What Insurance Do You Need for a Soft Play?

Insurance is essential for any soft play business because it protects against financial risks arising from accidents, injuries, or property damage. Children are naturally active and unpredictable, and even with the best safety measures, slips, falls, or equipment-related injuries can happen. Public liability insurance covers compensation claims if a child or guardian is hurt on-site, helping the business avoid costly legal battles and payouts.

Employers’ liability insurance is also legally required if staff are employed, protecting against claims from injuries sustained while working. In addition, property and equipment insurance protects the business from losses due to fire, theft, or vandalism. Without insurance, a single serious incident could result in thousands of pounds in damages or legal fees, potentially closing the business.

Having comprehensive insurance also reassures parents and guardians that the business takes safety seriously. It builds trust and credibility in a highly sensitive market where parents want assurance that their children are safe. Insurers may also offer risk management advice, helping owners improve safety and reduce claims. 

In essence, insurance is not just a safety net but a core part of responsible business practice, ensuring stability, trust, and long-term success in the soft play industry.

Types of Insurance Your Soft Play Centre Needs

Running a soft play centre brings joy to children and peace of mind to parents, but it also carries serious responsibilities. These environments are active, unpredictable, and full of movement, so accidents can happen no matter how well you maintain safety standards. Insurance acts as a crucial safety net, protecting you from the legal and financial fallout of unforeseen events such as injuries, employee accidents, or property damage. 

It also gives parents, staff, and partners confidence in your professionalism and preparedness. While some forms of insurance are legal requirements, others are highly recommended for long-term financial stability and business credibility. Whether you’re just starting out or reviewing your existing cover, understanding what each type of insurance does – and why it matters – is essential. 

Below, we explore three key types of insurance your soft play business should have in place to stay protected, compliant, and ready for anything:

• Public Liability Insurance
• Employer’s Liability Insurance
• Equipment Insurance

Public Liability Insurance: A Legal Must-Have

Public liability insurance is arguably the most critical cover for any soft play centre. It protects your business if a member of the public – typically a child or parent – suffers an injury or property damage on your premises and makes a claim against you. This could include a child falling from play equipment, a parent tripping over a toy, or damage to a customer’s belongings. 

The insurance covers legal fees, medical costs, and compensation payouts, which can easily run into tens of thousands of pounds.

While public liability insurance is not a legal requirement in the UK, it is essential in practice. Most local authorities, venues, and partner organisations will require you to have it before working with you, and parents expect it as a sign of basic responsibility; without it, a single incident could put you out of business. For any customer-facing business, especially those involving children, this insurance is non-negotiable for peace of mind and protection.

Employer’s Liability Insurance: Protecting Your Team

Employer’s liability insurance is a legal requirement if you employ one or more people, even on a part-time or casual basis. It covers the cost of claims made by employees who suffer illness or injury as a result of their work. 

In a soft play setting, risks might include manual handling injuries, trips on messy floors, or stress-related health issues. This insurance pays for compensation, legal defence costs, and medical expenses.

The law in the UK requires businesses to have a minimum of £5 million in employer’s liability cover, and failing to do so can result in fines of up to £2,500 per day. Beyond the legal obligation, it’s also a practical and ethical safeguard. Your team is vital to your daily operations, and this insurance shows that you value their well-being, as well as helping you attract and retain good staff by demonstrating your commitment to creating a safe and supportive workplace.

Equipment Insurance: Covering Damage and Theft

Equipment insurance protects your soft play centre’s physical assets, from padded structures and slides to ball pits, sensory toys, and cleaning gear. These items are expensive to purchase and often custom-built, meaning repairs or replacements can be costly and time-consuming. Damage could occur through accidental breakage, flooding, or fire, while theft can happen during off-hours or break-ins.

Although this insurance isn’t legally required, it’s highly recommended. Without it, you would have to cover the cost of any damage or loss yourself, which could disrupt operations or even lead to closure. Having equipment insurance means you can recover quickly from setbacks, avoid long-term closures, and maintain a safe environment for children. 

Some policies also cover temporary equipment hire while repairs are made, which keeps your business running smoothly. For a soft play centre, where the equipment is the heart of the experience, this cover offers essential financial protection and operational continuity.

Insurance for Mobile Soft Play Setups

Insurance for mobile soft play setups is just as important – if not more so – than for fixed premises, because if you’re transporting equipment to different locations and operating in various environments, the risks increase significantly. 

At a minimum, public liability insurance is necessary to protect against injury or damage claims made by parents, children, or venue owners. This is especially critical when you’re setting up in public venues, private homes, or community halls, where safety hazards can vary. Many venues will require proof of this cover before allowing you to operate.

Employer’s liability insurance is legally required if you have any staff helping with setup, supervision, or cleaning. Even if they work part-time or on a casual basis, you’re responsible for their safety on the job.  

Advisably, you should also consider goods in transit insurance to cover equipment while it’s being moved from site to site. Equipment insurance is equally important, as portable items are more prone to damage or theft. You may also want to explore business interruption insurance in case unexpected damage or accidents prevent you from fulfilling bookings. 

A tailored insurance package ensures your mobile soft play business can operate safely, professionally, and with full financial protection wherever you go.

Optional Extras: Business Interruption & Legal Cover

While not essential, business interruption and legal cover can be valuable additions to your soft play insurance package. Business interruption insurance helps protect your income if you’re forced to close temporarily due to unforeseen events like fire, flood, equipment damage, or even vandalism. It can cover lost revenue, ongoing bills, and the cost of temporary relocation or hiring replacement equipment, ensuring your business can recover quickly without serious financial strain.

Legal cover, also known as legal expenses insurance, offers support with the costs of legal disputes that may arise, from customer claims and contract disagreements to employment tribunals or tax investigations. It often includes access to legal advice and representation, which can be especially helpful for small businesses without in-house expertise.  

Though not legally required, both types of cover add an extra layer of financial protection and peace of mind, helping your business stay resilient in the face of unexpected challenges.

How to Choose the Right Policy for Your Setup