As the holiday season ramps up, so does charitable giving, which keeps non-profit organizations busy through the remainder of the year.

In 2016, total charitable contributions for the year reached $390.05 billion, according to Giving USA. More than 60% of non-profits filed a D&O claim in the last 10 years, 85% of which were employment related.

Travelers’ nonprofit D&O product manager Tom Herendeen offers 10 tips for non-profit organizations to keep in mind during this season of giving to help make campaigns successful while controlling risks for their organizations, directors, and officers.

Herendeen says D&O claims can be expensive to defend and can divert a lot of attention and energy away from the non-profit’s mission, so it’s important for these organizations to have risk management plans in place to protect themselves and their employees.

Donor privacy should also be a major focus, Herendeen says.

“Donors generally want to know where their contributions will be spent, they want to connect with the causes they fund, and they also want to know that their personal information will be safe through that process,” Herendeen says. “Many directors and officers are volunteers, so they want to know they’re protected in this process if there were to be a claim in these fundraising efforts.”

Here are Travelers’ top 10 tips for running a successful fundraising campaign, and protecting your organization in the process:

Tip #1: Do your homework

If using outside vendors, vet them thoroughly. Any sanctions from charity regulators, or other potential red flags? By using a fundraising professional, see how telemarketing laws may apply to your organization and what risks you might face.

“Due-diligence is especially important if you’re using any outside professional fundraisers, in making sure that you’re complying with any laws that may apply, and that you’re dealing with reputable vendors as they’re representing your organization,” Herendeen said.

Tip #2: Be transparent

Let donors know where their contributions are going and what percentage is allocated to overhead and marketing costs.

Tip #3: Add it up

Present your financial information (Form 990) on your website or make it available to donors upon request.

Tip #4: Don’t punish good deeds

Implement a privacy policy and advise donors that their personal information will not be shared with third parties. Protect donor data with state-of-the-art security tools and procedures.

Tip #5: Turn donors into doers

Engage donors by communicating about your organization and its good work. Their time, expertise, advice and creativity can be invaluable to your cause.

Tip #6: Make it easy

Consider accepting online donations through a secure portal. Allow different forms of contributions (one-time donation, monthly, twice a year, etc.) and issue receipts promptly. User-friendly steps will be valued by your donors and may keep them coming back.

Tip #7: Say “Thank You”

Provide your donors with newsletters or regular updates to show how their donations are being put to work and how important they are to the organization’s mission.

Tip #8: Protect the organization

Have a risk management plan and Directors & Officers insurance in place.

“Transparency, documentation, good governance of the organization goes a long way in protecting from risk, but also building confidence from stakeholders, donors and the community.”

Tip #9: Take notes

Document board meeting minutes and keep records on key issues.

Tip #10: Build confidence with good governance

Adopt and implement conflict of interest and whistleblower policies. This helps your organization address potential problems early.

Special Reports /

10 tips for a safe and successful fundraising campaign this holiday season

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