Disclose the actual use
Tell the carrier whether vehicles transport enrolled children, how often, over what radius, at what times and for what purposes. Disclose school pickup, home routes, field trips, emergency transportation and vehicle use by affiliated locations.
Vehicle and passenger details
Underwriters may need VINs, seating capacity, vehicle type, ownership, garaging, annual mileage, inspection and maintenance procedures, restraint systems and whether vehicles are modified. Large passenger vehicles can require specialized underwriting.
Driver controls
Maintain written driver qualification standards, motor-vehicle-record review, license verification, training, accident procedures and rules for distracted driving. Explain how substitute drivers and newly hired employees are approved.
Limits and passenger injuries
State minimum auto limits may be far below the potential severity of a collision carrying several children. Evaluate commercial auto limits and umbrella or excess compatibility based on the real passenger exposure.
Physical damage and downtime
Comprehensive and collision address covered damage to insured vehicles, subject to deductibles and valuation provisions. Rental reimbursement or substitute transportation may be important when a route depends on one vehicle.
Personal vehicles are a separate problem
If employees use personal autos for errands or any child transportation, disclose it. The business may need hired and non-owned auto liability, but that coverage does not replace the employee’s personal policy or ordinarily pay physical damage to the employee’s car.
Insurance and licensing are separate
Commercial auto insurance does not establish compliance with childcare transportation rules. Driver qualifications, supervision, restraints, loading, attendance checks and vehicle procedures must satisfy the applicable licensing and legal requirements.