Fraternal Organization Insurance. Are you the head member of a Knights of Columbus, an American Legion, a VFW, a Moose Club, or any other type of Fraternal Order? If so, there's no doubt that you want to do your best to ensure that the members of your club are enjoying as many benefits as possible.
While it may be hard to think about something bad happening, there is a chance that something could go awry at a meeting or on the property of your Fraternal Order and someone could file a lawsuit against you.
Fraternal orders are comprised of groups of people with related interests or goals who form an organization to pursue those interests or goals. Fraternal orders may be formed for the pursuit of pleasure, to perform a public service, to educate the public and provide funding for medical or scientific research, or to inform and advance a particular charity, philosophy, religion, trade, political, or social issue.
Some have snack bars or full-service restaurants that may be open to the public. Alcoholic beverages may be served at social events. Fraternal orders may be funded solely by membership dues or financed with fundraisers and donations.
In order to protect yourself, your organization, and anyone who is involved with your group, it's extremely important that you invest in the right type of Fraternal Organization insurance coverage.
Fraternal Organization insurance protects your order from lawsuits with rates as low as $37/mo. Get a fast quote and your certificate of insurance now.
Fraternal Orders can face any number of mishaps. Someone could slip and fall at a meeting, a member of your group could file a lawsuit against you claiming that you misrepresented the club, a member of your group could embezzle funds; these are just some of the issues that may arise.
Given the fact that we live in a very litigious society, having the proper insurance coverage in place is absolutely essential for a Fraternal Order. Insurance coverage will protect you from the risks that are associated with your club; for example, if a member trips and falls over a wire that wasn't highlighted, sustains an injury, and files a lawsuit against your organization, you could be held liable for the damages, including medical care and any compensation that a court might deem you responsible to pay.
Without Fraternal Organization insurance, a situation like this could put your organization in serious financial peril; however, if you have the right coverage, your insurance provider will help to cover the costs that are associated with this type of situation - and any other number of risks.
There are several types of Fraternal Organization insurance policies that Orders should have in place to properly protect their organizations. Some of the most basic forms of insurance coverage that are highly recommended include:
These are just some of the forms of Fraternal Organization insurance coverage that should be considered. The specific type of coverage will vary from organization to organization and depends on a variety of factors; the size of the club and the nature of the activities that occur at the organization, for example.
Premises liability exposure is moderate due to the number of people visiting the premises. Visitors can be injured from slip and falls. Floor coverings must be in good condition, with no frayed or worn spots on carpet and no cracks or holes in flooring. Steps and uneven floor surfaces should be prominently marked. Sufficient exits must be provided and be well marked, with backup lighting systems in case of power failure.
Parking lots and sidewalks need to be in good repair with snow and ice removed, and generally level and free of exposure to slips and falls. Fund-raising activities must be evaluated to determine whether a special events policy is needed. If there are outside contractors, certificates of insurance should be obtained and maintained.
Personal injury exposures include alleged assault and battery, discrimination, and invasion of privacy.
Directors and officers exposure is moderate. Policies and procedures should be published and consistently followed, especially as they relate to membership, membership revocation, the election of officers, and removal of officers.
Liquor liability exposure arises from liquor sold as a part of the order's regular operations. Servers must be trained to recognize the effects of excessive alcohol consumption, to verify the age of those ordering alcoholic beverages, and to refuse service to underage members or guests. Court interpretations have been inconsistent on the application of the liquor exclusion on clubs. Any group that regularly sells liquor as a part of their normal activities should consider purchasing the coverage to avoid costly litigation following a loss.
Workers compensation exposure may be limited to office workers who may develop repetitive motion injuries such as carpal tunnel syndrome. Workstations should be ergonomically designed. Restaurant workers can experience cuts, burns, puncture wounds, slips, falls, and back sprains from lifting.
Cleaning workers can develop respiratory ailments or contact dermatitis from working with chemicals. Any contract with outside firms must specify who is responsible for providing workers compensation coverage to the workers. If the subcontracting firm is responsible, the fraternal order should obtain certificates of insurance to verify that coverage.
