Charity insurance is a packaged insurance plan that protects the charity, its officers, and the businesses it operates against lawsuits. Read this guide to know the inclusions, the cost of premiums, and the best companies.
Charities and their businesses need professional liability, public liability, and general liability insurance against lawsuits from third parties. Directors' and officers' liability insurance is also important to protect the executives. Commercial property insurance is for the office, while workers' compensation insurance is for full-time and part-time employees. All of these policies are offered by charity insurance packages.
CoverWallet | NEXT (Best) | Thimble | Hiscox | |
---|---|---|---|---|
Per occurrence limit | $1,000,000 | $1,000,000 | $1,000,000/$2,000,000 | $1,000,000 |
Aggregate limit | $2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 | $2,000,000 |
Products and completed operations aggregate limit | $2,000,000 | $1,000,000 | $1,000,000 | $1,000,000 |
Advertising injury coverage aggregate limit | $1,000,000 | $1,000,000 | $1,000,000 | $1,000,000 |
Tenant’s legal liability coverage limit | $100,000 | $100,000 | $5,000 | $300,000 |
Waiver of subrogation included? | Yes | No | Included | Can be included |
Hired/non-owned auto liability coverage included? | Yes | No | Excluded | Can be included |
Equipment breakdown floater included? | No | Yes | Yes | Yes |
Can you get a certificate of insurance online? | Yes | Yes | Yes | Yes |
Name additional insureds? | Yes | Yes | Yes | Yes |
Deductible | $0 | $0 | $0 | $0 |
Use the table above to see which insurance company offers the best general liability policy in their charity organization and charity shop insurance bundles.
Your charity must have a $1 million-$2 million general liability insurance to cover accidents that happen in its headquarters or at the commercial space of its business.
This insurance takes effect if clients file a claim for bodily injury or property damage. In practice, general liability insurance can help in these situations:
An independent window cleaner falls from a height while cleaning the window of your charity’s high rise office building
A sponsor slips and falls while visiting your charity’s office
The sprinkler of your charity suddenly got defective and soaked the phone of a passerby
Each time a claim for accidents is filed, a general liability policy is the charity business insurance that will allow you to cover the following expenses without worrying about the resulting financial losses:
Emergency room fees, doctor’s fees, medication, and other expenses for medical treatment
Reimbursement or refund for the damaged property
Settlements
Attorney fees, investigation fees, and other legal expenses
Court judgments
Bodily injuries and property damage claims aren’t the exposures. This is why carriers automatically include the following coverages in their general liability insurance for small charities and nonprofit groups:
Tenant’s legal liability coverage
Products and completed operations coverage
Hired/non-owned auto liability coverage
Small charity insurance might offer a public liability policy, which works the same way as a general liability policy. That said, you can use this insurance to cover claims for bodily injuries or property damage.
In practice, public liability insurance for charity organisations is offered if the insurance company doesn’t underwrite general liability insurance and vice versa. Insurance companies in the USA rarely sell charity public liability insurance. In contrast, this is commonly sold by UK insurance companies.
CoverWallet | NEXT | Thimble (Best) | Hiscox | |
---|---|---|---|---|
Per occurrence limit | $1,000,000 | $1,000,000 | $1,000,000/$2,000,000 | $1,000,000 |
Aggregate limit | $2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 | $1,000,000 |
Name additional insureds? | Yes | Yes | Yes | Yes |
Waiver of subrogation included? | Yes | No | Yes | Can be included |
License defense coverage included | No | No | No | No |
Deductible | $500 | $500 | $500 | $50/$10,000 |
Use the table above to see which insurance company offers the best professional indemnity insurance for charities.
Professional indemnity insurance will cover settlements, legal fees, and court judgments if third parties hold your charity responsible for:
Negligence
Violation of good faith
Misrepresentation
Breach of contract
Purchasing professional indemnity insurance is smart if your charity and its business are involved with the following activities:
Mental healthcare
Elderly care
Youth sports training, coaching, and development
Remodeling houses for people with disabilities
Professional liability insurance for charities and community groups is available as stand-alone coverage or as an add-on to general liability insurance. Moreover, you also get the option of having it as a claims-made or occurrence insurance policy.
Insurance companies will offer directors and officers liability coverage if you’re looking for charity trustee insurance.
Directors and officers' liability insurance do the following:
Cover the legal expenses on behalf of your charity’s directors and officers if a lawsuit is filed against them
Cover the financial losses of directors and officers if the claimant wins the lawsuit
Cover your charity if it’s also held liable for the misconduct of directors and officers
Your charity can usually use directors' and officers' liability insurance to cover claims for misappropriation of funds and misrepresentation.
Directors' and officers' liability insurance is very important when running a charity because lawsuits against executives can be very costly.
