Things to Know Before Buying Insurance for Your Nonprofit Organization

Finding the right insurance for your nonprofit.

Nonprofit organizations know that business insurance is a necessity for safeguarding assets. When an accident or lawsuit occurs, their policies ensure they can continue serving their communities without suffering a devastating financial hit. If your nonprofit is just entering the world of business insurance, it is easy to feel overwhelmed when searching for a policy. Before you begin comparing coverages and quotes, check out these tips for finding a policy that works for you.

Know your risks.

Because nonprofits work in the heart of their communities, the potential for accidents and liabilities is vast. Before you secure insurance coverage, you’ll need to know your risks to adequately protect yourself from them. For example, if you open your doors to people in the community, your business needs protection against third-party liability. That way, if someone is injured on your property or their property is damaged, you will have coverage to pay for court costs and medical expenses. This risk assessment gives you a clearer picture of the policies you need.

Don’t focus on the price.

It’s understandable for a nonprofit with limited funds to focus solely on acquiring cheap insurance just to have a policy in place without a large outlay. However, your nonprofit insurance is a necessary expense, and without adequate coverage, you may end up harming your organization more in the event of a liability claim. Cheap policies often come with limited coverage. It’s wise for the nonprofit to opt for the types of coverage needed and make the price a secondary concern.

Choose an insurance agent who knows nonprofits.

Insuring a nonprofit is different to insuring a car or a home or even a for-profit business. Nonprofits have unique risks and sensitive funds so it pays to work with a licensed insurer who is well-versed in insuring nonprofits. The agent should be able to advise you on the add-ons or endorsements that can fill potential gaps in your coverage, too.

To secure your nonprofit the insurance coverage it needs, contact the experts at Colorado Nonprofit Insurance Agency, part of HUB International in Denver, Colorado at 303-894-0298.  Our dedicated team is ready to assist you with all your nonprofit insurance needs.