It may seem unnecessary for your nonprofit organization to invest in liability insurance. If you only employ volunteers it can seem like a waste of valuable funds. Unfortunately, accidents and problems can arise in so many areas that it would be irresponsible to do without liability coverage.

What Type of Liability Insurance Do Nonprofits Need?

Nonprofit liability insurance coverages vary from one organization to another, so it’s critical to discuss your concerns with your insurance agent. They can help you find the best package to protect your investment and your workers. Items to consider include the following:

  • General Liability Protection – This plan compensates clients if they are injured on your property. It will also cover damages caused by an employee at a client’s property.
  • Directors and Officers Liability Insurance – Your board of directors can be sued for many reasons. Even if they are unpaid employees, the decisions they make can cause financial hardship to clients. Wrongful acts and mismanagement of funds are common D&O claims.
  • Auto Liability Coverage – If your workers run errands for the company, or if they drive clients to and from appointments, auto liability insurance is a must. It’s also critical to carefully vet each driver beforehand to ensure they have a safe driving record.

Protect your nonprofit organization from unwanted claims with a comprehensive liability insurance plan.