Nonprofit insurance is not one standardized policy. It is a collection of commercial coverages selected to address the risks associated with a nonprofit organization’s activities, governance, property, workforce, volunteers, services, and community programs.
The appropriate insurance program depends on what the organization does, who it serves, how it is funded, where it operates, and the people and property involved.
Nonprofit policies are not identical. Review the actual policy documents and confirm that the organization’s activities are accurately described.
General liability may respond to covered claims involving third-party bodily injury, property damage, and personal or advertising injury.
This can be important when donors, participants, members, vendors, or other visitors interact with your organization.
Learn more about General Liability Insurance.
Directors and officers liability insurance may help address covered claims alleging wrongful acts in organizational governance or management.
Coverage can be important for board members, trustees, officers, and the nonprofit organization itself.
Commercial property insurance may cover eligible buildings, furniture, equipment, inventory, donated property, and other organizational assets after a covered loss.
Coverage should reflect property kept at offices, program locations, storage facilities, and other insured premises.
Workers’ compensation may provide medical, partial wage-replacement, rehabilitation, disability, and other benefits for qualifying work-related employee injuries or illnesses.
Requirements vary by state. Learn more about Workers’ Compensation Insurance.
Nonprofits that provide counseling, education, consulting, case management, placement, or other professional services may face claims alleging errors, negligence, or failure to perform.
Employment practices liability insurance may address covered employment-related claims involving discrimination, harassment, retaliation, or wrongful termination.
Learn more about Employment Practices Liability Insurance.
Volunteers can create liability and injury exposures even when they are not employees.
Options may include volunteer accident coverage, liability protection, or endorsements addressing approved volunteer activities.
Organizations serving children, seniors, people with disabilities, or other vulnerable populations should review whether specialized abuse and molestation coverage is appropriate.
Underwriting may include screening, supervision, training, and incident-response procedures.
Nonprofits may store donor, employee, volunteer, participant, payment, or health-related information.
Cyber coverage may help address eligible data breaches, ransomware incidents, notification expenses, recovery services, and certain liability claims.
Crime coverage may help protect organizational funds or property from covered theft, forgery, fraud, or dishonest acts.
Coverage should be reviewed for employees, volunteers, board members, and other people who handle money or property.
Fundraisers, festivals, community programs, galas, athletic activities, and temporary events may create exposures beyond routine operations.
Venues and vendors may also require specific limits or additional insured status.
Coverage should be reviewed when the organization owns vehicles or when employees or volunteers use personal or rented vehicles for organizational activities.
Learn about Commercial Auto Insurance.
Coverage depends on the policies selected. Unless specifically insured, a nonprofit insurance program may not cover:
Review all exclusions, endorsements, reporting obligations, and coverage triggers before purchasing a policy.
A nonprofit or tax-exempt structure does not prevent lawsuits, property losses, employment disputes, cyber incidents, vehicle accidents, or allegations against directors and officers.
The organization should identify the risks it could not comfortably absorb using its own financial resources and build coverage around its actual activities.
Insurance requirements may also appear in leases, grants, service agreements, event contracts, and vehicle arrangements.
Nonprofit insurance pricing may be influenced by:
Accurate information about your operations helps insurers evaluate the risk and prepare a more useful proposal.
Charities may need protection for fundraising, community outreach, donated property, volunteers, employees, and public-facing programs.
Professional, trade, cultural, and community associations may face risks involving members, governance, events, publications, and educational programs.
Organizations serving young people may need coverage for participants, instructors, volunteers, transportation, field trips, facilities, and safeguarding exposures.
Social-service and community organizations should consider client interaction, professional services, home visits, transportation, facilities, and sensitive information.
Nonprofits may rely on employees, independent contractors, officers, board members, interns, and volunteers. These roles can have different legal and insurance implications.
A job title or written agreement alone may not determine whether someone is an employee or independent contractor. The actual working relationship and applicable law must be considered.
Volunteer accident coverage also does not necessarily provide the same protection as Workers’ Compensation Insurance.
Depending on your organization, additional coverage may include:
Visit our Commercial Insurance page to explore additional options.
Tell us about your mission, legal structure, services, annual revenue, locations, and operating history.
Describe your employees, volunteers, participants, property, vehicles, events, professional services, and technology use.
Compare available limits, deductibles, endorsements, exclusions, coverage triggers, and carrier requirements.
Choose an insurance program suited to your organization’s mission, operations, contracts, and budget.
Nonprofit insurance is a combination of commercial insurance coverages selected to address an organization’s liability, property, leadership, employees, volunteers, professional services, vehicles, events, technology, and other operational risks.
General liability insurance may help address covered claims involving third-party bodily injury, property damage, and personal or advertising injury. It can be important when participants, donors, members, vendors, or visitors interact with the organization. Learn more about General Liability Insurance.
Directors and officers liability insurance may respond to covered claims alleging wrongful acts involving organizational governance or management. Depending on the policy, protection may extend to the nonprofit, directors, officers, trustees, and other insured individuals.
Volunteer protection depends on the policies and endorsements selected. General liability, volunteer accident, auto, directors and officers, or other coverage may apply differently. The organization should confirm who qualifies as an insured and which volunteer activities are covered.
Requirements vary by state, workforce, and organizational structure. A nonprofit with employees may be required to maintain workers’ compensation coverage. Volunteers are not automatically treated the same as employees. Explore Workers’ Compensation Insurance.
Routine or special-event coverage may apply depending on the policy, event, venue, attendance, activities, vendors, and whether alcohol is served. Some events require separate coverage or an endorsement. Venues may also require specific limits and additional insured status.
A nonprofit providing counseling, education, consulting, case management, placement, or other professional services may face claims alleging errors, negligence, or failure to perform. General liability may not cover these allegations. Learn about Professional Liability and E&O Insurance.
A personal auto policy and the nonprofit’s policy may respond differently when an employee or volunteer uses a personal vehicle for organizational activities. Hired and non-owned auto liability may be appropriate, but it does not necessarily replace the vehicle owner’s personal insurance. Review Commercial Auto Insurance.
Pricing may be affected by the organization’s services, revenue, payroll, employees, volunteers, participants, locations, property, vehicles, events, prior claims, selected coverages, limits, deductibles, and risk-management practices.
You may need to provide information about your mission, services, revenue, payroll, board, employees, volunteers, participants, properties, vehicles, events, professional activities, current insurance, and loss history. Begin on our Get a Quote page.
