Your nonprofit organization specializes in serving and helping others. A lawsuit or other liability could inhibit your organization’s ability to continue operations, though. You need a nonprofit commercial package with invaluable protection that meets your needs as you help others.
What a Nonprofit Commercial Package Includes
The right insurance provides invaluable protection for your organization. Look for several types of coverage when shopping for a nonprofit commercial package.
- General Liability InsuranceWhen visitors or clients are injured from a fall, slip or accident on your property, your organization is liable for medical payments and other damages. General liability insurance offers classic slip-and-fall coverage for any unfortunate accidents.
- Property InsuranceNatural disasters, fires, vandalism and other risks can happen at any time. Property insurance pays for necessary repairs and minimizes operation disruptions to the property your organization owns or rents. This insurance can cover:
- Computers and accessories
- Equipment and machinery
- Fixtures, including carpeting and lighting
- Inventory and supplies
- Office furniture
- Auto InsuranceAny time your staff or volunteers drive a company or personal vehicle for organization activities, your nonprofit is liable for accidents or damages. Purchase adequate auto insurance that includes liability and any coverage your state requires, such as personal injury protection or uninsured/underinsured motorist coverage.
- Product Liability InsuranceYour nonprofit may sell products to raise funds for your cause. Examples include items your clients create or baked goods. Property liability insurance protects your organization financially if someone suffers an injury or other damages because of a product you sell.
- Directors and Officers InsuranceNonprofit organizations rely on the leadership expertise of directors and officers. These men and women could be sued for fraud, financial mismanagement or other things, though. Directors and Officers insurance covers defense and damage costs.
- Professional Liability InsuranceWhen someone files a discrimination, mismanagement or sexual harassment lawsuit against your organization, the nonprofit is liable for related costs and damages. Professional liability insurance, also known as errors and omissions or malpractice insurance, is similar to Directors and Officers insurance but covers your entire organization, including staff and volunteers.
In addition to these six coverage options, your nonprofit commercial package may include:
- Abuse Liability
- Cyber Liability
- Loss of Business Income
- Special Event Insurance
- Umbrella Coverage
- Volunteer Medical Expense Coverage
- Workers’ Compensation
Your organization needs customized insurance that meets your needs, fits your budget and protects your assets. Contact your insurance agent today for a customized quote and more information on the Nonprofit Commercial Package that’s right for you. It provides invaluable protection that allows you to address risks while continuing to serve others.
Professional Liability insurance for nonprofits, also known as Errors & Omissions (E&O) insurance kicks in when your nonprofit is sued for professional negligence. Being sued for professional negligence means your advice or a professional “mistake” caused someone harm. If you are found liable, and you are not carrying nonprofit E&O insurance, well it could be more than your nonprofit can handle.
For example, you run a nonprofit helping your community with business skills. You and your volunteers spend their time helping others build a resume, apply for jobs and learn key business programs. One of your volunteers coaches a community member on an interview, which in turn was bad advice and the member didn’t get the job. The community member could sue your nonprofit for negligence or that you failed to perform your duties. Regardless of you or your volunteer’s intention, it’s important to have the proper protection in place in the even that a lawsuit occurs.
While you can operate legally without Professional Liability insurance, you will run into some client contracts that will require you to carry E&O. It’s better to have the policy in place sooner rather than later, as most policies have a “claims-made” coverage. This means that your policy must be active when the incident occurred in order to take advantage of your coverage.
It’s important to discuss you options with an experience agent, who understands the needs of your nonprofit. The experts here at Raley Watts and O’Neill can craft a customized solution to ensure your nonprofit is protected and continues to bring good to the community.
As an owner of a nonprofit, you spend most of your time trying to help others and make your community better. Your employees and volunteers help make your vision a reality, but they also need your protection. Depending on the goals of your nonprofit, your employees and volunteers could be exposed to some big risks. No one intends to get hurt, but when they do, it’s best to ensure you have the right coverage to help. Nonprofit workers compensation will help cover expenses for lawsuits and medical bills in the event an employee or volunteer has a work-related injury.
Having an adequate workers compensation policy for your nonprofit organization isn’t the only way to help protect your employees and volunteers. Below you will find some tips on additional ways you can protect them:
- Provide training and materials on your safety for your industry.
- First Aid Training
- Proper Lifting Techniques
- Invest in safety equipment and proper ergonomic furniture.
