Nonprofits Insurance Alliance (NIA) approved a $3-million dividend for policy holders, the 15th consecutive year that a dividend was declared. Dividends to nonprofit members have now eclipsed $50 million since 2007.
“As a 501(c)(3) nonprofit ourselves, our mission is to support other nonprofits,” said President and CEO Pamela Davis, who founded the Santa Cruz, Calif.-based social enterprise in 1989. “Knowing that our member nonprofits continue to feel severe financial hardships brought on by COVID-19, our ability to pay our NIAC members a dividend for the 15th consecutive time has special meaning for us this year,” she said.
The dividend plan for members of the Nonprofits Insurance Alliance of California (NIAC) is based on individual premiums paid during the dividend period, length of continuous coverage, and favorable claims experience.
In any year that the board declares a company-wide dividend, qualifying members receive a member dividend check within 30 days of their subsequent policy renewal with NIAC. Members begin accruing loyalty credits immediately and loss ratio credits begin accruing after six years of continuous membership. Each member’s check is a pro-rata portion of the company-wide dividend.
NIAC was the first organization under the NIA group brand and the first multi-line, nonprofit insurer offering coverages exclusively to other 501(c)(3) organizations, and today has more than 21,000 members.
The NIA group brand is comprised of NIAC, Alliance Member Services (AMS), Alliance of Nonprofits for Insurance (ANI), and National Alliance of Nonprofits for Insurance (NANI). Coverage is currently available in 33 states and the District of Columbia.