Shelters are basically residential facilities that provide temporary or emergency housing for individuals and/or families who are homeless or temporarily displaced due to circumstances beyond their complete control. The overall majority of shelters are managed and run by nonprofit organizations; however others may be run and or publicly funded by state, city, or local government agencies.
To satisfy the basic commercial insurance needs of shelter exposures, you need provide coverage for building, personal property, and equipment breakdown for the building structure and its contents. Both general and professional liability coverage would serve to offer non-profit organizations the financial security needed to protect its assets and financial resources from suits related to any actual or perceived negligence relative to the care of the premises or resident client care and supervision. Coverage for abuse and molestation liability is essential to protect the non-profit financially from actual or unexpected allegations or claims involving abuse of any nature. Personal injury coverage is an essential coverage need as well, though exposures must be closely evaluated in this area for wrongful eviction. Rigid hiring and screening practices of both employees and volunteers is essential to minimize loss potential and assure a safe and stable living environment.
Auto exposures tend to be minimal as most shelters do not routinely provide transportation to its temporary clients. Though, where automobiles are owned, leased, hired or borrowed by the entity or its employees for operational use and purposes, both auto liability and physical damage coverage may be needed. Non-owned auto exposures should be closely evaluated as it tends to be the principal area for shelters that afford 24 hour residential services.
Umbrella/Excess Liability limits of insurance would greatly enhance and round out insurance limit needs to protect the nonprofit facility from financial ruin in the event a substantial liability claim occurs of any nature.
Various types of shelters could include:
- Homeless shelters for individuals and families — Provide temporary shelter/living for individuals and/or families who lack continuous, fixed, regular, or adequate 24 hr. accommodations. Families and/or individuals have no self-arranged living accommodations of a permanent nature for their reasonable ongoing occupancy. Admission is generally voluntary.
- Domestic abuse shelters — Provide a safe haven and protective environment for individuals, usually women and children who have suffered from abuse or violence in the home. Shelter locations may be secret in nature and are often called safe houses. Crisis intervention counseling is routinely offered as are basic living needs such as meals, childcare, and group support therapy. Admission is generally voluntary.
- Emergency children shelters — Provide very temporary housing to abused, abandoned, and neglected children who have been removed from homes due to an adverse living environment. Shelter may be administered by a non-profit organization or a publicly subsidized state or local municipal human services agency. Admission is generally involuntary. Goal of facility is to offer a temporary safe and nurturing environment to children while more permanent living arrangements are made for them.
- Shelters for unwed mothers — Provide temporary housing for displaced pregnant women attempting to overcome many obstacles in their lives. Extensive counseling and information is generally provided directly to the expectant mother or facilitated thru resource and referral options. Admission is generally voluntary. Goal is to educate and empower clients to overcome life’s obstacles and achieve a greater means of self-sufficiency.
- Teen shelters — Provide temporary shelter for at-risk abused and runaway teens as admission is generally involuntary, though voluntary admission of runaways has become more prevalent in recent years.
- Shelters for homeless veterans — Provide temporary housing and counseling to veterans experiencing, unemployment, mental illness, addictions, as well as traumatic emotional problems.
- Faith-based shelters — Provide temporary or transitional housing which would offer a supportive living environment which often, as needed, includes meals and clothing to residents. Many are referred to as mission homes or settlement houses. Spiritual/ministerial counseling is routinely a part of the daily client contact in these shelter types. Admission is generally voluntary.
NIF Group, Inc. exclusively underwrites a comprehensive insurance program for Nonprofits and Social Service Agencies on behalf of
Liberty Mutual Insurance. Please contact Paul Orlando –
[email protected] for additional information on the program.
