under most state laws parents do have to the damage their kids did. this is called vicarious liability under the theory that parents must supervise and educate their kids. however, most state laws do limit the the amount of damages and impose an age limit for vicarious liability. if your state requires 8 to attach vicarious liability and the kid is 7, then you would have to rely on your own insurance or are out of luck. you may sue the parent directly for negligent supervision or entrustment, but that is a very difficult task.
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