Are you Covered for Volunteer Work?

So you’ve retired and spend some of your spare time volunteering for a non-profit organization in the community. Or you’re still working but “give back” some of your time and expertise to a worthy organization. If so, you are one of an estimated 90 million Americans who perform some sort of volunteer service each year, according to the Non-Profit Risk Management Center. However, these numbers have been declining as people are becoming more fearful of the litigious atmosphere at large in our society.

Your Homeowner policy provides you with “personal liability” protection which may or may not cover you for a claim arising out of your volunteer activities depending on the nature of the claim. If you cause injury to a person or damage to their property while acting as a volunteer for a “non-profit” organization, your homeowner carrier will, in most cases, defend you for that claim against you. Coverage for claims involving libel, slander, or defamation of character will only be covered if you have purchased optional “personal injury” coverage on your policy. However, if you’re a board member who is targeted for wrongful practice or breach of fiduciary duty, or if you are a service provider accused of negligence in caring for a client, you cannot rely upon your own “personal liability” coverage to protect you.

It’s always best to ask your organization if it has insurance coverage that would protect you. If the group has no coverage, encourage its leaders to get some protection for its volunteers by adding coverage to their liability and worker’s compensation policies. If you are a board member, a “Directors & Officers Liability” policy would be safe practice.

Be aware – your auto policy excludes “private livery” so if you are using your vehicle for the benefit of a non-profit, particularly if you are transporting persons as a volunteer, make sure you do not receive any fees for your service as a company may try to deny a claim in the event of an accident while you are transporting others for a fee.

E&L can answer your questions about volunteer liability coverage. Call us at 800 945-1840.