Volunteering as a director or officer in a non-profit organization means actively contributing to a cause you care about. But did you know that this role personally commits you? Even without remuneration, you can be held responsible for decisions and actions made within the board.
For instance, if your organization fails to pay its employees or doesn’t comply with certain legal obligations, you could be personally sued. These often-overlooked risks concern all types of non-profits — clubs, leagues, charities, associations, and more.
A professional liability insurance for directors and officers protects your personal assets against costs related to a lawsuit or dispute. It covers legal fees and indemnities you might have to pay following a harmful act attributed to you or another board member.
The experts at J. Gérard Fortin & Associés assist you in choosing protection suited to your commitment, so you can contribute confidently to your organization.
Selecting appropriate professional liability insurance for a non-profit organization requires understanding the essential risks and coverage. This insurance aims to protect directors and officers against financial consequences of errors or omissions in their duties.
Typically, this insurance excludes certain risks like pollution, nuclear incidents, or intentional fraudulent acts. It also doesn’t replace general liability insurance.
Specialized brokers at J. Gérard Fortin & Associés are available to advise and develop a policy that meets your organization’s specific needs, providing all necessary documents to present the solution to your board.
Personal Liability Related to Board Decisions
Protects against claims arising from errors or omissions in managing the organization.
Management of Legal and Payroll Obligations
Covers risks associated with non-payment of salaries or social charges.
Acts Committed by Employees or Volunteers Under Supervision
Directors’ liability can be engaged for actions taken on behalf of the organization.
Human Resources-Related Disputes
Protection against lawsuits for discrimination, harassment, or wrongful dismissal.
Yes, most policies include retroactive coverage for acts performed during the term, even after its end.
Some policies cover defense costs during official investigations or inspections, but this depends on the guarantees subscribed.
Yes, it’s common to subscribe to a policy covering all directors and officers of an organization, simplifying management.