What is General Liability Insurance?

General Liability Insurance is a fundamental coverage that protects nonprofits against claims of bodily injury, property damage, and personal injury. It acts as a financial shield, covering legal defense costs, settlements, and judgments.

Importance of General Liability Insurance

Having General Liability Insurance is indispensable for nonprofits. It ensures that the organization can focus on its mission without the constant worry of potential lawsuits disrupting operations and draining financial resources.

Who Needs General Liability Insurance?

Every nonprofit organization, regardless of its size or mission, should consider having General Liability Insurance. It is particularly essential for nonprofits that operate in physical locations, host events, or engage with the public in various capacities.

General Liability Insurance for Nonprofits

In the compassionate world of nonprofits, where the mission is paramount, General Liability Insurance stands as a guardian, protecting organizations from a spectrum of potential risks and liabilities. This insurance is a cornerstone, ensuring that nonprofits operate smoothly amidst various uncertainties. Let’s unfold the essential aspects of General Liability Insurance for nonprofit organizations.

Possible Claims Examples

  • Bodily Injury: A visitor slips and falls while attending an event hosted by the nonprofit, resulting in injury.

  • Property Damage: During a community outreach program, a volunteer accidentally damages a participant’s property.

  • Personal Injury: A nonprofit is sued for slander or defamation resulting from its publications or presentations.

  • Advertising Injury: A marketing material or advertisement from the nonprofit inadvertently infringes on someone’s copyright.

Cost of General Liability Insurance

The cost of General Liability Insurance for nonprofits varies based on factors such as the organization’s size, location, and the nature of its activities. On average, nonprofits can expect to pay between $400 to $1,000 annually for a policy with a million-dollar coverage limit.

Conclusion

General Liability Insurance is a foundational element in a nonprofit’s risk management strategy, providing a robust defense against various liabilities and ensuring that the organization’s mission thrives amidst uncertainties.