As a follow-up on last week’s post—and in case you haven’t yet contacted your insurance provider to review your coverage—we offer the following scenarios. Just a reminder that non-profit organizations really do need proper insurance coverage for your volunteers!

What’s the worst that could happen?

• A van accident. Here’s the scenario: one of your most loyal, long-term volunteers is driving clients to the zoo in her mini van. She is a careful, accident-free driver. Still, she is hit from behind at a stop light by an under-insured driver. Two clients and the volunteer suffer injuries. After checking on the status of everyone in the van, your first thought is, “Will the NPO be sued?” Of course you’re concerned about litigation. That’s why you have insurance coverage for all volunteers, volunteer property, liability and un- or under-insured drivers. You also encourage volunteers to check with their insurance companies about additional coverage on their auto policies—for extra protection. And this one did. You’ll sleep tonight, knowing that insurance will cover everything.
• Charges of sexual misconduct against a volunteer. This is one of the most frightening scenarios a volunteer manager can face. That’s why two types of prevention are important to protect your NPO against it. First, proper volunteer screening is absolutely necessary. When you conduct reasonable background checks on all volunteers, the NPO and its board are less likely to be found liable for damages due to a volunteer’s misconduct. Second, liability coverage is required to cover instances that cannot be predicted. Whether or not the volunteer is guilty of a crime, putting your NPO at risk of financial loss is unacceptable. But be careful—be sure that your liability coverage does not exclude this type of behavior. You don’t want your organization and its directors to be personally liable for negligence!

Insurance regulations vary by state. Check with your insurance provider about whether or not your organization needs any additional coverage. You’ll be glad you’re insured when and if you ever need to be!

Risk management is an important responsibility of non-profit organization (NPO) directors. It can range from avoiding financial risk through proper planning and investing, screening potential volunteers to keep staff and served clientele safe, and holding sufficient insurance coverage.

While most NPO executives will consult their professional insurance provider for details on their particular needs, here we offer some general information on what to consider to be safe—and smart—about insurance coverage.

Insurance is not perfect and won’t cover every situation a charitable organization is likely to run into. It can also be expensive—especially when an overzealous salesperson recommends coverage you either don’t need or don’t want. But insurance is useful and in most cases, necessary to protect an organization from financial risk.

General Liability Insurance: This usually covers a long list of claims that could be filed against an NPO. Check for lists of exclusions and if necessary, purchase separate riders or endorsements that will cover items your organization’s activities warrant.

Auto Liability Insurance: If your NPO’s volunteers drive on behalf of the organization in either their own or company-owned vehicles, you’ll need insurance to cover them. Generally, auto accidents are not covered by a general liability policy, which offers coverage for the driver, property damage, the vehicle and injuries to others, as well as the possibility that the other motorist involved in the incident is uninsured.

Casualty Insurance: In generally, casualty insurance covers damage done by third parties, vandals, floods, fires,earthquakes and building failures. Consider whether volunteers use their own property, such as laptops and tools, in the course of their work for your organization.

Professional Liability Insurance: This coverage could be needed in cases of claims made by clients against professional or licensed services.

Director’s and Officer’s Insurance: In cases where a volunteer director’s or officer’s actions cause a claim to be filed against the organization, this coverage would be very valuable. It can also help attract board members, since they’ll have the peace of mind of knowing theiy won’t be personally responsible.

Again, insurance regulations vary by state. Checking with your insurance provider about whether or not your organization needs the above coverages is something you should consider doing sooner, rather than later—to reduce the risk of loss to your non-profit organization.

For volunteer managers, recruiting volunteers is only step one in a successful volunteer program. The process that includes background screening, matching skills with needs, and training. Sometimes the important step of orientation is overlooked.

Why orientation is so important?

• Orientation helps ensure volunteers are productive and that they stick around. Learning their place, their job, and the meaning of their work helps facilitate a job well done. Feeling productive leads to higher retention, too.
• Orientation helps new volunteers learn your nonprofit organization’s (NPO’s) policies and procedures. It’s frustrating and unproductive for volunteers to find out the dos and don’ts as they go. It can also be stressful for staff to correct the missteps of volunteers who don’t know any better. Just knowing where to park and which restroom to use can be extremely helpful to newbies.
• Volunteer orientation gives new folks a sense of partnership. Feeling like you’re a part of something leads to buy-in. A sense of belonging somewhere is very important—and it’s a big reason people volunteer in the first place. Skipping orientation could lead new volunteers to feel adrift and more like an outsider than an insider.
• Proper orientation for volunteers means the organization’s mission is clearly communicated. Knowing clearly what the organization’s mission and goals are makes volunteers valuable spokespeople in the community.

