There are many different types of insurance available for charities, so it’s important to make sure your organisation has the right levels of cover in place to protect against any potential risks that could result from your charity’s day-to-day activities.
Each charity is unique and finding the right cover can be complicated if you're not sure what risks you need to be protected against. Perhaps it’s an injured volunteer, a trustee is accused of negligence or your property is damaged by a storm or flood - just like a business, charities need to protect themselves against the unexpected.
As a specialist charity insurance broker, we understand that charitable organisations have got a lot on their plate, so we aim to make finding the right charity insurance an easy process - here are our top tips on what to look out for at your next insurance renewal.
With the greater reliance on online activities over the last 18 months, many organisations will have found themselves quickly getting to grips with new systems and technologies. It’s important to remember that if you’re storing any client data, from name and address to medical information and credit card details, it’s vital to have safeguards in place.
A cyber attack could not only interrupt your charitable activities and impact your income, but also have a negative effect on your organisation’s reputation. Cyber liability insurance will cover loss of income, legal protection and compensation claims following a cyber attack as well as social engineering or phishing attacks.
Business interruption insurance
Business interruption insurance will usually be included as part of a robust charity insurance package (depending on your requirements). It’s designed to cover loss of revenue and consequential costs following an incident that interrupts or interferes with your normal operations, such as a fire, flood or storm. This is an important area of cover that can often be miscalculated and could have a detrimental impact on your ability to continue operating when such disasters strike so it’s well worth looking out for. Physical damage to your property will be covered, but there are key exclusions to be aware of, most notably communicable diseases i.e. pandemics.
Charity event insurance
Fundraising is vital for not-for-profits to thrive, and thankfully public events are up and running again to provide that vital stream of income. But whether you're holding a raffle, sports match, bake sale, street carnival or fireworks night, it’s important to make sure you’re protected against the risks associated with holding public events.
Charity event insurance will cover cancellation and curtailment, as well as public liability to protect against third party claims for injury or illness.
Public liability insurance
Sadly, it’s not uncommon for people to injure themselves or cause damage to third-party property – especially if you’re running a large event with lots of volunteers and customers wandering around. Public liability insurance isn’t a legal requirement for charity events, however it’s definitely somethig to think about to protect your organisation from potentially costly third party compensation claims.
Employers' liability insurance
People are at the heart of all charity work, and any organisation that has at least one employee must have a minimum of £5 million employers’ liability insurance by law – you could be fined up to £2,500 for every day you’re not properly insured.
Top tip - volunteers can be a bit of a grey area when it comes to your charity insurance, as they can fall under either your public or employers liability insurance cover. Before renewing your insurance, it may be worth conducting an up to date risk assessment for the activities your volunteers will be undertaking, as this helps give an accurate picture of the type of insurance you might need.
The right insurance partner
To get the best value from their insurance, charities need to work with a broker that truly understands the way charitable organisations operate, their activities, and the risks they face.
As a specialist charity insurance broker with 30 years’ experience and over 3,000 third sector customers, we know charities and not-for-profit organisations have a lot on their plate. We aim to make finding the right protection an easy process, with wide-ranging charity insurance policies at affordable prices.
Our friendly team of account managers have a wealth of experience providing bespoke solutions for charities and not-for-profits of all types and sizes, so to find out how we can support your organisation, give us a call on 0333 234 1358.