Your charity will find it easier to inform the public of its advocacies, get donations, and hire volunteers with a website. Consider making one right now. And when your website is up and running, don’t forget to buy cyber liability insurance for charities.
Someone might breach your charity’s website and gain access to the sensitive information users provided-credit cards, phone numbers, addresses, emails, and more. Once cybercriminals do something with the information they’ve stolen, users might incur losses. Of course, they’ll file a claim against your charity to get some reimbursement.
The function of cyber liability insurance is very straightforward-to cover your charity’s defense costs and settlements to aggrieved parties affected by the data breach. Also, it will reimburse what you spent on PR to prevent the situation from getting out of hand.
Get all the best quotes from leading providers in a click of a button!
CoverWallet | NEXT (Best) | Thimble | Hiscox | |
---|---|---|---|---|
Building coverage limit (minimum) | $50,000 | $180,000 | $25,000/$500,000 | $25,000 |
Contents coverage limit (minimum) | $50,000 | $25,000 | $25,000/$500,000 | $25,000 |
Outdoor signs | Excluded | $2,500 | Excluded | Excluded |
Accounts receivable | Excluded | Excluded | $5,000/$10,000 | Included |
Money and securities | Excluded | $2,500 | $1,000 | Included |
Lock and keys | Excluded | $2,500 | Excluded | Excluded |
Business interruption floater | Excluded | Included | Included | Included |
Equipment breakdown floater | Excluded | Included | Excluded | Excluded |
Inland marine insurance floater | Excluded | Excluded | $10,000 | Excluded |
Employee dishonesty floater | Excluded | $5,000 | $2,500 | Included |
A lot of your charity’s financial resources will be spent on owning and maintaining its headquarters. Your charity will lose a lot if something happens to its office and there’s no insurance ready and waiting.
Tailored plans for charity insurance cover the office if you add a commercial property policy. Commercial property insurance will cover reconstruction or repair expenses if your charity’s office is destroyed or damaged by:
Fire
Theft
Vandalism
Civil commotion
Riot
Weather
Volcanic action
Lightning
Sinkhole collapse
Impact
Falling objects
Aircraft
Vehicle
It’s already a given that, if there’s an office, then inside it are valuable objects such as computers, documents, water dispensers, television, printers, photocopiers, and telephones.
Commercial property insurance for charities comes with contents coverage. Contents coverage will reimburse the estimated value of valuables inside your charity’s office if the exposures in the list above happen.
In addition, consider checking your quote for commercial property insurance as these coverages might be automatically included:
Outdoor signs coverage
Equipment breakdown coverage
Accounts receivable coverage
Utility services interruption coverage
CoverWallet | Thimble | NEXT | Hiscox (Best) | |
---|---|---|---|---|
General liability aggregate limit | $2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 | $1,000,000/$2,000,000 |
Commercial property coverage limit | $50,000 | $25,000/$500,000 | $180,000 | $25,000 |
Optional policies can be added? | Yes | Yes | Yes | Yes |
Name additional insureds for free? | Yes | Yes | Yes | Yes |
BOP discount? | Yes | Yes | Yes | Yes |
Use the table above to see which insurance company offers the best business owner’s policy for charities.
Insurance companies might allow your charity to avail a business owner’s policy.
A business owner’s policy bundles general liability and commercial property insurance.
Premiums for a business owner’s policy are 10% cheaper than when you bought general liability and commercial property separately.
Some insurance companies allow you to modify your business owner’s policy by adding optional professional liability, business interruption, equipment breakdown, and D&O insurance policies.
For charity vehicle insurance, what you’ll need to purchase is a commercial auto policy. This is either available as a stand-alone policy or as an add-on to your charity insurance package. Commercial auto insurance will:
Cover accidents that your charity’s vehicle caused while it’s being used for events, fetching clients, and business trips
Pay for the repair or replacement of parts if your charity’s vehicle is damaged by fire, theft, vandalism, and other covered perils
Shoulder the medical treatment of the driver and passengers if an uninsured/underinsured vehicle crashes your charity’s vehicle
Note that authorities will require you to get the minimum level of charity car insurance. Failure to do so will result in jail time and hefty fines.
By the way, some insurance companies sell temporary charity van insurance. This is a short-term commercial auto insurance that lasts for hours, days, weeks, or months. The coverage of this policy applies to vehicles your charity owns, leases, or borrows.
Your charity needs workers' compensation insurance if it employs one or more full-time and part-time employees. On the flip side, there’s no need to get this coverage if executives and other offices solely manage your charity.
Workers' compensation insurance will take care of the following expenses if the employees of your charity sustain a work-related injury or disease:
Medical treatment
Hospitalization
Medication
Rehabilitation
Lost wages
Funeral expenses and allowance to dependents in case of death
A $500,000-$1 million employer’s liability coverage can be optionally added to workers' compensation insurance. You can use this to cover legal expenses if employees, who sustained a work-related injury or disease, file a negligence claim.
