Do You Need Employers Liability for Volunteers?

If volunteers make up a part of your workforce, you need to take steps to address any potential risks they may face while performing their duties.

You must have a proper training protocol to ensure safety and reduce risks. Carefully select supervisors that will maintain procedures and ensure smooth operations. Also, secure adequate insurance coverage for your organization. Employers liability for volunteer workers covers costs that may arise from accidents or lawsuits.

Are Volunteers Covered Under Workers’ Compensation?

Most states do not require that workers’ compensation policies cover voluntary workers. Obtaining insurance that explicitly protects volunteers allows you to operate your nonprofit with the peace of mind knowing you have coverage to help pay expenses stemming from misfortunes or legal claims.

What Does Volunteer Insurance Cover?

This type of policy helps pay the attorney fees, court costs, judgments or settlement amounts in the event of a lawsuit against your company. Mishaps and liability concerns are not unique to paid employees.

Employers’ liability for volunteer workers mitigates expenses that are not covered by a general liability policy or workers’ compensation. Adding volunteer insurance also protects your nonprofit against costs stemming from job-related illnesses, injuries or deaths.

Unpaid workers likely face the same risks as employees. Therefore, it is essential to protect them and your business from possible accident or liability concerns. Contact an agent with knowledge regarding volunteer organizations to ensure you have adequate protections in place that mitigate potential risks associated with volunteer activities.

Choosing the Right EO Policy for Your Business

Errors and omissions insurance, know simply as E&O coverage, helps protect your business against certain claims made by clients or customers. Let’s look at the benefits and types of coverage available.

What Does E&O Insurance Cover?

E&O insurance will protect you when a client files a claim against your company due to negligence or providing errant information. Legal fees in these situations are very costly without proper coverage. Also known as professional liability insurance, this insurance is especially critical to a business that provides professional services or offers advice to clients. Lawyers, accountants, engineers and consultants are some of the key professional groups that are especially prone to errors and omissions liability.

E&O policies vary, so choose one that best meets your particular needs and circumstances. Coverage may include such items as:

  • Negligence – This is the most common type of coverage. It protects against alleged mistakes, failure to fulfill a promise or incorrect advice.
  • Copyright infringement – Expenses or damages resulting from copyright issues are covered under this plan.
  • Legal costs – Coverage will include legal defense if a claim is filed.

Make sure you are covered against unwanted claims from clients and customers. Talk with your insurance agent to see which type of coverage is best for your business.

Protect Your Financial Institution Against Dishonest and Fraudulent Employees

Financial institutions carry a lot of risk. While a lot of institutions focus heavily on external risk, it is critical to monitor and protect against internal threats. No one wants to think that employees may compromise the institution, steal or commit fraud in the company’s name. Unfortunately, employees can also become a risk that the institution needs to prepare for. Financial institutions can invest in financial institution bond coverage.

The Importance of Financial Institution Bonds

A financial institution bond is a type of business insurance that protects a company by covering losses associated with:

  • Embezzlement
  • Fraudulent trading
  • Forgery
  • Theft

When an employee acts dishonestly for personal gain, he or she can harm the financial institution. The bank, finance company or any other financial business could face devastating losses or damage to their reputation.

Most Common Financial Bond Claims

Given that all financial institutions have a digital presence, one of the most common claims is due to fraud via fund transfers. Institutions need to be diligent in protection outside of financial bond insurance too. For instance, if a company does not follow protocol, a claim may be denied.

Internal threats should always be a consideration for financial institutions. Without insurance coverage, the effects of theft, fraud or embezzlement can devastate a company.