Frequently Asked Questions (FAQs)

Q: My company is not incorporated. Can I still get insurance?

Insurance is a legal contract and has to be in the name of a legal entity such as a not-for-profit corporation or society. Informal community-based organizations that have no legal status cannot get insurance in the organization’s name, and should consult a lawyer for advice about their options.

Whether your organization is incorporated or not, when you undertake certain activities, such as hosting events, you are exposing the organization to certain risks. Depending on your organization’s activities, your insurance options may include:

  • When partnering with an organization that is incorporated and has insurance, or using their facility, they may be able to add your community organization to their insurance policy. However, the insured organization needs to consider the additional liabilities they are taking on.
  • You may be able to get an insurance policy that names all the individuals in your community organization. However, these individuals would be personally taking on the liability for the organization and should discuss the implications with their broker or agent.

Q: How do I add other parties to my Liability Insurance Policy?

In certain situations, your organization may need to add an “additional insured” (another organization or individual) to your general liability insurance policy.

  • For example, if your organization is working in a partnership, carrying out a contract for another party, or hosting an event or activities on someone else’s premises you may need to add an additional insured to your policy.
  • Usually, you would add an additional insured after signing an agreement where your organization assumes responsibility to cover the other party as a result of your actions on their premises, or as a result of your actions on their behalf in carrying out a contract.
  • In the case of a claim that names both your organization and the additional insured on your policy, only your insurance policy will respond.

Q: What is a Certificate of Insurance?

A certificate of insurance is issued by your agent or broker at your request to prove that your organization has particular types of insurance coverage.

Organizations may need to provide a certificate of insurance when they host an event in a private or public facility, to be eligible for certain types of funding, or when signing a contract.

Q: What do I do if I forget to renew my insurance?

If you forget to renew your insurance policy before it expires, call your broker or agent immediately to see if the coverage can be reinstate without a gap in coverage.

  • If you do end up with a gap in your coverage, this may lead to higher premiums in the future.

Q: I think I need to make a claim, but I’m not sure what will be covered.

Not sure what to claim? Contact your broker or agent when trying to decide which losses to report to your insurance company.

  • Report all claims promptly: failing to give prompt notice may result in denial of a claim.

Q: How Does Insurance Work?

Insurance spreads your organization’s risk across all the organizations and individuals that buy insurance from the same insurance company. The premiums paid by all of an insurance company’s policyholders are pooled together and then used to pay claims.

Q: Why Aren’t Insurance Rates Stable?

Insurance companies use various calculations and general claims statistics from previous years to estimate the number and cost of current and future claims. As well, if your organization has a history of claims, that may also affect your rates.

Rates are also affected by factors such as:

  • an insurance company’s overhead costs,
  • commission payments and returns on their investments;
  • external market forces,
  • government regulations,
  • and taxes.

All these factors affect whether your insurance rates stay the same, go up, or come down. Over the past few years, many voluntary sector organizations have experienced this cycle firsthand as they watched their premiums skyrocket or were denied coverage for their programs and activities.

Who is offering the Insurance Toolkit Seminars?

The Alberta Voluntary Sector Insurance Council, through the generous funding of the Insurance Bureau of Canada, the Wild Rose Foundation and Volunteer Alberta and the Canadian Volunteerism Initiative, created an insurance toolkit designed by Calgary Chamber of Voluntary Organizations specifically for the voluntary sector.

What is an Insurance Toolkit Seminar?

The unique aspect of the Voluntary Sector Insurance Toolkit project is that it comes complete with a seminar leader – an insurance professional – to work directly with organizations. The insurance professional will lead seminars offering a hands-on learning experience, a workbook or publication simply cannot offer. Each seminar will offer information on a spectrum of topics concerning insurance issues specific to the voluntary sector, with Q&A time for customized responses concerning your organization. These seminars are open to organizations with both staff and/or volunteers.

What are some of the topics that are going to be discussed?

Topic discussions include how to purchase the most comprehensive insurance, what kind of insurance is adequate for your organization and most importantly, it will be delivered in a ‘decoded’ insurance language that everyone can understand. It will assist in delivering whether your organization is under or over insured. These seminars will not promote individual products. Where possible, the seminar will be customized.

When are these FREE Seminars being offered?

Organizations are encouraged to contact Volunteer Alberta to find out more information about requesting a Seminar in your community.

Where will these Seminars be offered?

Organizations are encouraged to contact Volunteer Alberta now to arrange a seminar date within your community or find out when the Voluntary Sector Insurance Toolkit is being delivered in your region of the province.

Why offer these Seminars to Voluntary Sector Organizations?

The voluntary sector said it needed better information about the complexities of adequate insurance and now it’s available! These seminars will address the growing concern surrounding the purchase of adequate insurance by organizations in the voluntary sector.

How can my Organization book a Seminar in our Community?

Organizations can book a seminar date with our Insurance Seminar Leader:

NOTE: Please check the Volunteer Alberta website for a current calendar on when seminars may be held in your area.