A non profit is any organization classified by the internal revenue as a 501 (c)
Nonprofits come in all forms from those formed for the public benefit, charities, and organizations formed for social and educational purposes. The risks for each nonprofit is unique but there are some risks shared by all. Understanding your non profit insurance takes an insurance agency that is familiar with working with non profits. At Huff Insurance, a Trusted Choice Independent Insurance Agency, we have several insurance companies that specializing in writing non-profits and their policies are written specifically for your needs.
Common nonprofits consist of churches, adult shelters, ethnic clubs, plays, charity groups, food banks, soup kitchens and thrift stores. Fraternal organizations such as American Legions, Veterans of Foreign War, Elks, and Lions organizations are all non-profits. Trade organizations such as chambers of commerce or business associations are considered non profit. As a nonprofit you need to consider coverage for your property insurance, general liability insurance, workers compensation insurance as well as directors and officers liability, employment related practices liability insurance and liquor liability insurance coverage. Fundraising is usually a huge concern for non profits so you also need coverage for your special events which may include fairs, dances or family fun day events. What ever your needs Huff Insurance is here to help.
Who would sue a nonprofit? Generally lawsuits come from members, donors, 3rd parties, employees and government entities. A local Maryland non profit was recently sued for operating outside of their charter. Another entity is being sued because it is alleged that they attempted to influence legislation which jeopardized their non profit status with the IRS.
A simple trip and fall incident on the premises could cost you hundreds of thousand of dollars. Recently a lady was in a hurry to leave a Pasadena, MD fraternal organization and went out a back door marked emergency exit. She slipped on the curb and fractured her ankle in multiple places. She later sued stating that there was no lighting outside of the door which is what caused her to trip and fall. Lawsuit was settled for $150,000. Thankfully, the organization had insurance that covered this loss.
Call Huff Insurance today at 410-647-1111 to get your MD non profit organization covered!