The Importance of Non-Profit Insurance in Ontario
If you run a business in Ontario you know the importance of obtaining business insurance. Without insurance you would be vulnerable to all kinds of risks like lawsuits and damage claims. However, "not for profit" organizations face many of the same risk factors as local businesses and they need to have the right kind of insurance.
Lets use Henry and Ellen as a fictional example. Henry and Ellen were very fond of helping out those less fortunate. In fact, they started a small organization and began by providing meals to the homeless and eventually included many other important services.
Over time, many volunteers joined their cause and they felt like their non profit group was making a difference in the community. As the organization grew, it was necessary to add an office and staff to take care of all the legal and paper work, and they added several employees on their payroll. Even though it was a non profit organization, it had to be run like a legitimate business and this meant purchasing non profit insurance.
Ellen was in charge of procuring insurance and she used a reputable insurance brokerage for all her needs. She trusted these people because they never let her down over the years. Her broker helped her get the right kind of insurance as their organization began to grow. When the broker told her she needed something, she did not hesitate to include it in her non profit organization insurance.
A Closer Look at Non-Profit Insurance
Not for profit insurance is designed to cover all the business risk factors that nonprofit organizations face today. It can cover a wide range of coverage options depending on the nature of the services provided. For instance, some organizations may use only volunteers while others may need full-time employees.
Who Needs Nonprofit Insurance?
Any organization that does not make a profit may qualify. However this does not mean a normal "for profit" company operating in the red can qualify. Here are some of the organizations which need special insurance:
- Homeless groups
- Parent Teacher Associations
- Chamber of Commerce
- Art centers
- Community sponsored clinics
- Historical socities
- Community outreach services
- Drug counseling centers
- Woman shelters
Standard Non-Profit Organization Insurance
A standard policy with basic coverage may include:
- Commercial property insurance
- General liability - covers accidents and injuries on your premises
- Umbrella liability insurance policy - this is very important protection because it can cover a wide range of legal liability issues like slander or libel. In addition, your umbrella policy may cover expenses in excess of your general liability insurance limits.
Non-Profit Insurance Options
- All risk property insurance - sometimes called "all peril" insurance. It is more comprehensive than named peril coverage which can be very limited.
- Crime insurance - many nonprofit organizations are in high crime areas, and should be protected.
- Volunteer protection
- Auto insurance - maybe you provide free transportation or require special vehicles. They need commercial auto insurance coverage.
- Professional liability - can also include errors and omission coverage (E&O)
- Loss of business income - you need income for operating expenses and loss of income insurance can help you stay in business while your building is being repaired.
- D&O - directors and officers liability which can include misconduct like embezzlement
- Abuse insurance
- Employment practice insurance (EPL)
- Product liability - for organizations that sell things like baked goods. If someone were to become ill, they could sue you and this will pay for damages as well as legal costs.
Finding the Right Nonprofit Insurance in Ontario
When you need knowledgeable insurance professionals, come to Stewart Morrison Insurance. We understand the unique needs and challenges you face each day with nonprofit concerns. We offer insurance programs tailored to your specific needs.
As an insurance brokerage, we do not work for one insurance company. Stewart Morrison Insurance does business with some of the top Canadian insurance companies and we will access our markets to cater to your coverage needs. Our people have many years of insurance experience and we can guide you through the process of insuring your organization or club. We are also there with quick response claims assistance.
To receive a free quote on our non-profit organization insurance, fill out the quote form and we'll contact you. You are also welcome to call our toll free number at 705-324-6681 for more info.