As well as protecting the association against the threat of litigation, Association Liability Insurance can protect the directors/office bearers, management, or committee members of the association against legal liability that they may incur personally through the performance of their duties to the association.
Not being exempt from legal action, charitable associations and not-for-profit organisations can be subject to substantial claims regardless of the goodwill intended. Whilst many members of community groups, not-for-profit organisations, and clubs are voluntary, their roles and the actions that occur within these Clubs and Associations means that the assets of both the Association and Directors could be subject to claims.
Many businesses think it won’t happen to them, but statistics show otherwise. In fact,