- Repetitive motion and improper posture from poor furniture is a large cause for injuries in the office
- Ensure your employees have access to proper protective equipment for their duties
Understanding who needs to be covered and what kind of coverage you need, depends on your nonprofit and your state laws. Contact us today to discuss workers compensation options available for your nonprofit.
Workers Compensation fraud is a widespread and serious problem that’s not only illegal, but leads to higher insurance premiums for all businesses – including yours.
According to industry experts, Comp-related scams often involve one or more of these “red flags.” Although no one sign should necessarily be cause for alarm by itself, two or more should raise suspicions and could trigger an investigation of the claim:
- Monday morning report of injury. The alleged injury occurs first thing on Monday, or late Friday afternoon, but is not reported until Monday.
- Change in employment status. The reported accident occurs immediately before or after a strike, job termination, layoff, end of a major project, or the conclusion of seasonal work.
- Suspicious providers. The claimant’s medical provider or legal consultant has a history of handling dubious claims.
- Lack of witnesses. No one else saw the accident and the employee’s description does not support the cause of the injury.
- Conflicting descriptions. The employee’s account of the accident doesn’t match with the medical history or injury report.
- History of claims. The employee has filed a number of questionable or litigated claims.
- Refusal of treatment. The claimant declines a diagnostic procedure to confirm the nature or extent of the injury.
- Late reporting. The employee delays reporting the incident without a reasonable explanation.
- Elusiveness. The allegedly disabled employee is hard to reach.
- Instability. The claimant changes physicians, addresses, or jobs frequently
If one of your workers files a claim that has some of these warning signs, be sure to let us know. We’ll work with you and your Workers Comp carrier to check it out.
The chances are that your company relies heavily on one or two people – such as a partner, operations manager, or foreperson – whose knowledge, expertise, or overall contributions are essential. If death put this person out of the picture, where would you find the financial resources to keep you up and running?
The answer: a Key Person Life Insurance policy under which your company receives all or most of the proceeds. This term can also apply to other coverages used for business continuation purposes, including: 1) Buy-Sell or Shareholder Insurance, to reimburse partners or investors; 2) Debt Protection; and 3) Revenue Protection. You can use the funds to replace lost income due to the unavailability of the key person and to recruit, develop, and train a replacement.
The policy’s cash value might be available to your business through a withdrawal or loan, if needed. You can also split the premium and death benefit between the firm and the spouse or partner of the key person to ensure that she or he receives replacement for the person’s economic value to the family (However, these premiums are not tax deductible).
What’s more, Key Person coverage provides a financial asset that enhances the creditworthiness of your company for commercial lending, by ensuring that the business will stay up and running if the key person is out of the picture.
The amount of coverage you need will vary – say, from $100,000 to $500,000 – taking into account what your budget allows versus how much the business would need to survive while you’re bringing a replacement up to speed.
As always, our agency stands ready to advise you at any time.
Chances are that you’d never buy a new truck or front-end loader without trying it out to make sure it could do the job. Do you do the same for the vehicle’s operators?
Safety experts recommend that any employee who will be driving a truck should receive a road test of his or her driving skills before being hired. The examiner should be fully qualified to operate the vehicle, and familiar with the prospective operator’s past experience. The test should include all the necessary skills:
- use of all controls; traffic operations (including backing, parking, slowing, stopping, passing, and turning)
- general driving habits, such as alertness, stamina, and patience
- driving rules and regulations pertaining to the vehicle
- handling the necessary actions/equipment for loading and unloading the vehicle
For each skill or knowledge area, the applicant should receive a pass/fail grade. Each area of weakness should lead to further training or a corresponding limitation in the scope of the operator’s approved activities. Keep records and scores of these tests as documentation in the event of an accident or claim resulting from a driver’s actions.
For more suggestions on the format or content of driver exams, contact your trade association, state department of motor vehicles. Don’t forget the benefits of a solid driver training and testing program in keeping your Commercial Auto insurance rates under control.
Your drivers are taking your vehicles and your insurance coverage on the road every time they get behind the wheel. Wouldn’t it be a good idea to make sure that they’re capable of protecting both?
For more information, feel free to get in touch with or one of our agency’s risk management professionals.
