Insurance Coverage
• Directors and Officers Insurance provides financial protections for the directors and officers of an organization in the even they are sued in conjunction with the performance of their duties as they relate to the organization.
• General Liability Insurance provides coverage for an insured when a negligent act and/or omission results in bodily injury and/or property damage on the premises of a business, when someone is injured as the result of using the product manufactured or distributed by a business, or when someone is injured in the general operation of a business.
• Fiduciary/Employee Dishonesty Insurance is coverage that guarantees that the insurance company will pay the insured business or individual for money or other property lost because of dishonest acts of its bonded employees, either named or by positions. The bond covers all dishonest acts, such as larceny, theft, embezzlement, forgery, misappropriation, wrongful abstraction, or willful misapplication, whether employees act alone or as a team.
• Property Insurance provides coverage from loss to physical property or common areas (property) due to loss from a covered peril.
• Umbrella Insurance provides liability coverage that protects the assets and future income of the policyholder above and beyond the standard limits set on their primary/underlying policies.
These are examples of several coverages that could apply to associations, but may not be suited for all .If an association has people or businesses doing work on their behalf, I would recommend obtaining certificates of insurance before the contract is signed and the work is performed. These certificates should be kept on file by the association.
