If you have any full-time or part-time employees, your state law likely requires that your nonprofit will need a workers’ compensation policy.
Workers’ compensation is a form of insurance providing wage replacement and medical benefits to employees injured in the course of employment in exchange for mandatory relinquishment of the employee’s right to sue his or her employer for the tort of negligence.
Many brokers are selling policies that don’t correctly serve their client’s needs (i.e. sexual abuse and molestation is a major concern, but most clients don’t understand their coverage). In our experience, price is important, however, proper coverage should be the main concern!
Traditionally, nonprofits have had very little, if any, choice when purchasing workers compensation. The recent workers compensation legislation offering more controls has allowed companies to increase their business in California. A special program for human services was designed to offer a California Admitted (A.M. Best rated A+XV), fully insured company as an alternative to State Fund. Our excellent relationship with underwriters over the years has allowed Jay McDonnell Insurance to be invited to be one of six brokers in California that can access this program.
We recommend that all nonprofits carry a separate participant and volunteer accident policy to cover medical claims and keep your workers compensation claims down.
Loss control services are provided to assist nonprofits in preventing workers comp related claims. Loss control specialists can assist your nonprofit in designing a qualified Injury and Illness Prevention Program as well as most other loss prevention aspects of your operation.