• General liability insurance
• Professional liability insurance
• Workers compensation insurance

Each type of policy covers different scenarios, but all insurance offers these benefits:

• It can protect your business from certain claims.
• It can cover damages caused by your negligence.
• Proof of insurance can help clients feel good about your work.
• It may be required where you’re located.

What Types of Tutor Insurance Do I Need?

Not sure where to begin when considering tutor insurance? For starters, it’s useful to know there are three types of policies to consider. For instance, not every business is required to have every kind of coverage, though we always recommend them.

We have a study guide below on the business insurance policies you may need, but we won’t give you a pop quiz at the end.

Do Tutors Need General Liability Insurance?

Do you teach one specific subject, or do you dabble in a little bit of everything? If general liability insurance were a tutor, it would be the latter. This jack-of-all-trades insurance policy covers bodily injury, property damage, and third-party accidents. “Third parties” refer to your clients or vendors. You also can add contents coverage to your policy, which could offset costs if your equipment (e.g., your laptop!) is lost or stolen.

Other than drinking too much coffee, being a private tutor doesn’t seem dangerous. So why get insured? Let’s review a scenario where having business insurance would protect your finances. Imagine you’re tutoring a student in your office when they get up to refill their water bottle. The student doesn’t see your laptop charging cable near the desk, and they trip on it and fall into your bookshelf. During the fall, your student broke their wrist, and the parents are suing you for the medical expenses and the time they had to take off work to care for their child.

Where does that leave you as a business owner? If you have general liability insurance, your policy could potentially help cover your settlement and legal fees. If you didn’t have insurance when the accident happened, you likely would have to pay for the damages, even if it meant taking out a loan.

So what does general liability insurance usually cover in your tutoring business? Here’s a recap:

• Third-party property damage (aka clients or vendors)
• Third-party bodily injury
• Medical expenses
• Personal and advertising injury
• And more

General liability insurance does not cover:

• Personal property damage
• Professional services
• Employee injury and workers compensation
• Damage to your work
• Motor vehicles during business use
• Intentional injury or damage
• And more

Learn more about General Liability Insurance.

Do Tutors Need Professional Indemnity Insurance?

The second type of insurance for tutoring businesses is professional indemnity insurance, or professional liability insurance. When you perform a professional service or give advice, you open yourself up to claims of negligence. A pupil or their parents could sue you for negligence, even if you don’t agree with the claim. Professional liability insurance can cover you in case a client claims that you, your employees, or your business were negligent.

Even small slips or accidents could turn into a negligence claim. For example, if you give a student incorrect information and they fail a test, they could sue you. They may claim that your misdirection prevented them from getting into their top college.

Without professional liability insurance, you’d need to pay for legal fees and settlements out of pocket. If you had a professional liability policy, things would look a lot different. Your policy could help offset damages so that your business could continue without paying the bill.

Let’s review the scenarios that professional liability insurance typically covers:

• Legal defense costs
• Omissions or alleged omissions
• Negligence or alleged negligence
• Claims and damages
• And more

Having professional liability insurance does not usually protect you from:

• Property damage
• Intentional acts and omissions
• Bodily injury
• Medical expenses
• And more

Do Tutors Need Workers Compensation Insurance?

If you have employees, then you have a growing business — congratulations! While your state may not require you to have general or professional liability coverage, workers compensation insurance is nearly always a requirement for businesses with employees. This type of insurance can cover medical bills, lost wages, and legal costs associated with an employee who gets sick or hurt on the job.

Accidents can happen anywhere, and they can be costly. The average cost of a workers comp claim is $40,051, and a slip or fall averages at over $46,000. While employee injuries will hopefully be few and far between in your business, the price of a single accident is enough to make workers compensation insurance worth it.

Workers compensation insurance for tutors may cover:

• Medical Payments
• Lost Wages
• Rehabilitation Expenses
• Death Benefits

Do I Need Insurance to Teach at Home?

Tutoring is tough but rewarding work. You’ve likely spent countless hours to get to where you are, and you deserve to maintain your business for as long as you wish. The reality of business, though, is that accidents or negligence claims can happen. Forty-three percent of small business owners have reported being threatened with or involved in a civil lawsuit.

Unfortunately, you don’t necessarily need to do anything wrong to face a negligence case. You could be the most effective and patient tutor in town. Still, one disgruntled student or parents who think you were negligent could sue you. We want to help you achieve the peace of mind that comes with preparedness.

The average costs small business owners are exposed to without insurance include:

• $30,000 for property damage or accident claims
• $39,000 for work injury claims
• $50,000 for reputational harm claims (e.g., slander or libel)
• $20,000 for a client slip-and-fall case

Paying your monthly business insurance premiums will help ensure that the twists of business don’t bring your passion to a halt. It’s understandable if you’re unsure about adding a monthly expense. Fortunately, you won’t have to pay for coverage that’s above your needs. Your policy premiums are based on the types of services you provide, where you’re located, how many employees you have, your annual revenue, and more. Just answer a few questions here to get a tailored estimate.

Now for some encouraging news — insurance is useful on your good days, too. Having proof of coverage comes with perks, including being able to:

• Rent out a room or space for your business
• Convince other people to work with you
• Earn a client’s confidence
• And more!

You’ll receive a certificate of insurance (COI) when you buy your policy through Simply Business, which you can use to provide proof of coverage.

Tutor Insurance FAQs

Why Choose Simply Business?

You have your students’ backs, and we have yours! Simply Business is an online insurance brokerage that allows you to compare quotes from the nation’s top insurers. We’re one of the fastest-growing online providers of small business insurance, with thousands of customers who trust in us.

What sets Simply Business apart? Our customers know that:

• We’re fast and affordable. You have a lot on your plate, and your time matters. Our easy quote process gets you covered in a few minutes so that you can get back to your busy schedule.

• We’re flexible. Choose a policy to get you started, and increase coverage as your business evolves. We’re here to grow with you.

• We recognize you’re unique. Every business is unique, and you should have insurance that fits. Our quote process helps find coverage that’s what you need.

You’ve worked hard to build your tutoring business. Now you can choose the best coverage to protect it.

This content is intended to be used for informational purposes only. It is not intended to provide legal, tax, accounting, investment, or any other form of professional advice.