Even with a solid risk management program in place, accidents happen and a nonprofit may be involved. Many of these are accidents beyond anyone’s control. Very often it is simply the inattention of the individual involved that results in injuries or property losses. However, sometimes injuries or losses are caused by unsafe conditions or inadequate supervision at the nonprofit.

Whatever the cause, when an accident occurs at your nonprofit, you need to take a few steps to protect your organization. A participant has just tripped over a chair and fallen down at your annual fund-raiser. He says he is fine. What, if anything, should you do to protect your nonprofit? The accident victim may go home, have a cup of tea and feel perfectly fine. Or, he could experience pain on waking the next day and, after further investigation by a physician, discover a pulled muscle, a cracked bone or some other injury. Your nonprofit should be prepared for a claim for damages, or possibly a lawsuit. When an accident happens, first make sure that emergency personnel are called if necessary. If emergency care is not warranted or desired, make sure the person involved in the accident, however minor, has ample time to rest and collect themselves before they go about their business or leave your premises.

• Express concern for the individual but do not promise to pay any damages. Before the incident is investigated, it is premature to determine who should pay.
• Record details about the accident on an Incident Report Form.
• Contact the accident victim the day after the accident to express concern and find out how the individual is doing.
  
• Report the accident to your insurance broker.

Include the following items on the Incident Report Form:

• Name, address and phone number of all persons involved in the accident, as well as the date of occurrence.
• A list of witnesses to the incident including names and addresses and most importantly, telephone numbers.
• A brief description of the incident noting the condition of the area at the time of the incident. Note time of day, lighting in the area, any foreign objects, etc.
• Snapshots of the area, if possible.

Good notes made right after the incident have proven very valuable in defending cases against nonprofit organizations. Concise, accurate documentation can provide a powerful defense.

Report all incidents to your insurance broker who is expected to forward the information to your insurer. That person can determine whether or not to forward it to the appropriate insurer. Most incidents will not result in lawsuits; but many will result in some claim for damages. If you have reported an incident to your insurance broker, it is likely than an adjuster from your insurance company will call to ask you details about the claim. You should cooperate with the insurance adjuster’s request for information to the fullest extent possible. If you have any doubt about the validity of a caller or an unannounced visitor, call your insurance broker to confirm the identity of that person before answering any questions or providing any written information. The claim will be handled by your insurance company.

Information provided by Alliance of Nonprofits for Insurance Risk Retention Group. Specially designed policies for nonprofit organizations can be purchased through Nonprofit Resources, a subsidiary of Colorado Nonprofit Association.