What do Group Homes Need to Know about NPO Insurance?

If you have a client who runs or manages a group home, they face many unique risks. Group homes provide shelter to residents who are either handicapped, mentally disable, or need placement for a variety of other reasons. There are also group homes for children; who have either been removed from their home for neglect, or their parents were incarcerated, or for a number of other possible issues. These are all high-risk situations, and make it imperative for your client to obtain a Nonprofit, or NPO, insurance policy.

Your clients’ NPO insurance needs will not differ than much from a for-profit business in sense of the coverages; they will want their building to be covered by property insurance, they’ll need a general liability policy, and will want directors & officers coverage as well. When it comes to evaluating their NPO Insurance needs, it’s vital also for your group home clients to look at the different risks they face. To reduce some of their risks, they need to make sure they are following proper procedures when it comes to filing as a nonprofit, getting the right permits, and creating a safe atmosphere for the individuals that will be utilizing the group home as well as any staff or volunteers.

The range of services your client will be providing in their group home will determine the amount of staff or volunteers they will need. Staff could range from physical and occupational therapists, to skilled nurses and mental health counselors. Working with people that either have a mental or developmental handicap, or is even a child who is suffering socially and emotionally raises specific risks for your staff and volunteers, which is why both workers compensation and employment practices liability should also be part of your clients NPO insurance program.

Group Home NPO Insurance risks can come from more than just employees, and residents. Understandably, opening a group home can come with trepidation from neighbors, who don’t know what to expect or how this may affect them. While it’s not a guarantee of reducing risks, experts recommend that group homes always openly communicate with neighbors, and try to choose a location amongst people who are open to the group home residents.

Understanding the basics of non-profit insurance policies is essential for your clients, as well as for you. At Charity First, we are committed to helping you place coverage for your nonprofit clients. Our mission is to provide coverages tailored to meet the unique needs of this market segment. Please contact us today to learn more at (800) 352-2761.