Limit | |
---|---|
General liability insurance | $1,000,000 per occurrence$2,000,000 aggregate |
Cancellation coverage | $50,000 |
Accidental medical expenses coverage | $10,000-$25,000 |
Liquor liability insurance | $1,000,000 per occurrence$2,000,000 aggregate |
Your charity might host fundraisers, community contests, and other events. Your existing charity insurance won’t cover events. And so, you’ll need a separate event insurance coverage.
Event insurance is a short-term coverage for any activities hosted by your charity. Here’s a quick summary of its functions:
Cover the medical treatment of participants that sustain injuries or property damage during your charity’s event
Take care of reimbursements, repairs, or replacements if the equipment your charity rented for the event got lost or damaged
Reimburse non-refundable expenses if your charity’s event gets canceled
Cost per Month | Cost per Year | Deductible | |
---|---|---|---|
General liability insurance | $38 | $456 | $0-$500 |
Professional liability insurance | $50 | $600 | $500-$1,000 |
Commercial property insurance | $40 | $480 | $1,000-$2,500 |
Business owner’s policy | $70 | $840 | $500-$1,000 |
Workers compensation insurance | $80 | $960 | $2,000-$5,000 |
Cyber liability insurance | $79 | $948 | $500-$1,000 |
Directors and officers liability insurance | $100 | $1,200 | $1,000 |
Commercial auto insurance | $55 | $660 | $1,000 |
The average charity insurance cost is $38 per month or $456 per year for a $1 million general liability policy. Factors that affect the cost of premiums are business history, claims history, number of employees, annual revenue, and location. Here’s another table showing how much the recommended carriers charge for a $1 million general liability insurance for charities.
Cost per Month | Cost per Year | Best for | |
---|---|---|---|
NEXT | $25 | $300 | Best overall; Fastest general liability insurance for charities |
CoverWallet | $27 | $324 | Charity insurance quotes comparison online |
Tivly | $29 | $348 | Comparing charity insurance quotes over the phone |
Thimble | $31 | $372 | Short-term charity insurance |
Hiscox | $34 | $408 | Comprehensive charity coverage |
Unity | $36 | $432 | On-demand charity events insurance |
Zurich | $44 | $528 | Large charity organizations |
Get all the best quotes from leading providers in a click of a button!
If you’re looking to get your charity insured, then you’re going to need to take the time to consider which insurance company would work best for you. Instead of leaving the matter up to you, we’ve gone ahead and reviewed the best charity insurance companies. Read to know their pros, cons, and rate for a $1 million general liability coverage.
Pros
Best overall
Issues an online proof of insurance instantly
Fastest general liability insurance for charities
Great customer service and reputation
Excellent rates
Outstanding value for money
Get a 10% discount if you bundle management consultant insurance policies
Couldn’t find any
NEXT doesn’t have a charity insurance program. However, you can get covered through its insurance for civil and social organizations. You might be referred to Tivly to get a quote and purchase the coverage.
Best for: Best overall; Fastest general liability insurance for charities
Average cost: $25 per month
Our rating: 10/10
Compare charity insurance and charity events insurance quotes online
Purchase an insurance policy online
Stable rates
Doesn’t underwrite its own charity insurance
CoverWallet covers charities as well as the events sponsored by charities. Charities working with this company pay for their premiums online, get free certificates of insurance, can cancel a policy anytime, and can file a claim anywhere.
So what insurance plans does CoverWallet have for your charity? CoverWallet isn’t a pushy carrier. In fact, you can decide to get general liability insurance only. If you think that general liability insurance isn’t enough, then the company offers general liability with directors and officers liability insurance. If you want three insurance policies for comprehensive protection, CoverWallet has general liability insurance with directors and officers liability insurance and commercial property insurance. Say, if you’re not afraid to spend money on a multitude of policies, then this company can cover your charity with a custom plan.
Best for: Charity insurance quotes comparison online
Average cost: $27 per month
Our rating: 10/10
Call and compare quotes over the phone
Responsive customer service
A partner of reputable insurance companies
You need to call to get a quote
Tivly can take you to its partners who underwrite coverage for charities. An agent will take you through the specifics of your coverage. And so, you’ll need to call Tivly to compare quotes over the phone and get covered.
Best for: Comparing charity insurance quotes over the phone
Average cost: $29 per month
Our rating: 10/10
Get insured for only hours, days, weeks, or months
No deductible on its general liability insurance for non-profits
Cancel a policy anytime at no additional cost
Doesn’t have an online quotes comparison platform
Thimble doesn’t have tailored charity insurance. However, it offers general liability coverage to different non-profit organizations such as charities, clubs, volunteer organizations, and so on. Thimble’s general liability insurance can be endorsed with other insurance products sold such as directors and officers liability, commercial property insurance, commercial auto insurance, and business owner’s policy.
