Despite popular belief, non-profit organizations need insurance just as much, if not more, than for-profit organizations. Non-profits are in dire need of directors and officers liability insurance. Everyone involved in non-profits are vulnerable against claims of mismanagement, as there are less regulations and restrictions surrounding the business operations of non-profits.
Directors and officers liability insurance is a vital insurance policy that protects insured parties from claims of wrongful acts. Many non-profit organizations are involved in lawsuits where someone is claiming that the organization performed some wrongful act, financial mismanagement, mistake or error in judgment, or an act of negligence. A directors and officers liability insurance policy would provide the organization with legal defense and indemnification coverage. Claims of wrongful doings by a non-profit may include the following:
- Conflict of interest
- Violation of provisions or statue
- Fraudulent work or statements
- Breach of contract
- Wasteful use of assets
- Inaccurate administration actions
- False statements
- Hiding misleading information
- Failing to attend meetings
- Failing to appropriately examine reports
- Failure to read a contract before authorizing
- Failure to file the annual report
As a non-profit organization, you may be inclined to think that you do not need this vital insurance policy. In reality, without this important insurance policy, you leave your organization and those counting on you vulnerable to harm. We want your non-profit to succeed, so allow us to safeguard your non-profit to the fullest with D&O liability insurance.
Contact Purves & Associates Insurance Services in Davis for all of your California D&O liability insurance needs. We are experienced in protecting California businesses to the fullest. Allow us to provide you with the protection you deserve.