Club D&O Program

What is Not-For-Profit D&O Liability Coverage?

D&O is written to:

  • Protect the personal assets of an organizations directors & officers & organization's mission;
  • Protect the organizations assets;
  • Provide reimbursement to the organization to indemnify D&O's for their losses; and
  • Help the organization monitor & provide defense costs associated with responding to lawsuits & negotiations

Why Not-For-Profit Organizations Should Consider Buying D&O Liability Coverage?

  • Cost of defending lawsuits may exceed the net worth on many non-profit organizations;
  • Judgements can be financially crippling and can come from vendors, donors, competitors, & governmental regulators;
  • Organization's indemnification may not be available;
  • Business decisions made by board members can quickly impact the finances & operations of the organization;
  • Unique conflicts of interest may exist due to complexity of responsibilities;
  • Organizations will have a difficult time attracting qualified individuals to their boards without D&O coverage.

What Are the Sources of D&O Claims?

  • Donors
  • Competitors
  • Employees
  • Governmental Regulations
  • Failure of a Fiduciary Duty
  • Misuse of Donor-Restricted Funds
  • Improper Conduct of Volunteers or Employees
  • Failure to Fulfill Mission
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