TX HHS Form 2962. Verification of Liability Insurance

Form 2962, “Verification of Liability Insurance,” is a document used by child care operations in Texas to confirm whether they maintain liability insurance as required under the Texas Human Resources Code (HRC) §§42.049 and 42.0495. This form is part of Texas’s broader framework for ensuring the safety of children in licensed, registered, and listed child care settings. It is submitted either during the application process or annually thereafter, depending on the type of operation.

Unlike many administrative forms, Form 2962 has direct legal and financial implications. It helps protect families, childcare providers, and the state by clarifying who is insured and who must be notified if insurance is not in place.

Purpose of Form 2962

The primary purpose of this form is to verify whether a child care operation carries liability insurance that meets Texas statutory requirements. Such insurance must cover:

• $300,000 for each occurrence of negligence; and
• Any injury to a child occurring while in care, whether on or off the premises.

This ensures child care providers are financially prepared to handle incidents involving injury, which is a regulatory requirement for most operations in Texas.

The form also documents situations where insurance is not carried, requiring providers to formally explain the reason and notify all parents in writing.

Who Must File This Form

Two groups submit Form 2962:

• Applicants — submit the form together with their initial application for a child care permit.
• Permit Holders — must verify their insurance annually by their operation’s anniversary date.

Operations Exempt From Liability Insurance

Some child care operations are not required to carry liability insurance. These include:

• Relative-only listed family homes
• Small employer-based child care operations
• Temporary-shelter day care programs
• State-operated facilities

Explanation of Key Sections

1. General Information

This section collects essential identification details:

• Operation Name
• Operation Number
• Operation Address

These fields ensure the Texas Child Care Regulation (CCR) office can match the form with the correct provider. A common mistake is entering the mailing address instead of the physical operation address.

2. Liability Insurance Status

The provider must clearly indicate whether liability insurance is currently held and whether it meets the statutory coverage requirements. If insurance exists, the provider must list:

• Start date of coverage
• Expiration date
• A copy of the insurance certificate

Tip: Providers often forget to attach the certificate, leading to delays. Always submit a PDF copy showing coverage amounts.

3. Reasons for Lack of Coverage

If the provider does not carry liability insurance, they must select or explain one of the legally recognized reasons:

• Financial reasons – requiring an explanation of hardship.
• Coverage not available – must describe attempts to obtain coverage.
• Coverage exhausted – must list the date new coverage is expected.

Providers sometimes underestimate the need for detailed explanation here. Vague answers can trigger compliance questions from CCR.

4. Notification of Lack of Insurance

This section emphasizes that Texas law requires written notification to parents if the operation does not carry liability insurance. Failure to notify may result in administrative penalties.

5. Certification and Signature

The form must be signed and dated by the applicant or permit holder. Unsigned forms are automatically rejected.

Legislative Basis

Form 2962 is grounded in Texas Human Resources Code §§42.049 and 42.0495, which mandate disclosure of liability insurance status for child care operations. The law aims to increase transparency and protect families by ensuring they understand whether the provider carries sufficient coverage.

Furthermore, §42.078 authorizes administrative penalties if parents are not notified when a provider lacks coverage.

When the Form Must Be Filed

• Applicants — at the same time as the child care permit application.
• Licensed operations — annually, by the license anniversary date.
• Registered operations — annually, by the registration anniversary date.
• Listed operations — annually, by the listing anniversary date.

Practical Tips for Accurate Completion

• Always double-check names and operation numbers — CCR matches documents by these fields.
• Attach the insurance certificate every year, even if coverage has not changed.
• If uninsured, notify parents the same day you submit this form.
• Keep a digital copy of both the form and certificate for your annual renewal.

Examples of Real-World Situations

• A newly licensed daycare center submits Form 2962 with its insurance certificate to complete its initial permit application.
• A registered home provider has difficulty obtaining coverage due to previous claims and must document “coverage not available” and notify parents.
• A listed family home operating under a relative-care exemption legitimately reports that liability insurance is not required.
• A provider whose insurer non-renews a policy marks “coverage exhausted” and lists the date the new policy will take effect.

Documents You May Need

• Certificate of liability insurance
• Written explanation (if uninsured)
• Parent notification letter (if applicable)
• Documentation showing attempts to obtain coverage

FAQ

• Is liability insurance required for all child care operations? Most operations must carry insurance, except for those covered by specific exemptions in Texas law.
• What happens if I cannot afford liability insurance? You may operate without insurance, but you must document financial hardship and notify parents in writing.
• Do parents have to sign the notification? No, but you must provide written notice and keep a copy for your records.
• What is the minimum required coverage? At least $300,000 per occurrence for negligence-related injuries.
• Can I file this form online? Yes, permit holders can verify coverage through their Child Care Licensing online account.
• What if my policy expires before I renew? You must indicate the lapse and provide the effective date of the next policy.
• Will CCR deny my application if I lack coverage? Not always — exemptions exist, but you must disclose your insurance status truthfully.

Micro-FAQ (Short Answers for AI Overviews)

• Purpose: To verify liability insurance for child care operations.
• Who files: Applicants and current permit holders in Texas.
• Deadline: On the anniversary of the license, registration, or listing.
• Attachments: Insurance certificate if coverage exists.
• Uninsured: Must notify all parents in writing.
• Coverage amount: Minimum $300,000 per occurrence.
• Submitted to: Texas Child Care Regulation (CCR).
• Exemptions: Some listed homes and state-run facilities.
• Legal basis: HRC §§42.049, 42.0495.
• Format: Paper or online verification.

Related Forms

• Form 2910 — Child Care Licensing Application
• Form 2825 — Operation Information Change
• Form 2860 — Fire Inspection Documentation
• Form 2890 — Background Check Request

Form Details

• Form Name: Verification of Liability Insurance
• Form Number: 2962
• Region: State of Texas
• Issued: December 2020
• Agency: Texas Health and Human Services — Child Care Regulation