D&O Insurance for Nonprofits – What You Should Know
You may not think directors and officers’ insurance, commonly called D&O coverage, is a priority. Some organizations cite the cost of these policies as prohibitive. However, should a party file a lawsuit against your board of directors, you, or another individual leader, the premiums for D&O insurance could seem small in comparison to legal costs. Purchasing D&O coverage is about protecting your goals as a nonprofit.
D&O Insurance for Nonprofits, Explained
Many nonprofit staff and board members carry homeowners’ policies and believe the coverage can be used to protect them should a claim arise. However, traditional homeowners’ policies will not pay for lawsuits alleging “wrongful acts.” A broadly written directors and officers liability policy will.
Learn about the value of D&O policies from the VIS source “What To Look for in a Directors and Officers Liability Policy.” This guide is one of almost 100 valuable risk management resources available 24/7 exclusively to VIS members in the “VIS Vault.” Membership is only $25 annually. Join now.
About VIS
Volunteers Insurance Service Association, Inc. (VIS) was established in 1972 for the purpose of providing insurance and risk management services for volunteer-based organizations. In addition to still providing these insurance services today on a nationwide scale, we have expanded to provide noninsurance resources for members to manage their risks and improve their operations. By transferring the volunteer risk exposure to our program, we can help you protect your organization. Contact us today at (800) 222-8920 or volunteers@visvolunteers.com for more information on our programs and services. Join now!
