Charity Insurance FAQs
Nowadays, charities and not-for-profits face similar threats but different business processes. This can make it tricky to understand what types of cover are suitable. Below we answer some of your most frequently asked questions about charities insurance.
If you have any more questions about insurance for charities that we have not covered, get in touch. We have a team of chartered insurance brokers who are only a call away if you need advice. We aim to make the process as easy for your charity as possible. So, whether you have a specific question or would like a quote, we can help.
What is charity insurance?
Charity insurance is a broad term that refers to a specialist policy for not-for-profit organisations, charities, or local community groups. There is a range of different types of charities insurance covers available. These consist of trustee indemnity insurance, professional indemnity insurance and many others. You might need employers liability insurance too along with certain levels of public liability insurance should you be holding events but it’s best to seek advice from an insurance broker.
Need assistance with finding a comprehensive charities insurance cover? Get in touch with an Alan & Thomas advisor.
Do charities need public liability insurance?
Yes, most charities or not-for-profit organisations will need public liability insurance. This is because these types of organisation tend to have public interactions. Charity public liability insurance will provide cover for costs that relate to allegations and claims made against you, your employees or volunteers and incedents arising on your premises. These are claims of negligence made following property damage or third-party injuries.
Are UK registered charities required to have public liability insurance?
UK registered charities don't need to have public liability insurance. However, charity public liability insurance is an important policy that should be considered. Without it, your not-for-profit organisation or charity could face unexpected and expensive costs. This will only reduce the capital you have to put towards the crucial services your charity offers.
Do charities need insurance?
There are only certain covers where it is a legal requirement for charities to have charity insurance. Like any other business, charities and not-for-profits all face risks. Charity trustees have a legal duty to keep assets and resources protected. Taking out an insurance cover will help protect charities from loss, damage, or any liability stemming from these risks.
There are several different covers you can include in your charity insurance policy. These are not only available to for-profit businesses but are also applicable to not-for-profits. For example, charities providing advice to other organisations or individuals will need professional indemnity insurance. This type of cover will prevent financial loss from claims being made due to incorrect or negligent advice. Likewise, counselling insurance falls under this banner of insurance and you’ll need to consider getting cover if this is a service your charity provides.
To be sure your not-for-profit organisation, local community group, or charity is protected, speak to Alan & Thomas. We can review the risks and needs of your charity and offer suitable solutions. Speak to a chartered insurance broker today on 01202 754 900.
Do I need public liability insurance for a charity event?
Yes, you will need charity public liability insurance if you are holding an event. Although it is not required for the event to take place, it is a cover worth taking out. Unforeseen events can occur that leave your charity or organisation at risk. To minimise the financial impact these events could cause, make sure you have charity public liability insurance.
Other suitable covers for charity events include events insurance and employer’ liability insurance. You can find out more about this by reading our quick guide to insurance for charity events.
Why public liability insurance is important at charity events
Public liability insurance is important at charity events as both property damage or public injury can occur. For example, you could have held a fundraiser at a building that ended up damaged by those who attended. With public liability insurance, the insurer could be liable to pay for the cost of repairs.
How to insure your charity
The best way to insure your charity is to go to a chartered insurance broker.
We are chartered insurance brokers that always put you first. Whether it’s suggesting appropriate covers, negotiating your premiums or settling your claim, we are there to help. With an A-rated insurer backing and wide portfolio, we can find you exclusive prices.
What is charity trustee indemnity insurance?
Charity trustee indemnity insurance is a policy for anyone in a charity with a position of trust or leadership. This offers protection against any liabilities that these key figures could have. These include defamation, misuse of trust funds, and breach of trust to name a few.
Charity trustee indemnity insurance keeps you personally protected within your not-for-profit organisation against the unexpected. It’s an important policy to include in your charity insurance cover. For advice or help finding the right charity trustee indemnity insurance, contact us.
What insurance does a charity shop require?
If you own or run a charity shop, you will need a range of different insurance policies. These vary from public liability insurance to employers' liability insurance, and more. If you have employees working for your charity or organisation, an employers’ liability cover is a legal requirement. This is something all businesses need, even if employees are not paid or volunteers.
If you are unsure of the types of insurance your charity shop requires, get in touch with us. We will help you find charities insurance covers that are competitively priced and exclusive to you. Contact one of our chartered insurance brokers today by calling 01202 754 900 or emailing info@alan-thomas.co.uk.