They have to have insurance or bond.
I would worry about the landlord insurance policy you must have for your house. Call insurance companies to see if you can get insurance for your house.You have to tell them about the family day care at the premises. Be prepared if you get rejected by some insurance companies. Just keep calling till you find one which will insure your property. Also, talk to the agent who sells the house to see if you can get information on which insurance company insured the property for the seller. Good luck.