Best for: Short-term charity insurance
Average cost: $31 per month
Our rating: 9/10
Affordable
Excellent service
Offers trustee coverage
Slow to give quotes
Hiscox, originally started in the early 1900s, is one of the largest insurance companies in the world. Since then, Hiscox has become one of the world’s number-one providers of numerous insurance products.
Hiscox offers coverage for charities under the Business Insurance for Charities program. This program includes trustee liability insurance, charity shop insurance, property insurance, and personal accident insurance. The company offers flexible payment options and has been rated one of the best insurers when it comes to service.
Best for: Comprehensive charity coverage
Average cost: $34 per month
Our rating: 8/10
Quick to give quotes
Accurate and very transparent insurance premiums
Has some issues in claims processing
Zurich offers a range of specialized insurance policies for charities, including public liability insurance, employers’ liability insurance, and trustees insurance. The company is known for its relatively painless online quote process, allowing you to get an estimate far quicker than its competitors.
Best for: Large charity organizations
Average cost: $44 per month
Our rating: 7/10
Versatile insurance options for charities
Offers one-time event insurance for charity fundraisers
Brokerage not an insurance carrier
Unity is not technically an insurance carrier, but they are a brokerage that specializes in working with community groups and charities. They have worked with The Scouts, exclusive clubs, and charities, and their insurance policies specialize in rendering these community groups the kind of coverage that they need.
Being an insurance brokerage, Unity is able to offer their customers a much wider range of policies than a carrier could on its own. Their insurance policies for charities include building and contents coverage, employers’ liability, trustee indemnity, public liability, and even commercial auto cover.
Best for: On-demand charity events insurance
Average cost: $36 per month
Our rating: 6/10
This place is an absolute joke of a company and should be ashamed of the way they conduct business. I was hurt on the job at the end of July and it took them just shy of 7 weeks to issue out a paycheck to me. Yes the amount was back dated but still. Not many have the luxury of not receiving a paycheck for almost 2 months. To top it all off, the original adjuster marked me down for the wrong state which caused a problem from the get go, I've had 3 different adjusters now since each one can't seem to figure out the simplicity of my claim. All my paperwork which includes, my job, house, and drs visits all are from the same state and city but yet some how I have been filed under a completely different state 1500 miles away. They do not answer your phone calls or emails no matter how many you leave. I've had to escalate my frustrations to the supervisors of each of these individuals in order to even get some kind of response. I've had more communication and information given to me about my claim from the customer service representatives then the actual adjusters.......... please tell me how that works?! A serious overhaul needs to happen here in order to serve your clients the way they deserve to be taken care of. 10/10 do not recommend this company to a single soul on earth
I have never had the displeasure of working with a more incompetent and disrespectful person in my life. I’m an injured worker and the adjuster that was assigned to my case was named Carrie Furgeson. In the past 6 weeks that I’ve been injured and out of work I have only been able to get ahold of her twice, not for lack of trying. I have left countless voicemails, countless emails, and she ignores them all. When I am finally able to get ahold of her I’m greeted with terrible customer service. She is rude, she talks over me and I’m hardly able to get a word in edgewise. She spelled my name wrong on my documents even after I spelled it for her properly countless times, this caused a whole new issue with my bank. I have bill collectors from the hospital calling me demanding payment and Carrie Furgeson won’t do a single thing to help, or to get them paid. All of my documentation is in Colorado, my job is in Colorado, my address is in Colorado, all my Dr offices and appointments have been in Colorado and Carrie still managed to hold my claim because she wasn’t sure what state she needed to file it under. It’s been 6 weeks since my Injury and my company still hasn’t received the wage paperwork to fill out so they can get me my correct wages. When she’s not ignoring me she’s answering my questions with “I don’t know” well I don’t know how she got this job, because apparently she doesn’t know anything about it. She is a disgusting morose individual inside and out and I genuinely wish her the worst in all of her future endeavors. I highly recommend you don’t use this company. Please if you are a business owner and your looking into this company please don’t use them. I’m sure they have the cheapest payment and that’s why companies use them in the first place, but you will be doing your employees a grave disservice by forcing them to venture into this absolute dumpster fire of a company. I would rate 0/5 if possible but 1 was the lowest I was allowed.
Their general liability insurance purchase process is simply the best online experience I've ever had in my life!
As long as they cover your line of business, you're literally covered! best rates, best coverage, best online experience, best professionals, can't be happier that I chose them!
It really can't get any better than this... wow