Insurances for associations and community centers: which do you need?

Liability Insurance (AVB)

The liability insurance for businesses (AVB) is indispensable for almost any organisation. It covers damage that the organisation (or its volunteers and staff) causes to third parties, visitors, tenants, or neighbours. Think of a visitor who trips over a loose threshold, or a volunteer who accidentally damages someone else’s property.

Note the cover for volunteers: some AVB policies cover volunteers by default, others do not. Check this explicitly.

Property Insurance / Contents Insurance

If you own the building, you take out a building insurance (fire damage, wind damage, burglary). If you are a tenant, the owner is responsible for the building, but your own contents (furniture, equipment, kitchen inventory) are not automatically covered. For that you need contents insurance.

Volunteer Insurance

Volunteers are vulnerable: they are not covered by an employment contract. A volunteer insurance covers liability, accidents and legal expenses for volunteers during their duties. Many municipalities offer a collective volunteer insurance for organisations in their municipality. Inquire with the municipality. This can significantly reduce the premium for the organisation or even make it free.

Event Insurance

For larger events (more than 50–100 attendees) it is prudent to take out event insurance. This covers liability specifically for the event, cancellation costs and sometimes damage by attendees. Ask tenants who organise large events to obtain their own event insurance. Document this in the user regulations.

Legal Expenses Insurance

In legal disputes. With a tenant, a supplier or the municipality, the legal bill quickly adds up. A legal expenses insurance covers legal costs and provides access to advisers. For smaller organisations this is not a priority, but for larger and more professional facilities it is worth considering.

Directors and Officers Liability Insurance (D&O)

Board members are, in certain cases, personally liable for damage caused by mismanagement. A D&O insurance covers that personal liability. For small associations this is rarely necessary, but for foundations with substantial assets it is a serious consideration.

Annual check

Compare your insurances annually with the actual situation of your organisation. Is the cover still suitable for the current size? Have there been new activities or spaces? Tie the check to the preparation of the annual budget.