Nonprofit insurance

Nonprofit Insurance

Insurance for Nonprofits, From a Partner Who Gets the Mission

From board liability to volunteer accident coverage, Covella Insurance Partners builds protection around how your organization actually operates — so your board, staff, and volunteers can focus on the work, not the risk.

What Insurance Do Nonprofits Need

Most nonprofits need general liability, directors and officers (D&O) liability, property, workers’ compensation (if they have paid staff), and volunteer accident coverage. Organizations that host events, use volunteer drivers, or handle donor funds should also carry hired/non-owned auto, employment practices liability, and crime/fidelity coverage. Beyond that baseline, the right policy mix depends on your organization’s size, whether you own or lease your space, how many volunteers you rely on, and how much grant or donor funding flows through your books each year. Covella builds nonprofit coverage around those specifics rather than a one-size-fits-all package.

CoverageWe Arrange for Nonprofits

General Liability

Covers third-party bodily injury and property damage claims — a volunteer trips at a fundraiser, a visitor is hurt on-site. The foundation of nearly every nonprofit's insurance program, and often required by landlords, funders, and event venues.

Directors & Officers (D&O) Liability

Protects your board and leadership personally against claims of mismanagement, breach of duty, or wrongful decisions — including employment-related claims in many policies. Increasingly required by grantmakers and banks before they'll fund or lend to an organization.

Property Insurance

Covers your building (owned or leased), office equipment, inventory, and donated goods against fire, theft, storm damage, and other covered perils.

Workers' Compensation

Required in most states once you have paid staff — covers medical costs and lost wages if an employee is injured on the job.

Volunteer AccidentInsurance

Covers medical expenses for volunteers injured while serving your organization, regardless of fault — protects your volunteer base and your relationship with them when something goes wrong.

Employment Practices Liability (EPLI)

Defends against claims of wrongful termination, discrimination, or harassment brought by employees or volunteers — a growing exposure as nonprofits professionalize their HR practices.

Cyber Liability

Covers costs from a data breach or ransomware attack — particularly important for organizations holding donor payment information, client records, or grant data.

Business Auto & Hired/Non-Owned Auto

Covers organization-owned vehicles, plus liability when staff or volunteers use their own cars for organization business — common for meal delivery, transport, and outreach programs.

Umbrella /Excess Liability

Adds an extra layer of protection above your general liability, auto, and employer's liability limits — often required by grant agreements or facility rental contracts.

Fidelity / Crime Coverage

Protects against employee or volunteer theft of donations, grant funds, or organizational property — particularly relevant for organizations that handle cash donations or have limited financial oversight staff.

SpecialEvent & Fundraiser Coverage

Short-term liability coverage for galas, walks, auctions, and other one-time events — often required by the venue before you can book the space.

Why NonprofitBoards Choose Covella

A partner, not a policy vendor Covella is an independent, women-owned agency — we work for you, not one insurance company, which means we shop your coverage across multiple carriers to find the right fit and the right price, and we stay in your corner at renewal and at claim time.

Clinical experience where it matters. Founder Carly Shah is an ICU-trained RN who transitioned into insurance ownership — a real advantage for health-adjacent nonprofits: free clinics, home health charities, addiction recovery programs, and allied-health nonprofits get an agent who understands their operational and liability exposures firsthand, not just from a underwriting manual.

Risk management, not just renewal. We help boards understand what coverage they actually need — translating grant requirements, funder insurance mandates, and board liability exposure into plain language — and revisit that coverage as your programs, staff, and budget grow.

Licensed across your footprint. Covella is licensed in Ohio, Indiana, Kentucky, Michigan, South Carolina, North Carolina, Georgia, Tennessee, and Pennsylvania — useful for regional nonprofits, multi-chapter organizations, and associations operating across state lines.

Payroll support for growing organizations . Through partner companies, Covella also connects nonprofits with payroll services as they add their first paid staff — one more piece handled by a single relationship.

Common questions about our coverage & services

We’ve answered the most common questions to make choosing and managing your insurance easier and stress-free.

1. Does a small nonprofit really need D&O insurance?

Yes. Board members can be held personally liable for decisions the organization makes, even at a small, all-volunteer nonprofit. Many grantmakers and lenders now require proof of D&O coverage before releasing funds, and a single claim without it can put board members’ personal assets at risk.

2. Are our volunteers covered under our general liability policy?

General liability covers claims volunteers or visitors bring against your organization — it does not cover injuries volunteers themselves suffer while serving. That requires a separate volunteer accident policy, which pays medical costs for injured volunteers regardless of fault.

3. What happens if a volunteer gets in an accident driving for our organization?

If a volunteer uses their own car for organization business — deliveries, transport, errands — your organization can be named in a resulting lawsuit even though you don’t own the vehicle. Hired and non-owned auto coverage protects the organization in that situation; the volunteer’s personal auto policy typically responds first for their own vehicle damage.

4. Do we need separate coverage for our annualfundraiser or gala?

Often, yes. Many venues require a certificate of insurance naming them as additional insured for the event date, and some exposures (alcohol service, larger crowds, off-site locations) exceed what a standard policy anticipates. A short-term special event policy is usually the simplest fix.

5. How much does nonprofitinsurance cost?

It depends on your organization’s size, number of paid staff and volunteers, revenue, property owned or leased, and program activities. A small, all-volunteer nonprofit with no property might pay a few hundred dollars a year for basic liability and D&O; larger organizations with staff, facilities, and multiple programs will pay more. Covella provides a quote based on your specific operations rather than a generic estimate.

6. Can Covella help us understand what our grant or funder requires?

Yes. Grant agreements and funder contracts often specify minimum liability limits, D&O requirements, or additional-insured language that’s easy to miss. We review those requirements with you and make sure your policies actually satisfy them before you sign.

Get a NonprofitInsurance Quote

Your mission deserves coverage that’s built around how you actually operate — not a
generic package. Tell us about your organization and we’ll put together options that fit
your board, your staff, your volunteers, and your budget.

Protect Your Business. Protect Your Future.