Nonprofit directors & officers liability insurance
Protect your nonprofit from some of the risks of litigation.
What is nonprofit directors & officers liability insurance?
Nonprofit directors & officers (D&O) liability insurance could protect your organization from covered claims for legal defense costs, settlements, and judgments incurred by your organization because of the actions of its officers. Lawsuits – frivolous or not – can be incredibly costly and often jeopardize members’ personal assets. Nonprofit directors & officers insurance could help ensure that these potentially high costs don’t keep your organization from doing the good works it was created for.
Why your nonprofit needs directors & officers liability insurance
Your organization’s directors, officers, and other staff mean well. But even the best intentions can wind up in a lawsuit. And a lawsuit can be catastrophic for your organization, its principals, and the people it serves.
Nonprofit directors & officers liability insurance can help defend against these risks. It helps cover legal defense costs, settlements, and judgments for covered claims against your organization and its officers. In fact, this coverage helps nonprofits to recruit VIPs to their cause since they know their assets are protected in case of a lawsuit.
What nonprofit directors & officers liability insurance typically covers
- Legal defense costs, settlements, and judgments for covered claims against your nonprofit due to acts, errors or omissions, misstatements or misleading statements, neglect or breach of duty by the organization, or by individual insureds
- Protection of assets belonging to the nonprofit’s directors, trustees, officers, employees, committee members, and volunteers because of covered claims
- Discrimination against a third-party (someone who is not an employee or applicant for employment)
- Wrongful employment practice, including discrimination, harassment, employment termination and retaliation
Policyholders also have access to Designed HR, a human resources loss prevention website and employment advice helpline, at no additional charge
Additional coverages to consider for your nonprofit
Business Owners Policy helps protect your nonprofit from various covered claims, including bodily injury, property damage, and injuries done to others that may occur as a result of your nonprofit’s operations.
Workers’ compensation protects your organization against work-related injuries or illness (requirements vary by state).
Commercial auto is for the cars, trucks, vans, and other vehicles your nonprofit uses during its activities. If you have multiple vehicles, talk to a local agent about available options.
Talk to a local State Farm agent
This is only a general description of coverages of the available types of business insurance and is not a statement of contract. Details of coverage, limits, or services may not be available for all business and vary in some states. All coverages are subject to the terms, provisions, exclusions, and conditions in the policy itself and in any endorsements. Contact a State Farm agent for more information and a customized quote.
State Farm (including State Farm Mutual Automobile Insurance Company and its subsidiaries and affiliates) is not responsible for, and does not endorse or approve, either implicitly or explicitly, the content of any third party sites hyperlinked from this page. State Farm has no discretion to alter, update, or control the content on the hyperlinked, third party site. Access to third party sites is at the user's own risk, is being provided for informational purposes only and is not a solicitation to buy or sell any of the products which may be referenced on such third party sites.
Life Insurance and annuities are issued by State Farm Life Insurance Company. (Not Licensed in MA, NY, and WI) State Farm Life and Accident Assurance Company (Licensed in New York and Wisconsin) Home Office, Bloomington, Illinois.
- State Farm Mutual Automobile Insurance Company
- State Farm Indemnity Company
- Bloomington, IL
- State Farm County Mutual Insurance Company of Texas
- Richardson, TX
- State Farm Fire and Casualty Company
- State Farm General Insurance Company
- Bloomington, IL
- State Farm Fire and Casualty Company
- Tallahassee, FL
- State Farm Lloyds
- Richardson, TX
- State Farm Life Insurance Company (Not licensed in MA, NY or WI)
- State Farm Life and Accident Assurance Company (Licensed in NY and WI)
- Bloomington, IL