Cm insurance question

[StarExpat]

I'm just really curious about this because I keep seeing it mentioned on various threads. How does cm insurance benefit or affect the mindee/parents?

I know it must and I'm not saying it doesn't or being rude, I just don't understand it. If a cm didn't have insurance, why is that a big worry for a parent?

BTW this has nothing to do with me, personally as my cm is completely insured! However, I know someone whose cm is not(!!) and I said to her (because of seeing it on here) that this is not good and cm needs to be insured. She said "why? Cm chooses not to protect herself that has nothing to do with me."

I suppose there is more chance of there being a payout if the event of a serious accident occurring - as the insurance company would have more available funds than an individual person.

Without insurance the parents would sue the individual - who may not have the funds to pay for say long term care of a disabled person.

You mean if we required private medical care?

Not the CM... the child.

The insurance is to cover the children more than the CM I think

right. So if the child needed care outside of NHS?

Thanks for help, btw! :) I just still don't quite get it and want to explain it properly.

If your actions result in long term injury to a child in your care... you will be sued for all sorts of things, not just medical costs but also things like loss of future income. It also provides come cover for legal costs

The NHS can also claim from insurance policies... so they may make a claim against the policy for the cost of an ambulance and hospital treatment costs.

Have you asked an insurer? I would have thought they would try to explain to you why it is you should have the insurance... it's in their interest after all, as they want to sell a policy.

'PL insurance covers any awards of damages given to a member of the public because of an injury or damage to their property caused by you or your business. It also covers any related legal fees, costs and expenses as well as costs of hospital treatment (including ambulance costs) that the NHS may claim from you.'

This from government business link website.

so if you crash a car full of mindees you are liable for all their costs and damages. No insurance and cm would go bust and not be able to pay....

A claim can be brought against a childminder up to a child?s 21st birthday ? long after they have left your care. So an accident when the child is 2, may not result in immediate evidence of long term damage. However it could at a later time be found to be the cause of something, thus liability insurance will usually cover up to the limit in law as to when a claim can be made... so up to the child's 21st birthday.

It would be interesting to know what sort of claims are made... wonder if any of the insurers would say what sort of claims they process... which they payout on and which they don't.

Do you remember Jigsaw Nursery chain? No details of what claims were made by the parents against the nursery insurance... but the news article does give figures for a Fine and legal fee.

Some info on the claims made by the parents. "On behalf of Mr and Mrs Egan, Leigh Day & Co. put forward claims for bereavement and for the psychological injuries they had suffered as a result of Thomas? death. In addition, Leigh Day & Co submitted a claim for Mrs Egan?s loss of earnings from the date she resigned to the date she would be able to return to full-time work , which would be once Ciara was at school."

Ok I think I see now. Nick I'm not a cm. My ds goes to a cm, who is insured:) it's friend's cm who isn't. She doesn't seem to think it matters for her. Will show this thread! Thanks!

Insurance is compulsory for childminders in England - not sure about elsewhere but I expect it is similar throughout the UK. So without insurance your friends childminder is I suspect also in breach of UK Childcare legislation. They don't meet registration requirements - so are not registered. So they wouldn't be able to use Childcare Vouchers or Tax Credits as a payment form.

Everyone has their own level of acceptable risk. We take risks all the time, crossing the road is a risk. Your friend is taking a risk... problem is that they may not know what the risk actually is they are taking... as if someone does not comply with one bit legislation... what are the chances of them complying with other bits?

I feel it provides a level of protection in the event of something going badly wrong. Who knows if it would actually pay out... and if it does, to what extent. However it's better that there is something, rather than nothing. Childcare isn't paid that well, so childcarers do not tend to have vast sums of money sitting around to pay a compensation claim... so without the insurance any payout is unlikely. Whereas with the insurance there is some hope that the insurer may seek to settle a claim.

We would all hope that the chances of something going badly wrong are very low... but what is the actual chance? Hard to know the risk level. Insurance policies for childcarers are often under £100 a year, so it does not mean that childcare costs go up that much to cover the insurance cost.

Thanks nannynick! This is very helpful :) I've had her read this and she's now looking into things more because apparently cm told her she's not yet insured and it was up to friend if she wanted to send dc - so friend said insurance didn't matter for her, just cm. Now, she's wondering if she's not registered! she has a contract, though(??)

And thank you aceandskull! :)