Importance of Non-Profit Directors & Officers Liability
Importance of Non-Profit Directors & Officers Liability
The best intentions won’t pay runaway legal fees.
Why you and your organization need protection
Non-profit organizations of all sizes remain under a threat of litigation. Individuals serving as directors or officers can be held personally liable for their actions and inactions and those of the people they oversee.
The responsibilities of directors and officers of non-profit organizations are similar to those of for-profit companies. Both have fiduciary responsibilities, as well as a duty of care and a duty of loyalty. And, just like for-profit companies, a director or officer’s right to indemnification from a non-profit organization is only as good as the economic strength of the organization itself.
Without the proper coverage, it can be difficult to indemnify members and cover costs of expensive legal fees or damage awards if faced with a lawsuit. This coverage highlight sheet covers:
- Why you and your organization need protection
- Coverage highlights
- Claim scenarios
Why you and your organization need protection
Non-profit organizations of all sizes remain under a threat of litigation. Individuals serving as directors or officers can be held personally liable for their actions and inactions and those of the people they oversee.
The responsibilities of directors and officers of non-profit organizations are similar to those of for-profit companies. Both have fiduciary responsibilities, as well as a duty of care and a duty of loyalty. And, just like for-profit companies, a director or officer’s right to indemnification from a non-profit organization is only as good as the economic strength of the organization itself.
Without the proper coverage, it can be difficult to indemnify members and cover costs of expensive legal fees or damage awards if faced with a lawsuit. This coverage highlight sheet covers:
- Why you and your organization need protection
- Coverage highlights
- Claim scenarios
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We’re here to answer any questions you have about Directors & Officers liability coverage or any other risk management question you may have.