Are you a board member for a non-profit organization? It’s important to understand the risks associated with running a nonprofit as well as the ways in which you can protect yourself and your organization. In this article, we’ll discuss Non Profit Directors and Officers Insurance, its importance, and how it can help keep both you and your non-profit safe.

What is Non-Profits Insurance?

As a board member of a non-profit organization, it is important to be aware of the different types of insurance that are available to protect your organization. Non-profits insurance can help protect your organization from financial losses due to claims of professional liability, negligence, or other risks.

There are many different types of non-profits insurance, and the best way to find the right policy for your organization is to work with an experienced insurance broker. A broker can help you understand the coverage options available and find a policy that meets your organization's needs.

Why Do Non-Profits Need Directors and Officers Insurance?

As a board member of a non-profit organization, you want to do everything you can to protect the organization and its members. One way to do this is to make sure the organization has adequate directors and officers insurance.

Directors and officers insurance protects the individuals who serve on the board of a non-profit organization from personal financial liability in the event that they are sued for wrongful acts committed in their capacity as directors or officers. This type of insurance can help cover the costs of defending against a lawsuit, as well as any damages that may be awarded if the suit is successful.

Non-profits often have limited resources, so it is important to make sure that these resources are used wisely. Having adequate directors and officers insurance can help protect the non-profit from potentially devastating financial losses that could result from a lawsuit.

Who Are the Insured Under D&O Policies?

D&O insurance policies are typically purchased by the organization (i.e., the insured) to protect its directors and officers from personal financial losses in the event that they are sued for wrongful decisions or actions while in their corporate roles. The organization's D&O policy will also often extend coverage to employees who may be sued in connection with their work for the organization.

What Does D&O Insurance Cover?

As a board member of a non-profit organization, you may be wondering if you need to purchase directors and officers (D&O) insurance. This type of insurance protects individuals from being held liable for wrongful acts that they may have committed while performing their duties as a board member.

D&O insurance can help protect you from a variety of claims, including:

  • Breach of fiduciary duty
  • Misuse of company funds
  • Discrimination or harassment
  • Wrongful termination

This type of insurance can also help cover the costs of defending yourself against these claims, even if they are ultimately found to be unsubstantiated. If your non-profit does not have D&O insurance in place, you could be left personally responsible for the legal fees associated with defending yourself against these types of claims.

How Do I Get Started with D&O for Non Profit Organizations?

As a board member, you likely wear many hats and have a lot on your plate. However, one of the most important things you can do for your non-profit is to make sure it is properly insured. One type of insurance every non-profit should consider is directors and officers (D&O) insurance. D&O insurance protects the organization and its leaders from risks arising from their decisions and actions as they carry out their duties.

There are a few things to keep in mind when considering D&O insurance for your non-profit:

  1. Make sure you are properly covered. D&O insurance policies vary widely, so it is important to make sure you are getting the coverage that best meets the needs of your organization.
  2. Consider an "entity" policy. In addition to protecting individuals, an "entity" policy can also protect the organization itself from certain risks.
  3. Shop around. Once you know what kind of coverage you need, get quotes from different insurers to find the best rate.
  4. Review your policy regularly. As your organization grows and changes, make sure your D&O policy still provides adequate protection.

Getting started with D&O insurance for your non-profit is not difficult, but it is important to take the time to understand your options and select the right policy for your organization. By taking these steps, you can help protect your non-profit from potential legal liabilities and financial losses


Non-profit organizations can be a great way to make an impact on people's lives and the world at large. As a board member, you have the responsibility of helping these organizations achieve their goals by providing your expertise, experience and knowledge. With that in mind, it is important for all board members to understand what their roles and responsibilities are so that they can ensure the success of their organization. Remember, as a board member your primary role is to provide guidance and support while also staying informed about current trends in non-profits operations.