The short answer
Nonprofit insurance is a set of protections for charities, associations, clubs and faith communities. It usually combines liability for harm to participants and the public, cover for property and equipment, protection for directors and officers, and arrangements for events and volunteers. A licensed broker experienced with nonprofits builds the package from what the organization does and who takes part.
- Registered charities and not-for-profit corporations
- Condo, community and professional associations with an elected board
- Churches, temples and other faith communities
- Sports clubs, youth groups and arts organizations that rely on volunteers
- Boards and treasurers taking over responsibility for existing policies
3 licensed brokers in the network handle this. In Alberta, Canada, a request for nonprofit insurance can be offered to up to three of them, chosen because they are licensed for this line and place. They are test brokers while we are in demo.
See the brokers → Outside Alberta, Canada you can prepare and save a request today; sending opens place by place. Brokers answer with their own quotes. Broker.insure does not quote, advise or take commission.
01 / What it covers
The parts worth understanding
General liability
Responds to claims that the organization caused injury or property damage to others, including participants, guests and neighbours.
Directors and officers
Protects board members and officers against claims about their decisions as leaders, and pays for defence. It is separate from general liability and often overlooked.
Volunteer and participant protection
Questions about whether volunteers are treated as insureds, whether accident benefits are available for them, and how injuries to participants are handled.
Property and equipment
Buildings the group owns, and furniture, instruments, sports gear and kitchen equipment inside. Leased or borrowed space needs its own thought.
Abuse and misconduct
Cover and procedures for allegations involving vulnerable people. Many forms limit or exclude this, so ask what is offered and what screening is expected.
Crime and fraud
Loss of the organization's money or property through theft or fraud by insiders, or by outsiders using false instructions. Relevant to treasurers and signing officers.
02 / Get ready
Bring this, and expect these questions
Gather
- Legal name, registration status and a plain description of the programs and services
- Number of staff, volunteers, members and participants, and how they take part
- Sources of revenue, including fundraising events and government funding
- Facilities owned or used, with leases or rental agreements
- Events planned in the next year: type, size, location and whether alcohol is served
- Screening, training and supervision practices for volunteers who work with children or vulnerable adults
- Governance documents, board list and any conflict-of-interest policy
- Contracts or grants that name specific insurance requirements
- Existing policies and any claims or incidents in recent years
A broker will ask
- What programs do you run and who benefits from them?
- Do you work with children, seniors or other vulnerable groups, and how are volunteers screened?
- Do you own or lease a building, and who is responsible for it?
- How many events do you hold, how large are they, and is alcohol served?
- Do you transport people or use volunteers' vehicles?
- How is money handled, and how many people have access to bank accounts?
- Do your board members carry any cover through other roles, and have they asked about protection?
- Do funders, landlords or municipalities require particular wording or additional insureds?
Not sure of an answer? Leave it. "Not known yet" is a fine answer, and a broker will help you fill it in.
03 / Build your request
Answer a few questions. Get your own list.
Pick what fits. Your answers shape the list beside them, and they are saved to your request as plain facts a broker can read. "Not sure yet" is always a fine answer.
04 / Three situations
See which one sounds like yours
A volunteer-run youth soccer club
The club has a dozen volunteer coaches, an annual tournament and an agreement with the city for field use. Parents ask what happens if a player is hurt, and the city requires a certificate before the season.
First steps. Send the broker the city agreement and a list of activities, including tournament size and travel. Ask how coaches are treated as insureds, what participant accident options are available, and how screening records are reviewed.
A community association with a new board
After an annual meeting, five new directors have taken seats. Nobody can find the old policies and one member is threatening to challenge a decision about spending a reserve fund.
First steps. Ask the outgoing treasurer or the previous broker for policy documents and a claims history. Then ask the broker about directors and officers cover, how past decisions are treated, and what steps the board should record when making major decisions.
A small church renting its hall
The congregation rents the hall to outside groups for weddings and classes. A recent event involved alcohol and a guest slipped on the stairs. The board is unsure whether renters or the church would be responsible.
First steps. Tell the broker how often the hall is rented, to whom, and whether renters sign an agreement. Ask what the policy expects of renters, such as their own certificate of insurance, and how liquor at events is treated.
05 / Words you will hear
The jargon, in plain words
- Directors and officers cover
- Protects board members and officers when they are accused of a wrongful decision or a failure in their duties. It can matter even for unpaid volunteer boards.
- Volunteer accident cover
- Benefits for volunteers hurt while helping, since they usually are not covered by workers compensation. Terms vary on who counts as a volunteer.
- Crime cover
- Pays for money or property lost to theft or fraud, including by someone inside the group. Insurers often want to see financial controls first.
- Special event cover
- Short-term protection for a single fundraiser, tournament or festival. It can be added when the main policy does not extend to a larger event.
- Named insured
- The organization or people the policy is written for. If a chapter, committee or affiliated group is missing from the wording, its claims may not be accepted.
06 / Common mistakes
What trips people up
- Assuming volunteers are automatically covered the way employees might be.
- Overlooking directors and officers cover until a board member is named in a complaint.
- Letting a landlord, funder or city requirement go unmet, which can cost a program or venue.
- Describing activities loosely so that a trip, fundraiser or camp is not on the policy.
- Relying on one person to hold the money with no controls, and no crime cover to match.
- Treating the policy as something the previous treasurer handled, and never reading it.
Ready when you are
Turn this into one clear request.
Save it, add what you know, and choose when to send it. A licensed broker who handles nonprofit insurance takes it from there.
07 / Questions people ask
Straight answers
Do nonprofits need insurance?
In practice, almost always. Being a charity or volunteer-run does not prevent claims, and venues, funders, municipalities and landlords usually require proof of liability cover. Boards also carry personal responsibility for decisions. The kinds and limits that suit you depend on your activities, so a broker who understands nonprofits is a good place to begin.
What is directors and officers insurance for a nonprofit?
It protects board members and officers if someone alleges they made a wrongful decision as leaders, for example in hiring, spending or governance, and it generally covers legal defence costs. It differs from general liability, which handles injury and property damage. Ask how the policy treats volunteers, employment claims and prior acts.
Are volunteers covered by nonprofit insurance?
It depends on the policy. Some treat volunteers as insured persons for their work for the organization, some limit that, and injury to volunteers may be handled differently from liability to others. Ask your broker specifically how volunteers are treated, and whether injuries they suffer are addressed in the program.
How does event insurance work for a nonprofit?
Some events fit under the organization's general liability, but larger events, alcohol service, inflatables, fireworks, travel or rented venues may need added terms or a separate event policy. Give your broker the date, place, number of guests and activities well ahead of time so the right wording and any venue certificate can be arranged.
Does a nonprofit need insurance for its board members?
The board is responsible for oversight, so protecting directors and officers is a common concern. Whether it is needed depends on the size of the organization, its funding and what contracts require. A broker can explain what directors and officers cover offers and what it leaves out for your type of organization.
Specialists
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General information, not insurance advice. Broker.insure is a directory and request service: it is not an insurer and does not quote, bind or advise. Policy terms, availability and what is required where you live depend on your situation and on licensed professionals. Updated 2026-10-31.