I work with a broad scope of nonprofit organizations across the country and find that some folks still don’t fully understand the role of their insurance broker in their nonprofit insurance program.
Ideally, your insurance broker acts as a professional consultant to your nonprofit. He or she works with the organization to understand the risks it faces and then helps to determine the best insurance program to protect against those risks.
The process is made exponentially more straightforward if you work with a nonprofit specialist. A specialist can act as the go-to insurance and risk management person on your management team
So, let’s talk about how to get the most from your relationship with your insurance broker:
- Ask questions and request information:
- See if your broker can provide case studies and white papers on the precise insurance topics that concern you.
- Request a time to review specific questions about your coverage and need and ask for recommendations.
- Ask about the best way to make changes and get documents so that you know who and where to turn to when you need something.
- Communicate what is going on with your nonprofit to your broker, such as:
- Changes to your operations
- Address changes
- New property or equipment changes
- Changes to key staff members
- Upcoming special events
- Don’t assume any risk without consulting your broker first:
- Are you signing a contract? Then send it to your broker and ask that he or she review the insurance and indemnity clauses to make sure your coverage is in compliance or can be in compliance. Make sure you make this inquiry BEFORE you sign any contracts. All too often our clients enter into contracts which have specific insurance or indemnity clauses that require things for which there is no insurance.
- Are you hiring Independent Contractors? Review with your broker if these contractors meet the legal definition. Then review how the coverage works for Independent Contractors on your various policies.
Pro Tip: If you are trying to compare quotes or policies, ask the following questions:
- Is the broker offering the quote or policy a nonprofit insurance specialist?
- Is the quote or policy provided by an insurance company that has products designed specifically for nonprofits?
- What are the nuances between the quotes or policies you are comparing? Are the deductibles the same? Are the coverage limits the same? Are the same coverages being offered?
- What are the claims philosophy and claims handling culture of the insurance companies you are comparing?
- Is there a fee charged on top of the premium charge?
Viewing your broker as a partner with your organization will enable you to create the most comprehensive insurance program available for your organization. Not only that, it will allow you to focus more on your mission, knowing that you can rely on a specialist .to take care of the insurance details. Remember that your broker is there to help you, not necessarily sell you something.
If you would like to know more about how SteelBridge can partner with your organization, contact us for a no-obligation, no-pressure review.