Insurance can be a confusing subject for community groups with many different policies available. However it shouldn’t be ignored, as if the worst happens, you will be unprotected without it. It is important to think about your activities and what type of cover you may need. The most basic forms of insurance are outlined below.
Public Liability Insurance
All groups should have this to protect them against a claim by any member of the public or any other third party should they suffer damage, loss or injury in the course of your organisation’s activities.
The indemnity limit (maximum that will be paid out for any one claim) should be at least £2 million to offer a good level of protection for the group.
Questions you may want to ask when getting a policy include:
- Does it include member to member liability (should a member be affected)?
- Will it include any one off events as well as regular activities?
- Will it cover the costs of legal expenses that may be incurred?
- Will it cover damage to rented or hired equipment or premises?
Employers Liability Insurance
If your organisation employs staff in the UK then by law you must have employers liability insurance with indemnity of at least £5 million. This will cover the cost of a claim from an employee who suffers an accident, illness or disease as a result of doing the work your organisation asked them to do.
You should also consider this insurance if your management committee asks volunteers to carry out tasks or activities on its behalf. This could be anything from changing a light bulb to running a youth club. If a volunteer suffers as a result of doing something the management committee are responsible for, then a claim from the volunteer may not be covered by public liability.
If you own a building, then you will certainly need buildings insurance. If you rent one, you should check with the landlord.
In terms of equipment, you may feel that you need a contents insurance which would cover against fire or theft when equipment is kept at one specific location. If equipment is used away from your normal premises, you may want an “All risks” policy.
For details on other types of insurance, you can download this leaflet.
Community groups can get insurance from many brokers and companies. Some that regularly work with charities and community groups include:
Ladbrook Insurance: www.ladbrook.co.uk 01909 565858
Finance Redirect: www.financeredirect.co.uk 01234 358535
Zurich Insurance: http://www.zurich.co.uk/en/charity-insurance 0800 917 9420.
Arthur J Gallagher https://charities.ajginternational.com/ 0800 612 9930
Methodist Insurance www.methodistinsurance.co.uk 0845 60 61 331
It is often worth getting quotes from more than one to find the most competitive price.