What kind of insurance does our organization need?
Answered by: Ben Bullock

There are many different kinds of insurance policies that a nonprofit can buy. The first and most important is directors and officers liability insurance, which can protect board members in the case of lawsuits arising from decisions they make in their capacity as board members.

Then, there is general liability coverage, which protects from a broad range of risk related to your organization’s operations.

Organizations that have employees should have workers compensation insurance to protect the organization when employees suffer injuries in the course of their work.

If your organization owns automobiles, then automobile insurance is required by law. If your employees use their personal automobiles for their work, make sure your personnel policies state that they must have auto insurance.

If your organization is hosting an event where beer, wine, or liquor is being served, then you may want to have host liquor liability insurance.

If your organization hosts a major conference, which if cancelled, your organization would be on the hook for the bills, then event cancellation insurance might be worth your while.

For more information on insurance options for nonprofits, access our Business Partner Directory and look up “Insurance and Risk Management” in the ‘Business Category’ menu.

Also, check out our Weekly Wednesday Webinars. From time to time, we have a webinar on the basics of insurance.