Running a nonprofit is a labor of love that comes with real risk. From organizing events and managing donations to coordinating volunteers, nonprofits face many of the same liabilities as traditional businesses but often with fewer resources. That’s where nonprofit liability insurance from Gild Insurance makes a difference. The right coverage protects your mission, team, and operations from unexpected legal and financial challenges. Gild makes it easy to find and secure insurance tailored to your organization, so you can stay focused on making an impact.
What Is Nonprofit Liability Insurance?
Nonprofit liability insurance is designed to shield organizations from the financial fallout of accidents, injuries, or lawsuits that occur during day-to-day operations. It typically includes coverage for:
- General liability – Covers bodily injuries or property damage caused by your nonprofit’s activities, events, or premises.
- Directors and officers (D&O) liability – Protects board members and executives from personal liability related to management decisions.
- Professional liability – Offers protection if your nonprofit provides counseling, advice, or other services that could lead to claims of negligence.
- Employment practices liability (EPLI) – Covers claims of wrongful termination, harassment, or discrimination.
If your nonprofit relies on volunteers, hosts public events, or operates in a rented space, these coverages are essential for minimizing exposure and keeping your mission moving forward.
Why You Need Nonprofit Liability Insurance
Even with the best intentions, accidents happen. A slip and fall at a fundraiser, a claim of mismanagement, or a misunderstanding with a client could turn into a costly legal situation. Without insurance, your organization may be forced to divert funds away from programming or, worse, shut down entirely.
Here’s how nonprofit liability insurance supports your team:
- Protects your volunteers: Liability insurance can extend coverage to volunteers, reducing their personal risk while they’re serving your cause.
- Safeguards your leadership: Board members and officers can be held personally responsible for decisions they make. D&O coverage helps attract and retain qualified leaders by giving them peace of mind.
- Enables growth and compliance: Many grant providers and property owners require proof of insurance before funding your work or signing a lease. The right coverage helps open doors while keeping your nonprofit compliant.
How Much Does Nonprofit Liability Insurance Cost?
The cost of nonprofit liability insurance depends on factors like the size of your organization, the types of services you offer, the number of employees and volunteers, and your annual revenue. This is dependent on the type of business and coverage options, but, generally between $500 – $1000, annually. Questions such as pricing and more can be found on our FAQ page.
How Gild Insurance Supports Nonprofits
At Gild Insurance, we understand the unique needs of nonprofits. Our digital platform makes it easy to find, compare, and customize coverage that fits your organization’s size, structure, and mission. And when property damage strikes, from a fire in your office to a storm-damaged community center, Gild’s Claims Concierge is here to help. This service streamlines the property claims process and helps you get back to serving your mission faster.
Final Thoughts
Your nonprofit works hard to make a difference. Don’t let unexpected risks stand in the way. With the right nonprofit liability insurance, you can protect your people, your mission, and your future.
Let Gild Insurance help you find the coverage you need. Whether you’re just starting out or scaling up, our team is here to support you every step of the way.