  • Your nanny bag that contains essentials like a first aid kit gets stolen and needs to be replaced

  • If the tools you use to cook for the children get damaged by one of the kids, you could get them repaired or replaced

Coverage Limits for Tools and Equipment Insurance

Typically, you can get moveable tools under $10,000 repaired or replaced with your insurance policy.

Is Electronic Equipment Covered in Tools and Equipment Insurance?

Yes, electronic equipment like cell phones and laptops you use for work would be covered under this insurance policy.

Commercial Auto Insurance for Nannies

Commercial auto insurance offers a suite of policies that protect the vehicle that you use for your business. Examples of when this policy is useful include:

  • While transporting the kids you are watching as a nanny, you get into a car accident

  • Your work vehicle gets stolen while it is parked at your client’s house

Commercial auto insurance is made up of components that each provide a different aspect of coverage. Common policy options include:

  • Collision–Covers costs to repair or replace your vehicle if it gets in an accident with another vehicle

  • Comprehensive– Covers many instances of physical damage to your car like fire, theft, and vandalism

  • Roadside assistance–Helps you pay for services like towing if your car breaks down

  • Rental reimbursement–If you need to rent a vehicle for a valid reason, this policy helps reimburse you

  • Uninsured/underinsured motorist coverage– Can cover a gap that may exist when another driver’s insurance cannot cover damage costs

  • Liability coverage–Covers costs that you are found to be at fault for like legal judgments and medical fees

What Are the Coverage Limits of Commercial Auto Insurance?

Commercial auto coverage limits must be at least $100,000 per vehicle to get coverage from an insurance company. It is recommended that you get a policy of at least $500,000 to cover expensive liabilities.

Excess Liability Insurance for Nannies 

Excess liability insurance is an add-on policy that pays for additional coverage on an underlying primary policy above its standard limit. Some examples are listed below.

  • Your general liability policy only covers $1 million, but you purchase $500,000 in excess liability for a total coverage of $1.5 million

  • A commercial auto policy only covers $500,000, but you can add an additional $500,00 to complement the primary coverage.

Does My Primary Liability Need to Be Used up Before Excess Liability Kicks In?

Yes, excess liability only kicks in with your primary insurance policy has been exhausted.

Do I Need a Separate Deductible for My Excess Liability Policy?

No. An excess liability policy does not mean you have to pay for two deductibles now. Since it is added to an already existing policy, the standard deductible would apply.

Nanny Workers Compensation Insurance

Workers comp insurance nanny provide coverage when a nanny is unable to work due to an injury. If you are working as a nanny, this will be paid for by the family who employs you. Examples include:

  • You hurt your leg while cleaning up the children’s toys and are limited in the tasks you can do

  • You slip and fall while on the job, causing you to be unable to work for a time

How Long Does It Take To Get Workers Compensation Coverage?

Workers’ compensation benefits usually have a waiting period of around seven days that you are out of work. After that, you must process a claim that can take around a month.

Who Pays for Workers’ Compensation?

The employer is the one responsible for paying workers’ compensation premiums to cover their workers. Some policies allow a worker to volunteer to pay for part of their own coverage as well. But generally, the employer is responsible for paying.

Employer’s Liability Insurance for a Nanny 

Employers liability insurance for a nanny protects a business owner from costs that come from an employee lawsuit. This grants protection against claims made due to an employer’s negligence in preventing a work-related injury or disease from happening. This policy covers costs that include:

  • Attorney fees

  • Legal judgments

  • Settlements

What is the Difference Between Employers’ Liability Insurance and Workers’ Compensation?

These two policies aren’t that different from each other. In fact, worker’s compensation often contains employer’s liability insurance as part of its policy selection. Employer’s liability insurance protects the employer for things they are liable for, while worker’s comp provides worker benefits regardless if the employer is at fault.

Unemployment Insurance for Nanny 

Nanny unemployment insurance is a policy that provides cash benefits to workers when they file for unemployment. To qualify for eligibility, you must meet the following requirements.

Unemployed at no fault of your own This means that as a nanny, you must have been let go because of lack of work or some other reason that is not in your control
Meet work and wage requirements You must have earned a certain amount of wages to qualify and have worked for an established time period
Follow any additional state requirements States may require workers to satisfy additional requirements. The US Department of Labor can help determine how to file in your state.