“As the year comes to a close, it is a time for reflection – a time to release old thoughts and beliefs and forgive old hurts. Whatever has happened in the past year, the New Year brings fresh beginnings. Exciting new experiences and relationships await. Let us be thankful for the blessings of the past and the promise of the future.”
Peggy Toney Horton
It’s the Holiday season and we just wanted to say
‘ Thank You ’
It’s been a pleasure working with you this year…
Hope you and your family have wonderful Holidays and…
A Happy New Year.
Each year around 1,000 trips or slips on construction sites result in fractured bones or dislocated joints, often leading to permanent disability, harming workplace morale, reducing productivity, and raising insurance premiums. Many of these accidents are due to negligence in dealing with building materials or waste.
Safe site operation requires co-ordination between the client, contractor(s), and suppliers. Before beginning a project, agree with the client on arrangements for handling materials and waste. Larger projects should include this agreement in the construction phase plan.
To reduce the risk of mishaps in storing materials, experts recommend that you:
- designate storage areas for materials, waste, and flammable or hazardous substances
- don’t allow storage to ‘spread’ on walkways or store materials where they might obstruct access or interfere with emergency escape routes
- store flammable materials separately and protect them from accidental ignition
- install guard rails if materials are stored in high places
- keep all storage areas tidy
- plan deliveries to keep the amount of materials on site to a minimum
In dealing with waste, decide how to manage waste streams produced during construction and assign responsibility for collecting and disposing of these materials on site.
Waste risk reduction guidelines include:
- Have all flammable waste materials (such as packaging and lumber) cleared away regularly to reduce the risk of fire
- Make clearing waste a priority for all workers, and be sure that everyone is on the same page
- Include enough space for waste bins and containers in accessible locations, and set a schedule for collection
- Provide carts or chutes for safe removal of waste from the building safely
Our construction insurance professionals stand ready to advise you on keeping your workplace safe.
Environmentally-friendly construction, also known as “green” construction, is increasing rapidly in the United States. Concerns about global climate change, U.S. dependence on foreign sources of energy, and rising energy costs are inspiring individuals and businesses to construct buildings with a reduced carbon footprint. This trend has important implications for settlement of insurance claims when green buildings suffer damage.
A green building is one that has met the requirements for Leadership in Energy and Environmental Design (LEED) certification. The U.S. Green Building Council developed LEED in 1998 as a way to help building owners identify and use practical and measurable designs, construction, operations and maintenance practices that are environmentally-friendly. Green buildings are, compared to standard buildings, more energy and water efficient, produce less carbon dioxide, and have a healthier indoor environment.
Some states and municipalities have begun to adopt building codes that require elements of green construction. California has imposed tougher water efficiency standards on new residential construction; New York City is considering more stringent energy-use standards for large buildings. The impact of these requirements on construction costs will vary by location. Green construction might require specialized materials and methods; in the near term, contractors with expertise in these methods may be relatively scarce.
Therefore, in some places the cost of complying with green building codes could be higher than building with standard materials and methods, and that will impact insurance coverage.
The factors that will influence the claim include:
- Whether the green building code applies to new construction only or also to major renovations.
- What the code defines as a “major renovation.” Some codes might consider renovations affecting more than a specified percentage of the building’s area as a major renovation.
- How will use of green building materials affect the building’s appearance? The property owner might lose enthusiasm for a repair if a change in appearance will lower the building’s market value.
- How will the new materials interact with the existing building components? Will integrating the new materials increase rebuilding time and cost?
- Are qualified contractors available in the area?
- Will wait times for green contractors and materials result in costly project delays?
- How does the building code apply in the event of a large natural catastrophe, such as an earthquake or hurricane? Must property owners meet the higher standards at a time when hundreds of properties have suffered damage.
- After a catastrophe, will there be long wait times for contractors to haul away debris because of overwhelmed landfills and recycling centers? Will there be long wait times for building inspectors to visit and approve all of the effected properties?
Standard personal and commercial property insurance policies provide very limited amounts of coverage for ordinance or law” losses — extra costs incurred to meet local building requirements. Additional coverage is available; property owners in areas with green building codes should speak with our insurance agents about options and costs.
Research and publishing company McGraw-Hill Construction has predicted that the market for non-residential building retrofitting with green construction will grow to $15 billion by 2014. Property owners and insurance companies will have to address these questions much more often in the near future; the time to answer them is before the losses occur.