North Bay Country Dance Society (NBCDS) is a medium-size CA dance organization (about 90 dances per year – contra, ECD, family, Morris team, two dance weekends), a CDSS affiliate, with a volunteer Board of Directors. NBCDS has been around 25 years. Our Board is discussing whether to purchase Directors and Officers liability insurance. We have a quote from a local broker for a $1 million limit of liability, claims-made policy with a $5,000 deductible for annual cost of $850. Reputable insurance company – same one which provides general liability coverage for NBCDS through CDSS insurance program. We’ve researched D&O, understand what it covers and what it doesn’t, had one Board discussion without a decision. Not a cost we couldn’t cover but not insignificant either.

Arguments for obtaining coverage – protects individual Board members thereby encouraging participation, particularly among higher net-worth individuals; provides for defense costs in case of frivolous suits. Arguments for not obtaining coverage –  1) our 25 year history of having no actions taken against us; 2) the fact that our mandate is so narrow - we put on dances; 3)  the people who come to our dances understand that they are social events and we don't seek a community with special needs or vulnerabilities; 4) we're an all-volunteer run enterprise; 5) we don't make (much) money which makes us much less of a target; 6) if there was a suit, it is unlikely that personal assets would be sought.

Do any of you involved with similar non-profit organizations have information to share about D & O coverage? Do you have it/thought about getting it? Decided not to get it? Know of any dance/music/song organizations and their Board of Directors which have faced a suit of any kind which would be covered by D & O insurance? Thanks.