Everyday we take risks! There is no need to run around
scared all our lives but there is
a need for being and acting smart to try to
reduce your chances of being caught in an unpleasant situation. We all need to understand that in running any business, regardless if it is a
for profit or not for profit, we have risk involved. When you think of security, you might first think of theft, bodily injury, or
other violent crimes. However, you also need to be objective and view risks to
both you and your organization.
Do you have a plan or is your organization covered in case of fire, storm damage etc.?
Below are a few questions you might want to answer when
thinking about your organization's security needs and risks:
Does your organization need a security alarm?
Is your building location and parking lot well lit?
What type of insurance coverage do you have and is it
enough?
What does insurance not cover?
How are monies handled in your organization?
What are your computer related risks?
As a general rule
nonprofit boards of directors should seriously consider purchasing
"Director and Officers Insurance" to protect the board of directors
from liability in case the nonprofit is sued. See:
Nonprofit Insurance
You may also want to look into bonding the
executive director or the persons handling any money, i.e., purchase a
"Dishonesty Bond".
Further, it is important to have additional
"Event Insurance" to cover your fundraising events in case
someone slips and falls and permanently injures themselves.
Contact
your local insurance agent for their expert advice on the
coverage you might want to check out the Nonprofits' Insurance
Alliance of California (NIAC).
ANI is the affiliated company of NIAC that
provides insurance for nonprofits outside of California. ANI is
also a tax exempt 501(c)(3) nonprofit, and is capitalized by
grants provided by the Bill & Melinda Gates and David and Lucile
Packard Foundations. ANI
was licensed by the Vermont Insurance Department in December
2000. ANI is currently writing coverage for 501(c)(3) nonprofits
in Arkansas, Colorado, Connecticut, Delaware, District of
Columbia, Georgia, Hawaii, Idaho, Illinois, Iowa, Kansas,
Maryland, Michigan, Minnesota, Missouri, Nebraska, Nevada, North
Carolina, Ohio, Oregon, Pennsylvania, Utah, Vermont, Virginia
and Washington. ANI and NIAC are part of the Nonprofits
Insurance Alliance Group, which is rated A VIII (Excellent) by
A.M. Best Company.
To find out more go to:
www.insurancefornonprofits.org
Insurance Information Institute is a non-profit,
educational and communications organization sponsored by the auto, home and
business insurance industry. http://www.iii.org/
Consumer World has gathered over 1,500 of the most
useful consumer resources on the Internet, and categorized them here for easy
access. Loads of useful consumer information. http://www.consumerworld.org/
DISCLAIMER: This information is not intended
to provide legal or accounting advice,
or to address specific situations. Please consult with your
legal or tax advisor to supplement and verify what you learn
here.
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