But then came the hail storm for the ages.
Spring hail hit Tyler hard that year. Baseball size hail punched through skylights as thunder boomed down. Rain soaked the flooring in two classrooms of her daycare center. This was the biggest storm she had ever seen as either a business owner or homeowner.
Lisa started the claim process thinking her insurance provider would handle the repairs quickly and efficiently. But when the adjuster finally called after the initial inspection, the news was bad. Her deductible was much higher than she thought. Her roof coverage was reduced due to replacement cost.
Her claim for property damage didn’t cover half of what she needed. Repairs dragged on for months. Parents decided to find other arrangements for their kids as the process seemed never ending. Payroll fell behind. And for the first time in fifteen years, Lisa thought about shutting her doors.
That’s when she thought about her approach to insurance of chasing quotes year after year. Was it now costing her far more than it ever saved?
The Problem Shopping Daycare Insurance Like It’s A Commodity
Lisa had thought more quotes meant better deals. That’s what a lot of daycare owners believe. So they bring in two, three, even five different agents and ask them all to quote the same coverage. The idea is that more competition means better prices.
But it doesn’t work that way in commercial insurance. When underwriters see the same business coming in from different agents, it looks like chaos. Especially when different agents have different answers to the same questions.
This method of securing daycare insurance policies tells them that the business doesn’t have a risk strategy. It has an insurance cost strategy. That usually means the insurance carriers won’t get serious about offering strong terms or coverage limits.
Instead of driving better results, all those quotes just send the wrong message.
Your Story Is Getting Butchered
Lisa’s daycare wasn’t just a name and an address. It has a story. Years of clean operations. A good reputation. A focus on early education. She and her team care deeply for the children in their care and provide an amazing and safe environment for children.
But each agent she spoke with had a slightly different data collection process. That meant that they all had slightly different versions of that story when talking to the insurance companies.
Some skipped the part about her safety protocols. Some didn’t understand her building layout. Others guessed about her financials. They simply did not have a deep understanding of her childcare business.
Underwriters rely on the story a specialized agent tells to decide how they rate the risk. When that story is unclear, the underwriter moves on without doing in-depth work on the coverage options offered or fine tuning the annual premiums offered. In a worst case scenario, they may not offer anything at all.
Your Daycare Business Is Losing Leverage
Lisa didn’t realize it at the time, but the first agent who submitted her application to a carrier locked that company out for everyone other agent she was talking to in her "process". That’s called blocking the market. The other agents couldn’t do anything with that carrier, even if they do a better job telling Lisa's story.
Underwriters don’t like seeing the same file come in five different ways. It creates confusion, and they tune out. Once that happens, you lose the ability to negotiate. The market is set, and you have no real leverage to change it. And the underwriter has no incentive to learn about why your business operations deserve the best comprehensive coverage available at the lowest annual premiums.
Lisa ended up stuck with a weak policy when that storm hit that was written by the fastest agent rather than the most skilled one.
Fastest Isn’t Always The Best
The first agent to submit your application might win the race to block the market, but that doesn’t mean they know how to properly protect your daycare. They might not understand licensing requirements, pickup and drop-off risks, food service rules, what your background check process is, or how to explain your value to an underwriter.
Lisa thought all agents were basically the same. But when her roof was leaking and her claim was short, she saw the difference between an agent and a daycare insurance coverage specialist. Her agent hadn’t asked her many questions, much less the right questions.
When she received her quote, the types of coverage were not explained clearly. She didn't have a plan built to fit her business, much less even adequate coverage. Fast isn’t what protects you when something breaks.
The Better Way To Buy Insurance
Lisa couldn't go back and fix that bad claim. But she definitely could secure daycare coverage differently now. She decided not to talk to five agents. She decided to find one expert who understood childcare facilities and the risks that come with caring for children. That is when she discovered True Texas Education Insurance.
When Lisa spoke with the independent insurance agents at Insurance For Texans, they began by asking deeper questions about her child care business and the high safety standards that she applies to her business day to day. The agent allowed her to walk them through her operations, and let them build the case for coverage with the underwriters.
Letting the daycare insurance specialist tell her full story to the best underwriters allows her to get the most robust business insurance policy to fit her needs. She now understood that getting a broad insurance policy that fits her business, gives her options, and doesn’t leave her exposed when the storm hits is far more important than just saving a few bucks on daycare insurance. Building a plan that helps you sleep at night is what truly matters.
Smart Protection
Lisa’s story isn’t rare. Daycares across Texas are facing higher risks and tighter margins. One missed step on insurance can mean big financial losses. The right insurance agent won’t just get you a policy. They’ll help you think strategically, protect your business properly, and give you confidence in your financial protection.
If you want real peace of mind rather than just a cheap quote, work with someone who knows Texas daycare operations and how to talk to underwriters. True Texas Education Insurance was created to get your daycare policy it needs.
Click the button to talk with an expert who knows how to get Texas daycare owners the coverage they need without the games.