Property exposure is moderate as operations generally include cooking facilities. Ignition sources include electrical wiring, heating air conditioning systems, and cooking equipment. Electrical wiring must be up to code for its current use. If there is cooking from restaurant operations, controls such as automatic shut-off devices and temperature controls need to be in place. Grease filters should be cleaned and maintained regularly.
Activist fraternal orders on socioeconomic or political issues may antagonize others not supportive of their viewpoint and may become targets for acts of intimidation that include vandalism, arson, and firebombing. Additional security may be needed.
Crime exposure comes from employee dishonesty and theft of money and securities. Employee dishonesty coverage should be expanded to include faithful performance and to include volunteers as employees. Fraternal orders are unlikely to perform background checks on members handling money. Precautions against dishonesty include having a separation of duties between persons handling money and reconciling bank statements.
Two members should verify cash collections as fund-raising events may result in a large buildup of cash. Money should be regularly collected and moved away from the collection area, preferably to a safe. Regular deposits should be made.
Inland marine exposure includes accounts receivable from dues and fundraising events, computers, and valuable papers and records for donor lists and member records. All records must be duplicated and stored at an off-site location for easy restoration in the event of a loss. A special floater may be needed for property used in parades or special events.
Business auto exposure is generally limited to hired and non-owned for members running errands on behalf of the order. Some groups may provide transportation services for members. If there are owned vehicles, all drivers must have licenses appropriate for the vehicles driven and acceptable MVRs. There should be established criteria for those who are allowed to drive any owned vehicles and how the vehicles may be used. All vehicles must be maintained with records kept in a central location.
To find out exactly what type of Fraternal Organization insurance your Order should carry, and how much coverage will protect your organization, speak to a reputable insurance broker. Investing in the right insurance coverage is one of the smartest things you can do for your group.
Perhaps you have the next great idea for a product or service that you know will appeal to your local area. Maybe you want to contribute to the economic growth of your community. Whatever the reason is, if you're thinking about starting a small business, it's important to understand pertinent information relating to small businesses in the United States; namely economic information and insurance regulations. After all, if you want your small business to succeed, you have to understand the economic trends organizations of a similar size in your area.
Likewise, you want to ensure that your small business is well protected with the right business insurance and that you are in compliance with the rules and regulations that pertain to commercial insurance in your region.
Read up on economic statistics and insurance information that relates to small business owners in the United States.
Here's a look at some information that was compiled by the Small Business Association (SBA) regarding the economic data that pertains to small businesses in the United States:
In the business world, there are many risks faced by company's every day. The best way that business owners can protect themselves from these perils is by carrying the right insurance coverage.
The The National Association of Insurance Commissioners (NAIC) is the U.S. standard-setting and regulatory support organization. Through the NAIC, state insurance regulators establish standards and best practices, conduct peer review, and coordinate their regulatory oversight.
Commercial insurance is particularly important for small business owners, as they stand to lose a lot more. Should a situation arise - a lawsuit, property damage, theft, etc. - small business owners could end up facing serious financial turmoil.
According to the SBA, having the right insurance plan in place can help you avoid major pitfalls. Your business insurance should offer coverage for all of your assets. It should also include liability and casual coverage. The SBA recommends the following insurance plans for small business owners:
Find useful articles on business insurance for non-profit 501(c)(3) organizations, charities and associations.
For 501(c) Non-Profits - Directors And Officers Liability Insurance has become an increasingly important policy to have. D&O coverage protects insured directors or officers against claims involving allegations of wrongful acts occurring while performing their duties as such. The insurance is divided into two separate coverages:
Side A coverage reimburses the individual directors and officers for payments made for loss each has incurred because of wrongful acts.
Side B coverage reimburses the corporation for the payments it has made on behalf of the directors or officers themselves.
General Liability is a foundational policy for almost any business. Most companies do not have any control over the final cost of injuries to a person injured because of their operations, products, or services. The person injured may be a young child, a blue-collar worker, a surgeon, or a homeless person.
The cost of the injuries may be comparatively minor or run into the millions of dollars, depending on the person and the extent of his or her injuries. Do you have sufficient assets to pay such a loss?
Commercial general liability insurance is designed to help you protect your assets with three main coverages: