“This policy isn’t really necessary for my organization.”

“The insurer doesn’t understand my Post’s needs.”

There are plenty of misconceptions about insurance but with the right insurer, your misconceptions and concerns can be put to rest.

Read on to learn about 5 common misconceptions of fraternal organization insurance and how working with Lockton Affinity, the administrator of the Post Insurance Program, can help protect your organization, its members and more.

5 Misconceptions of Fraternal Organization Insurance

1. All insurance is basically the same.

It’s a common misconception that all insurance is basically the same. The thought is that “most types of insurance policies work the same way” or that “all policies of a particular kind offer the same basic coverage.”

The truth is that insurance can be as individual as your organization is. Consider Liquor Liability insurance and Host Liquor Liability insurance.

If your organization has a liquor license and sells or serves alcohol, this Liquor Liability insurance helps provide coverage for legal expenses should an intoxicated person sustain an injury or cause property damage or should a minor be served.

However, if your organization does not have a liquor license but hosts events where alcohol is served or where attendees can bring their own, Host Liquor Liability insurance is available to help protect your organization from similar claims.

2. My organization’s risks stay the same over time.

Another common misconception is that risks stay the same year after year. As an organization that hosts guests, risks of third-party bodily injury will continue to exist. Same with Property damage if your Post owns a building.

However, there are plenty of changes that can impact your organization and its insurance, too. Whether your organization changes or the world changes, it is important to evaluate your risks each year.

Consider these common risk changes:

• Your Post begins hosting events with alcohol
• Your membership fluctuates
• Your Post decides to host special fundraising events

3. Insurance companies aren’t knowledgeable about my industry.

There’s a popular misconception that insurance companies are not knowledgeable about their customers’ industry. There’s an assumption that insurance professionals “probably know enough” about the insurance products they sell and service, but not much about fraternal organizations.

Without an insurance partner that is knowledgeable about your unique risks, there is always a chance of being underinsured or simply not having the right policies in place, leaving your organization financially exposed.

When you work with a partner like Lockton Affinity, administrator of the Post Insurance Program, we take special care to understand your Post’s needs so we can serve you better. Plus, we strive to make continuous improvements to the insurance program, as well as our service and risk management articles to benefit Posts like yours.

4. My insurance provider doesn’t have my back.

Another common misconception about insurance is that your provider only wants to hear from you when it’s time to renew your policy or to inform you of a rate hike. An insurer that treats your organization as a transaction, rather than a valued partner, may not prioritize service, may not look closely at your risks and may not look out for your organization.

With the correct partnerships, your relationship will not be one-sided. It will be a collaborative effort with an important goal—to ensure you’re protected against key exposures and to help you determine how much risk your organization can tolerate.

With coverage administered by Lockton Affinity, your organization has access to a team of highly trained insurance professionals who understand the risks and exposures your organization faces. Your organization will have a dedicated account manager who supports your organization, becomes familiar with its needs and has its best interests in mind.

Lockton Affinity also works diligently to place your insurance coverage with carriers that are reputable, exhibit superior financial strength and are well regarded for their claims handling services.

5. Most insurance isn’t necessary.

One final misconception that is very common is the belief that most insurance isn’t necessary. The idea here is that a lot of coverage is “nice to have,” but probably unnecessary and not worth the cost outlay in the end.

The truth is that your organization doesn’t need to have experienced a claim for your Post’s insurance to do its job. While many people correctly look at insurance as a way to purchase peace of mind or hedge against future uncertainty, another perspective is that your insurance coverage helps transfer excessive risk so that your organization can focus more on its activities and membership.

Insurance claims are part of life, whether a fire or flood damages the property your Post owns, an employee or guest is injured at the Post and more. Insurance helps mitigate those risks so you can focus on what’s most important: your Post.

Debunking 5 Misconceptions of Fraternal Organization Insurance

It’s easy to get the wrong idea about insurance. Without the right information, you may be unaware of all your Post Insurance Program insurance options and the insurance experts that are ready to help you get the coverage your organization needs.

Insurance administered by Lockton Affinity is comprehensive and affordable, and tailored to the specific needs of your organization. Our program simplifies the insurance buying process and removes all the unnecessary coverage you don’t need to give you only the insurance you truly need to fully protect your Post.

Curious what coverage prices will look like for your organization? Complete our quick, five-minute price indication request to receive a personalized indication that allows you to make a financially informed decision about your organization’s insurance.