Start with how the operation works
Nonprofit insurance should protect the mission while addressing governance decisions, people, property, services, donations, events, vehicles, cyber risk, and the duties of directors and officers. For workers' compensation, workers’ compensation planning should reflect actual duties, payroll, locations, supervision, and workplace controls.
Operating details to document
- Mission, programs, locations, revenue, payroll, and volunteers
- Board roster, governance practices, grants, contracts, and financials
- Property, vehicles, events, cyber controls, and loss history
Coverage details to review
- Employee classifications and payroll estimates
- Medical and lost-wage benefits for covered injuries
- Employer liability limits
- Multi-state work, subcontractor, and return-to-work considerations
Understand the Factors That Can Affect Cost
A useful review goes beyond selecting a policy name. It connects current information to eligibility, policy structure, and the consequences of a significant loss.
- Separate controllable operating factors from market conditions
- Test how limits, deductibles, and valuations affect the program
- Document risk controls that distinguish the account
Board decisions, governance disputes, and fiduciary allegations
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Employee, volunteer, participant, donor, and public-facing liability
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Property, cyber, crime, fundraising, event, and program interruption
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Employee classifications and payroll estimates
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Medical and lost-wage benefits for covered injuries
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Employer liability limits
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Multi-state work, subcontractor, and return-to-work considerations
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Information to have ready
- Mission, programs, locations, revenue, payroll, and volunteers
- Board roster, governance practices, grants, contracts, and financials
- Property, vehicles, events, cyber controls, and loss history
- Payroll by employee duty and location
- Employee counts, shifts, and seasonal changes
- Subcontractor certificates and payment records
- Loss runs and workplace safety procedures
Questions for the coverage review
Could a governance decision lead to a claim against leadership?
Document the answer and compare it with the application, quote, endorsements, limits, deductibles, and contractual requirements.
Are employees, volunteers, participants, and events fully described?
Document the answer and compare it with the application, quote, endorsements, limits, deductibles, and contractual requirements.
Which program, property, system, or funding source is critical to the mission?
Document the answer and compare it with the application, quote, endorsements, limits, deductibles, and contractual requirements.
Are employees classified by what they actually do?
Document the answer and compare it with the application, quote, endorsements, limits, deductibles, and contractual requirements.
Do employees travel or work in more than one state?
Document the answer and compare it with the application, quote, endorsements, limits, deductibles, and contractual requirements.
Frequently asked questions
Who should use this nonprofit organizations workers' compensation guide?
Business owners and insurance buyers can use it to prepare for a focused review of cost and eligibility. It is educational guidance, not a quote or a substitute for policy terms.
What information should a nonprofit organizations account gather first?
Start with mission, programs, locations, revenue, payroll, and volunteers, board roster, governance practices, grants, contracts, and financials, property, vehicles, events, cyber controls, and loss history, plus currently valued loss information when available.
Coverage descriptions are general. Eligibility, availability, limits, deductibles, exclusions, and policy terms vary by risk and market. Review actual policy documents with an appropriate insurance professional.