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Nanny Insurance Cost

Cost per Month Cost per Year Deductible
General liability insurance $60 $720 $0-$500
Professional liability insurance $65 $780 $500-$1,000
Commercial property insurance $80 $960 $1,000-$2,000
Business owner’s policy $150 $1,800 $500-$1,000
Tools and equipment insurance $62 $744 $500-$1,000
Workers compensation insurance $110 $1,320 $2,500-$5,000
Commercial auto insurance $78 $936 $500-$1,000
Unemployment insurance $100 $1,200 $500-$1,000
Excess liability insurance $64 $768 $500-$1,000

The average nanny insurance cost is $60 per month or $720 per year for a $1 million general liability coverage. Factors that affect the cost of premiums are claims history, business history, policy limits, deductibles, revenues, and location. Here’s a table showing how much the recommended companies charge for a $1 million general liability insurance:

Company Estimated Monthly Cost Best for
NEXT $15 Overall best insurance for Nannies and babysitters
The Hartford $36 Workers comp for nannies
CoverWallet $39 Tracking your nanny policy components
Tivly $41 Nanny insurance comparison shopping
Thimble $43 First-time nanny insurance buyers
Hiscox $30 Completely customized nanny insurance

Compare nanny insurance quotes to get a better understanding of how expensive your premiums will be. Start by clicking the “Get Quotes” button on this page. 

Compare Cheap Nanny Insurance Quotes Online

Get all the best quotes from leading providers in a click of a button!

Best Nanny Insurance Companies

Take a look at these companies that provide competitive nanny insurance quotes and policies that protect your nanny business from injury costs, property damage, and more. Read some of the reviews below to know their pros, cons, and average rate for a $1 million general liability insurance. 

NEXT Nanny Insurance


  • Best overall

  • Issues an online proof of insurance instantly

  • Fastest general liability insurance for nannies

  • Great customer service and reputation

  • Excellent rates

  • Outstanding value for money

  • Get a 10% discount if you buy two or more policies 


  • Couldn’t find any

NEXT has policies like general liability, workers’ comp, and tools and equipment insurance to help you build a fantastic nanny insurance policy. They also offer childcare-focused policies that let you save up to 10% when you bundle them together. Next has an A- rating from AM Best which measures it financial security. It also has a Better Business Bureau rating of B+.

Best for: Overall best insurance for Nannies and babysitters

Average cost: $15 per month 

Our rating: 10/10

The Hartford Nanny Insurance


  • Long history of industry experience

  • Get your quote quickly through an online portal


  • Some states are not covered

The Hartford will offer essential nanny policy components like workers’ compensation, general liability, business owner’s policy, and commercial auto insurance. The company has a great workers’ comp policy with quotes as low as $13 a month that provide features like access to 65,000 pharmacies for prescription drugs. The Hartford has an A+ rating with AM Best.

Best for: Workers comp for nannies

Average cost: $36 per month 

Our rating: 10/10

CoverWallet Nanny Insurance


  • Compare nanny insurance quotes from multiple companies online

  • HNOA coverage automatically included to general liability insurance

  • Excellent coverage variety


  • Not an insurance company but an insurance broker 

CoverWallet is an insurance broker with a digital marketplace to connect you with partners waiting to deliver nanny insurance. They have options like professional liability, worker’s compensation, commercial auto, and general liability. CoverWallet has an A+ rating with the BBB and operates in 48 states across the US.

Best for: Comparing nanny insurance quotes online 

Average cost: $39 per month 

Our rating: 10/10

Tivly Nanny Insurance


  • Over 200 partners available

  • Compare quotes over the phone

  • Personalized approach in granting coverage


  • Doesn’t write policies

Tivly is an insurance platform that leverages its large partner selection to make comparison shopping simple. They offer essential components to your nanny policy, like commercial property, commercial auto, and business owner’s policy. Tivly has 20 years of insurance industry experience and an A rating from the BBB. Call now to compare quotes over the phone. 

Best for: Comparing nanny insurance quotes over the phone 

Average cost: $41 per month

Our rating: 9/10

Thimble Nanny Insurance


  • Insurance glossary to help first-time buyers

  • Small-business friendly

  • Short-term coverage available

  • Multiple add-ons available to general liability insurance


  • No commercial auto coverage available

Thimble offers competitive policies with options like general liability, business owner’s policy, worker’s compensation and more. If you are new to purchasing nanny insurance, their industry guide and insurance glossary can help you get educated on what policies would appeal to you. Thimble has an A+ from the BBB and an A+ rating from AM Best.

Best for: First-time nanny insurance buyers

Average cost: $43 per month 

Our rating: 10/10

Hiscox Nanny Insurance


  • 5% discount for bundling multiple policies

  • Professional liability coverage can extend outside of the US


  • Online quoting not available all the time 

Hiscox offers focused policy options that are entirely customized to your business needs. They offer general liability, workers’ compensation, business owner’s policy, and other important components of a useful nanny insurance policy. Hiscox has a long history of success. It has been a leading insurer for over 100 years and operates in 14 different countries. Hiscox maintains a strong A rating from AM Best.

Best for: Completely customized nanny insurance

Average cost: $30 per month 

Our rating: 10/10

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