Insuring your charity
Charities and non-profit organisations play an important part in the lives of many people – volunteers, employees, fundraisers and those they support. But what happens if something goes wrong? Just like businesses, charities need to insure against the unexpected. Hiscox business insurance for charities brings together public liability, employers’ liability, trustee liability and even cyber and data cover. These types of insurance provide you with comprehensive protection against claims made by volunteer workers, donors or members of the public.
Why you need business insurance for charities
An injured customer
A customer falls from a step at a charity shop, breaking their ankle. It means they’re unable to work for several weeks and they make a claim against the charity for not ensuring their safety. Public liability cover as part of the charity’s insurance with Hiscox means we’ll cover the costs of defending against the legal claim and any settlement if you have been negligent.
Unhappy clients
As the trustee of a small charity, your focus is on doing good. Even so, you could face claims of negligence if a fundraiser is injured at a sponsored football match and they say the field wasn’t prepared to a high enough standard. When you rely on volunteers for everyday work, it is important to protect trustees’ interests and the good name of your organisation. With trustee liability insurance in place, the legal costs and eventual settlements are covered.
Illness in the office
What happens if a charity employee or volunteer becomes ill with respiratory problems and it’s discovered that your cleaning products aren’t being stored correctly? The mishap may not be your fault, but the individual could still take sick leave and make a negligence claim against your charity. The cost of defending cases like this and any settlements are covered through employers’ liability insurance.
If you’re not sure what you need, tell us a little more about your charity or not-for-profit organisation. We’ll help you to build your quote and explore any other insurance needs.
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Key types of insurance for charities
Employers' liability insurance
Employers' liability insurance for charities ensures you’re covered if an employee is injured or becomes ill because of something that happens to them at work. It’s not just for full-time members for staff, a casual worker or even someone just helping out at a busy time could still take legal action. Employers' liability covers helps you with defending or settling a legal claim and it’s part of the cover provided by Hiscox insurance for charities.
Trustee liability insurance
Trustee liability insurance, also known as indemnity insurance, offers financial protection against any claims for compensation made against trustees of charities. In key charity posts, there’s a heightened level of responsibility and public accountability. Trustee liability cover offers protection if a volunteer, service recipient or member of the public claims a trustee has acted wrongfully. This type of insurance is often vital for charities.
Public liability insurance
Public liability insurance is important for a charity. It ensures you’re covered if a member of the public claims they were injured, or their property was damaged, as a result of work undertaken by your organisation. Perhaps a voluntary employee causes an accident at a fundraiser event, or your charity shop’s neighbour suspects you have caused damage to their property. Choose public liability cover as part of your charity insurance and Hiscox will deal with any compensation claims on your behalf.
Why you need insurance for volunteers
Voluntary teams keep the charitable sector afloat – and most of the time, they help you to do good with no problems. Employing volunteers comes with similar risks to hiring paid staff, however – which is where Hiscox business insurance for volunteers comes in.
Compensation at a charity car wash
A charity car wash should be all about raising much-needed funds, but a volunteer is blamed for scratching a car’s paintwork with a cloth they dropped on the ground. The owner makes a claim for compensation that comes to a substantial figure. Public liability insurance for volunteers covers the charity in defending such a claim and the final settlement for costs.
An injury at a fundraiser
Fundraising events can be great fun, but they carry risks too. Imagine the canopy of a marquee falls on a volunteer worker and causes an injury. You’re a volunteer down – and if they need to take time off from their full-time position, that could mean lost earnings. Employers’ liability insurance is important for any organisation that works with volunteers, since it helps with the cost of compensation claims and any settlements if needed.
A volunteer emails private client data
Even when you’re armed with the best of intentions, mistakes happen. If a keen volunteer attaches confidential details to a group email by accident, you might face a claim. Cyber and data risk insurance protects you from the legal costs of the investigation and any civil penalties. It also covers data breaches or hacking where personal or confidential business information is targeted. As part of business insurance for volunteers it covers the costs of a ransom payment, data recovery, loss of business and more.
These are just some of the types of business insurance for charities that we can offer. We can provide other specific types of cover and build them into a policy that’s tailored to the exact needs of your business.
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