Jump directly to the Content

Liability Insurance and Immunity from Lawsuits

Insurance does not necessarily affect a charity's immunity from a lawsuit brought by a beneficiary.

New Jersey
State:
Key point: Some states protect charities from being sued by the beneficiaries of their services who are injured or damaged as a result of those services. The fact that a charity in such a state carries liability insurance will not necessarily affect its immunity from liability.

• A New Jersey court ruled that a state charitable immunity law that immunizes charities from liability for injuries sustained by "beneficiaries" was not affected by the fact that a charity purchases liability insurance. New Jersey law specifies that "[n]o nonprofit corporation … organized exclusively for religious, charitable, educational or hospital purposes shall … be liable to respond in damages to any person who shall suffer damages from the negligence of any agent or servant of such corporation … where such person is a beneficiary, to whatever degree, of the works of such nonprofit ...

Join now to access this member-only content

Become a Member

Already a member? for full access.

Related Topics:
Posted:
  • March 1, 1994

Related ResourcesVisit Store

Avoiding Church Lawsuits
Avoiding Church Lawsuits
Create proactive procedures to avoid common reasons why churches most often go to court.
Understanding Church Insurance
Understanding Church Insurance
Understand your church's insurance needs to be assured you have adequate coverage.
Best Practices for Technology Usage
Best Practices for Technology Usage
Establish policies and best practices to govern the use of technology for church staff.
Understanding Pastoral Liability
Understanding Pastoral Liability
Know the situations in which a pastor is personally liable for wrongdoing.