Types of Claims Nonprofit Liability Insurance Covers
Even though many types of social services would not exist without them, nonprofit organizations are often targets of lawsuits that threaten their ability to serve. Here are some legal claims that nonprofit liability coverage protects against.
If anyone becomes injured on the premises, liability insurance pays for medical bills. Even if your facility appears completely safe, people can slip and fall and children can hurt themselves while at play.
If an employee damages property during work, liability insurance covers the costs of repair or replacement. Depending on the policy, this protection may extend to volunteers.
Infringing on another’s copyright is usually done unintentionally, but the repercussions are the same as if the action were done deliberately. This situation can arise by doing something as simple as photocopying a passage from a book or posting a picture on social media.
All of the above claims require funds not just to repair what has been lost or injured, but also to defend your organization’s reputation in court. The burden of legal fees can easily outweigh any actual damages
Unfortunately, the famous saying that no good deed goes unpunished often rings true when it comes to nonprofit organizations. Luckily, nonprofit liability coverage exists to protect them.