Few Places to Turn – Community nonprofits collide with insurance availability.

by Russ Banham, LeadersEdge

Nonprofits across the country are receiving nonrenewal notices or policy renewal offers with sharply reduced coverage and double-digit premium increases. Some advocates don’t believe traditional insurance markets understand or appreciate the risks of nonprofits that provide community services. The culprit in the current nonprofit insurance crisis is unsubstantiated insurer concern over high-frequency, high-severity child sexual abuse lawsuits.

“The bottom line is whether many classes of nonprofits confront an existential dilemma because of their insurability. The nonprofit leaders interviewed in this article certainly faced this fate. Do others?”

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