Every toy library faces a certain amount of risk, whether it's ensuring the health and wellbeing of its volunteers or protecting its toys and property. It is important that every toy library has enough insurance to allow it to re-establish if disaster strikes.
Why insurance is important?
Toy libraries work with children, families, volunteers, toys, equipment, and community spaces. Insurance helps protect against financial loss arising from:
Accidents or injury
Damage to property or equipment
Theft or loss
Liability or legal claims
Having appropriate insurance supports the long-term sustainability of the toy library.
Protecting people, toys, and property
Adequate insurance helps protect:
• Children, families, volunteers, and staff
• Toy collections and specialist equipment
• Library spaces, storage areas, and property
This protection helps toy libraries recover and re-establish more quickly after an incident.
Toy Libraries Australia (TLA) insurance
Toy Libraries Australia offers an insurance program designed specifically for toy libraries. This coverage reflects the unique risks associated with toy lending, volunteer involvement, and community-based activities.
TLA provides three key types of insurance:
Public and Products Liability Insurance
Industrial special risk
Volunteer Accident Cover
Information about coverage and access to proof of insurance can be found in the "Important Documents" section of TidyHQ. This area also includes essential safety resources and required reading for member toy libraries. For larger activities, TidyHQ also includes an event notification form that must be completed for events or festivals with more than 500 attendees. Submitting this form helps ensure appropriate insurance coverage is in place for higher-risk or large-scale events. Additional insurance charges may apply.
Annual mandatory insurance update
All member toy libraries are required to complete a mandatory insurance update training each year. This ensures insurance coverage remains accurate and appropriate as:
Toy collections grow or change
Activities or programs expand
Risk levels change over time
Workers’ compensation (if you have staff)
Toy libraries that employ staff should ensure they have workers’ compensation insurance. This may be legally required and covers staff for workplace injury or illness while protecting the organisation from associated costs. Insurance held through Toy Libraries Australia DOES NOT replace workers compensation.
Understanding risk and committee responsibilities
Committee members should understand:
What types of insurance the toy library holds
What is and is not covered
Their role in managing risk and compliance
This includes reviewing insurance summaries and staying informed about updates or changes to coverage.
Valuing toys and assets
Toy libraries should have a reliable way to estimate the value of their toy collection and assets, such as using toy library management software. Accurate valuation helps ensure insurance coverage reflects actual replacement value. Replacement value should reflect the current retail price (RRP), or current wholesale price (e.g. through toy community) or cost of closest equivalent product.
When signing into TidyHQ, your contact profile includes asset and insurance-related information. Committees should ensure this information is kept accurate and up to date.
High-risk toys and compliance
Some toys are considered high-risk and have specific insurance and compliance requirements. These requirements may change, which is why it is important to review and complete the annual insurance update each year.
Some ride-on toys and equipment require children to wear a helmet. Toy Libraries Australia requires member toy libraries to use the approved helmet waiver for these items. The wording of this waiver must not be changed, except where the document prompts you to insert your toy library name. The waiver is provided as a stand-alone document and can be acknowledged by members either by ticking a box in toy library software systems or by signing a hard copy in person. It can be found in Quality Standard 2.5 Policies and Procedures.
Insurance review and communication
Insurance coverage should be reviewed annually to:
Reflect changes in toy value and assets
Account for new activities or programs
Ensure ongoing compliance with TLA requirements
Clear communication with Toy Libraries Australia is essential for insurance updates, coverage changes, compliance questions, and making insurance claims.
Self-check
Toy libraries should regularly confirm that they:
Hold appropriate insurance coverage
Understand their insurance responsibilities
Meet TLA requirements for high-risk toys
Complete the annual insurance update on time
Where to go for information
For questions, clarification, or to make an insurance claim, contact Toy Libraries Australia at
Further training
Toy Libraries Australia produced content
Annual Insurance Update 2025 - recorded in May 2025, approx 60 mins
Updated:
3 Mar 2026