Foundation & Grantmaking Insurance Coverage Checklist
The coverages a foundation & grantmaking business may carry — core, prevalent, and situational — why each matters, and the gap most often missed.
Pull out your current policy and check the box next to any coverage you can confirm is already in place — anything unchecked is worth a quick conversation with your advisor. Coverage checklist for private, corporate, and community foundations and other grantmaking organizations. Priorities reflect typical exposure for this class; confirm against your actual grantmaking and investment activities.
Tick each coverage you can confirm you carry — anything left unticked is a good question for your next policy review.
| Have it? | Coverage | Why this business needs it | Priority |
|---|---|---|---|
| Directors & Officers | Covers board and officer decisions on grants, investments, and governance — the core exposure for a foundation. | Core | |
| Crime / Fidelity | Covers theft by employees, trustees, or others with access to funds. | Core | |
| Social Engineering / Funds Transfer Fraud | Covers grant payments diverted by fake bank-change requests — often excluded or sublimited under crime. | Core | |
| Cyber / Privacy Liability | Covers breaches of donor, grantee, and scholarship applicant data and grants portals. | Core | |
| Excise Tax / Penalty Coverage (D&O Extension) | Some D&O policies reimburse managers for IRS excise taxes where insurable — confirm whether yours does. | Prevalent | |
| Fiduciary Liability | Needed if you sponsor a retirement or benefit plan for staff. | Prevalent | |
| Employment Practices Liability | Covers claims by staff; often part of the D&O package. | Prevalent | |
| Commercial General Liability | Covers injuries at offices, convenings, and events. | Prevalent | |
| Media Liability | Covers defamation and copyright claims from reports, publications, and websites. | Situational | |
| Special Events Liability | Covers galas, award events, and convenings. | Situational | |
| Property / Fine Art | Covers office contents and any art or collections owned. | Situational | |
| Workers' Compensation | Required for employees. | Situational |
The coverage gap most often missed
The gap most often missed by foundations is payment fraud. Fraudsters target grant payments by hacking grantee email or grants portals and changing bank details — one foundation lost $1 million of a $2 million grant this way — and standard crime policies often exclude voluntary transfers or cap social engineering at a small sublimit. Family foundations add a second gap: self-dealing with board or family members brings IRS excise taxes that many D&O policies won't pay. Confirm your social engineering limit, and require a call-back to a known number before changing any grantee's bank account.
Send us the checklist and we'll review your foundation & grantmaking coverage line by line, then market it across multiple carriers that compete for your account.
Related: Foundation & Grantmaking Organization Insurance · Foundation & Grantmaking Supplemental (apply) · All coverage checklists
Frequently asked questions
What insurance does a foundation & grantmaking business need?
The core coverages for a foundation & grantmaking business are Directors & Officers, Crime / Fidelity, Social Engineering / Funds Transfer Fraud, Cyber / Privacy Liability. This checklist also lists the prevalent and situational coverages worth considering, with a plain-English note on why each matters.
Is this checklist insurance advice?
No. It is a free educational tool to help you have a more informed conversation with a licensed professional. It affords no coverage and is not insurance, legal, or financial advice — only your actual policy language governs what is and isn't covered.
Can Cory Washington & Co. review my foundation & grantmaking coverage?
Yes. Share your checklist and we'll review your program line by line, market your account across multiple carriers, and explain the trade-offs in plain English. Cory Washington & Co. LLC is licensed in all 50 states.
This checklist is a free educational tool from Cory Washington & Co. to help you review your own coverage and have a more informed conversation with a licensed insurance professional. It is general information only — not insurance, legal, or financial advice, and not a recommendation to buy, change, or cancel any policy. Coverage terms, availability, limits, and requirements vary by policy, carrier, and state, and only the language in your actual policy governs what is and isn’t covered. Checking or leaving blank any item above does not indicate that you are adequately insured or under-insured. Using this checklist does not create a client, agency, or fiduciary relationship. Always consult a licensed professional about your specific situation.