Originally Posted by Daycare Insurance:
There are plenty of insurance companies out there that will insure a license child care operation. In fact there are actually less companies out there that will cover an exempt home. Each company is different as far as the classes of business they can insure so I do not think its anything personal against you and your decision to get licensed. While I can not speculate on their reasoning I would think that it is more likely that they would prefer to keep your business but may not be able to insure you if you become licensed.
Please do not allow anyone to dictate whether or not you get licensed. You should make the decision based on whats best for you and the children you care for. Before making your decision seek out other companies that insure both kind of operations and see how much they charge, and weigh the pros and cons of becoming licensed and then make your decision.
I contacted Farmers insurance and the agent was super nice. She gave me a quote to include covering 5 children and when I get licensed she said all I have to do is call and adjust it to the amount of children I have on the license. She knew the exempt daycare laws. Best part is that it is almost 150$ a year cheaper than what I have.