Does My Non-Profit Need Insurance?

Every company needs protection. Just because you are a non-profit organization, that does not mean someone is not going to attempt to take advantage at some point. Here are some reasons why you should consider getting some kind of insurance for your business if you have not done so already:

1) Did you know that anyone in the company can be held liable without insurance? That someone could be a person you work with. The people you work with might appear to be nice and friendly, but that could prove to be a false misunderstanding.

You should never trust someone 100%, especially in business. That also goes for the investors and business associates outside of the cubicle. Somebody could come after you with a false claim unless you have insurance to protect you and the company.

2) There is something called “The Volunteer Protection Act.” However, that coverage is very limited.

Someone could hit you with something unsuspected without warning. Do you have the money to cover the additional expenses you need to resolve the issue?

3) Anyone in the community could be sued for anything, anytime. That means your Senior Director could go to court over something he did not do. Without the proper protections, he or she could face fines, even if they are not guilty.

There are a lot of people who take advantage of others, either, intentionally or unintentionally. You need to protect yourself.

4) Did you know that a non-profit has a greater risk of facing a lawsuit compared to a for-profit company? The reason is that they face certain situations that for-profit companies already have protections in place for.

a) There is the discrimination factor. Profit companies get this one too, but they have the resources to handle it. A non-profit organization does not always have the right resources. A discrimination lawsuit falls under a much broader umbrella.

b) Not every non-profit organization is aware of the Employee Laws. Some of them fall under the radar. That can be what sometimes makes a non-profit an easy target.

c) The unwritten written agreement. Some things are better left unsaid. That logic gets some non-profits into trouble more often than not. Some figure they do not have to get everything in writing because they are non-profit.

5) One lawsuit could bankrupt a non-profit in one move. The assets have to cover the legal fees. That is the last thing you want, especially if the problem is over one little misunderstanding.

You need to protect yourself. For a consultation and a quote contact us today at (772) 287-3625

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