A Few Quick Tips for Successful Volunteer Orientation

1. Be organized: prepare packets of information ahead of time. Scrambling at the last moment makes you and your organization look unprofessional
2. Recruit a fully-trained staff member or volunteer to lead it: Even worse than being unorganized is leaving volunteers with the thought that they are not being taught well
3. Consider compiling a list of acronyms your volunteers will hear being tossed around. It will help them feel like insiders—not outsiders who aren’t privy to the organization’s activities.
4. Group orientations are a great way to save time and introduce new volunteers to staff and more experienced volunteers.

While training volunteers to do their specific jobs is extremely important, volunteer managers should remember that skipping orientation to get to training could leave volunteers unproductive and heading for the door!

While awaiting the economic recovery, many non profit organizations (NPOs) have cut expenses as closely as possible. One area that should not see a budget reduction is background screening of volunteers.

Why is it important for Volunteer Managers to continue screening volunteers?

1. It’s the first defense against fraud. Embezzlement and theft are concerns in both for-profit and non-profit organizations. In hard times, fraud actually increases, so there is no better time than the present to protect your organization from potential losses. Charities nationwide are losing cash and property to unscrupulous volunteers. Don’t let yours be one of them!

2. Appearances are deceiving. Note we didn’t say “appearances can be deceiving;” that’s because they just are. You simply cannot judge a person’s honesty or character based on their level of cleanliness, their jewelry, or the brand of shoes they wear. Gambling addicts sometimes look like your grandmother—and some of them steal money to fuel their habit. Even folks who have never considered stealing fall prey to need—and if that person has access to your NPO’s finances, it’s potentially at risk.

3. As the person in charge of volunteers, you are liable for their actions. Do you want to be safe, or sorry? If the charity you’ve given so much of your time to suffered a financial loss due to theft, fraud, or litigation, how would you feel—especially knowing that a simple and quick background check could help you screen out potential problem volunteers? Don’t take chances—you’ll sleep better at night!

4. What’s more important than keeping volunteers, staff, and clients safe? Most organizations serving vulnerable populations, like the elderly, disabled, and children, routinely screen volunteers for criminal history and sex offender status. But sadly, not every volunteer organization takes this important step. We’ve all heard the stories about volunteers who harm kids or the elderly who should not have been anywhere near them!

There is really no reason not to screen every volunteer applicant. No matter what financial shape your NPO is in, volunteer screening is one area that you really can’t afford to cut the budget!

Background credit screening of volunteers is quick and inexpensive. And the peace of mind it offers is really priceless. Protect your organization, your staff, volunteers, and clients with thorough background screening.

Many charities and non profit organizations (NPOs) think that they are not equipped or lack the resources to screen all volunteers that apply to help them. Especially in our down economy, when fund raising is more difficult and budgets have been slashed to the bone, volunteer managers might be tempted to skip this important step in the recruiting process.

What a mistake! Every organization has way too much to lose each time an unknown entity is put into the community on its behalf. Depending on the situation, a charity could face losses ranging from its good reputation, to a monetary loss from damages, or even the destruction of the entire organization—solely because it failed to conduct a criminal background check.

Especially at risk are those agencies serving vulnerable populations, such as the elderly, physically and mentally disabled, and children. Unfortunately, the general public contains far too many predators that target these groups specifically. How can a volunteer coordinator know who is safe—and who has the potential to ruin innocent lives and the organization itself?

Professional, thorough interviews of volunteer applicants is the first step to protecting your NPO. Ask the right questions, and ask the same of every applicant. Consider whether the person is appropriate for interacting with clients, or doing behind-the-scenes or event-only tasks that minimize their contact with the public.

Proper background screening is next. If funding is an issue, consider the potential losses to the organization if an unscreened criminal harms a client, and the value of background checks becomes clear. Don’t forget that credit checks can prevent financial losses.

Reference checks are also crucial. Ask references if they would want the potential volunteer taking care of their child, parent, or loved one. This question tends to make people think—and answer honestly.
And finally, for every new volunteer, the screening process must continue through proper training and supervision. This ongoing effort is necessary—even if the volunteer passed the background screening. You cannot be too careful.

If you are a non profit volunteer coordinator, remember that now, more than ever, proper procedures, including background checks, are essential to minimize the risk to your organization!