Nonprofits Insurance Alliance of California (NIAC) declared a $3 million dividend in 2019 and will issue the dividend to its qualifying member-insured 501(c)(3) nonprofits renewing their policies from June 1, 2019, to May 31, 2020.
A Santa Cruz, Calif.-based nonprofit insurance risk pool, NIAC is a member of the Nonprofits Insurance Alliance (NIA). NIAC and other member companies of NIA are 501(c)(3) nonprofits and insure only 501(c)(3) nonprofits. NIAC returns dividends to nonprofits as part of its mission.
NIAC’s dividend plan issues funds to members based on individual member premiums paid during the dividend period, length of continuous coverage, and favorable claims experience, which NIA’s risk management services help members to create.
NIAC has returned $44.1 million in dividends to the nonprofit sector since 2007. In 2015, NIAC’s board approved a dividend of $1 million. In 2016 and 2017, the board approved a dividend of $2 million. In 2018 and 2019, the annual dividend increased to $3 million.
NIAC opened its doors in 1989 with no member-insureds, $40,000 in operating capital, and a $1 million loan from foundations. NIA now insures 19,000 nonprofits in 32 states and DC and writes $139 million in premium, has net assets of $204 million and total assets of $531 million, according to the organization.
Nonprofits Insurance Alliance of California is NIA’s first insurance risk pool. When savings are better than expected, NIAC declares a dividend for its qualifying member nonprofits.
NIAC also offers free loss control and risk management services including free and unlimited personal consultations on employment related matters, free driver training, free board portal and free webinars.