Charities and Charitable Trusts Professional Liability Insurance
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There are more responsibilities on charity trustees than ever and all concerned need to wake up to them. In fact anybody that assumes a role whereby they could be sued because of mismanagement etc should apply for terms for consideration. THIS INSURANCE PROTECTS THE INDIVIDUAL. It provides an indemnity to a director/officer in respect of legal duties and liabilities OR for the defence thereof. |
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Action can be brought against the individual director or officer as opposed to the company - or action may be brought against both at the same time.
This is when personal responsibility comes into play and your personal assets may be under serious threat because of the responsibilities you assume when you become a charity trustee.
You have responsibilities imposed on you by common law and statutory law covering a range of activities.
For example
- Charity activities
- Environmental issues
- Health & Safety
- Tax
- Employment
Leading from this you could face action from many sources including your employees, any shareholders, various authorities and the public. You have to monitor changes in the legal arena carefully.
If prosecuted you might be forced to pay damages or a fine, sent to prison, or disqualified from being a director.
Policies do differ and it is important to understand the cover you have. You need to appreciate for example the relationship between the ‘all in’ policy and the limit of indemnity you choose. Professional Risk Solutions will be happy to assist you.
CHARITY TRUSTEE'S LIABILITY INSURANCE IS AS IMPORTANT TO YOU AS THE NEXT INSURANCE POLICY.
IT IS AFFORDABLE AND YOU REALLY CANNOT AFFORD TO BE WITHOUT IT.
Please download a proposal and follow the instructions for submission to Blackfriars Group.