Expert: Richard Hixenbaugh - 3/20/2009

Question
Hello,  We have a boxing team and a gym. We also have a van that we would like to purchase for trips to tournaments. We are not a business, we are a golden gloves charity. We raise money through fundraiser and donations. We cannot figure out who's name to put the insurance in. There will be 5 different volunteers driving the van for trips at any one time but we can't put it one person's name and let them be responsible. Are there any options?  Thanks

Answer
Hi Kerry,

If you are a charity, then your charity should have a name and be filed as a charity such as a non-profit corporation. If this is the case then the vehicle should be registered in the name of the charity. The auto policy would be taken out in the name of the charity and signed for by an officer or director of the charity. Each person who may potentially drive the vehicle would have to be listed on the policy as a driver. Keep in mind that if anyone drives the vehicle that is not listed on the policy, there will be no coverage and your charity may be sued.

In this situation you will need to purchase a commercial auto policy. You should work with a good independent insurance agent in your area who can shop the market for you and make appropriate coverage recommendations.

I hope this helps
Richard Hixenbaugh