Kennel Insurance: Avoidable Risks That Can Shut You Down

Running a kennel or doggie daycare in Northern Kentucky, Cincinnati, or Indy? The avoidable risks—not the freak accidents—are what shut good businesses down. In this guide, we show how smart kennel insurance closes the exact gaps that lead to surprise bills, lawsuits, and forced closures.

Want more? Explore our Kennel Insurance hub.

The $5,000 lesson (that didn’t have to happen)

Sarah’s Northern Kentucky daycare had two regulars—a pair of golden retrievers—get into a quick scuffle. Fifteen seconds, $5,000 in combined vet bills, and one owner saying the word no one wants to hear: “lawsuit.”

She had general liability. She assumed she was covered. But the claim involved animal-to-animal injury—something many general liability policies exclude unless you add the right kennel insurance endorsement.

“I figured liability was liability,” she told us. “A dog hurt at my business should be covered, right? Wrong.”

Why general liability isn’t enough for kennels

Animal-to-animal exclusion
Most general liability covers injuries to people and damage to other people’s property—not injuries between animals in your care.
Care, Custody & Control (CCC)
CCC is a clause that excludes damage to property in your care. In pet care, the “property” is the animal. Without a CCC solution, you can be on the hook.
Professional liability
Training advice gone wrong, a missed medication, or a grooming error? That’s a professional services issue, not a basic slip-and-fall.
Property limits that don’t match reality
Specialized flooring, fencing, kennels, and play structures aren’t cheap. Underinsuring replacement costs is an avoidable mistake.
Business interruption blind spots
Many policies require physical property damage to trigger lost income coverage. An incident with no physical damage can still shut you down.
Cyber exposures
You store client info, payment data, and maybe camera footage. A breach can be more expensive than a broken gate.

What proper kennel insurance should include

Animal-to-animal injury
Covers vet bills when pets in your care injure each other.
Care, Custody & Control for animals
Often added by endorsement; it fills the “in your care” gap.
Grooming and bathing protection
Nicks, tool injuries, allergic reactions—cover the day-to-day realities.
Escape and loss coverage
Pays for search costs, vet bills, and, when applicable, replacement value.
Abuse and molestation coverage
Hard to think about, critical to carry.
Key staff or disability solutions
If your head trainer or manager is out, you need a plan to keep operations steady.

Not sure where to start? Read our plain-English guide: What insurance does a kennel really need?. And don’t miss the gotchas: The hidden insurance risks that could shut down your doggie daycare overnight.

Avoidable business risks: your 30‑day fix-it plan

Today

Pull your policy and highlight every exclusion tied to animals, professional services, and business interruption.
Write down how you separate dogs by size/temperament and how you document incidents.

This week

Ask your agent (or us) to confirm animal-to-animal and CCC solutions in writing.
Update client contracts with clear behavior and medical disclosures.
Add visible incident reporting and first-aid protocols near play areas.

This month

Right-size property limits for fencing, flooring, kennels, and equipment.
Confirm cyber protections (MFA on accounts, offsite backups, breach response plan).
Run an after-hours drill for escapes and medical emergencies.

Red flags you can spot in five minutes

Your policy doesn’t mention animal-to-animal coverage.
No CCC solution and no professional liability.
Your premiums look like a retail store’s—not an active kennel/daycare.
No dedicated business interruption review in the last 24 months.
Your agent never asked how you group dogs or handle incidents.

Proof it pays to plan

Six months after her scare, Sarah added the right endorsements and tightened operations. A minor scratch turned into a $400 vet bill—and her policy handled it. She also split play groups more intentionally and staffed up during peak hours. Fewer incidents. Fewer surprises. More sleep.