1.    PURPOSE 

1.01     This Statement of Policy sets out guidance related to the allocation of MakeWay insurance costs between MakeWay Foundation (“The Foundation”) and MakeWay Charitable Society (“The Society”) projects.

2.    SCOPE

2.01     This policy applies to all MakeWay employees.

3.    POLICY

3.01     MakeWay shall allocate insurance costs related to its annual insurance premiums between The Foundation and The Society projects on a monthly basis.

3.02    Insurance costs include coverage for;

•     Property insurance,

•     Commercial General Liability (“CGL”),

•     Crime,

•     Directors & Officers (“D&O”) liability,

•     Network Security and Privacy, and

•     Occupational Accident Insurance (MakeWay Volunteers)

•    Other insurance as required

3.03     The cost of insurance shall be allocated pro-rata to both The Foundation and to The Society except where costs are directly identifiable to either entity.

3.04     The cost of insurance is recognized as prepaid expense and is amortized over the period of coverage which is generally one year.

3.05     The cost of insurance allocated to The Society shall be distributed to the projects on a pro-rata based a reasonable calculation.

4.    RESPONSIBILITY

4.01     It is the responsibility of the Finance Department to determine the monthly charges, prepare related journal entries and ensure the accuracy and reasonability of the cost allocation

4.02     It is the responsibility of the Program Leads and Project Directors to inform the Finance Department about any events requiring additional insurance.

4.03     It is the responsibility of the Project Directors to identify insurable assets and perform an inventory of all assets on an annual basis.

5.    DEFINITIONS 

5.01     “Property Insurance” covers loss or damage to MakeWay’s purchased or donated assets and losses arising from the business interruption of MakeWay’s activities as a result of flooding, earthquake etc.

5.02     “Commercial General Liability (CGL) Insurance” covers liability or claim brought against MakeWay or any of its legal entities (The Foundation and The Society) arising from bodily injury and property damage or loss to third parties in the course of MakeWay employees/officers/directors/ volunteers performing the normal activities of MakeWay.   

5.03     “Crime Insurance” covers MakeWay from losses arising from employee dishonesty regarding money, securities and other properties within and outside of MakeWay’s premises. This insurance also covers losses arising from counterfeit paper currency, depositor’s forgery, credit card forgery and computer/funds transfer fraud.

5.04     “Occupational Accident Insurance” covers MakeWay’s volunteers against bodily injury in the course of performing volunteer work for MakeWay since they are not eligible for coverage under Workers Compensation insurance. This means that if any volunteer were to get injured in the process of performing any activity for MakeWay, the insurance company will be responsible for costs relating to the injury as specified in the insurance agreement. This insurance takes care of injuries sustained by volunteers while the CGL insurance takes care of injuries or liabilities brought by third parties against volunteers and employees in the normal course of performing MakeWay activities.

5.05     “Directors & Officers Liability Insurance” covers MakeWay’s present or future Officers, Directors, Trustees or any like officer/employee working for or volunteering for MakeWay under any capacity for TCF, TCI and TCV against liabilities/damages arising from alleged or actual wrongful acts, errors, omissions, misstatements, neglect, breach of duty etc.

5.06     “Network Security & Privacy” covers liability or claim brought against MakeWay or any of its legal entities arising from a network security or privacy breach. 

5.07     “Professional Liability” covers claims of negligence or other claims brought against MakeWay related to advisory services.

6.    REFERENCES 

009 – Statement of Policy & Procedures – Risk Policy

MakeWay Insurance Overview   

Insurance FAQ's                                                                           https://portal.tidescanada.org/SitePages/Home.aspx               

Finance Month-End Procedures Checklist