Saturday, March 25, 2023

In a recent issue, an insurance broker wrote an article “To Join or Not to Join?” (April 27, 2017) regarding nonprofit board service. The author brings up an important point that is often overlooked: the need for a board to have appropriate directors and officers (D&O) insurance to protect the lay members of the school or nonprofit.

However, in bringing this issue to our attention, he raises alarms that obscure the central role and purpose of board service. There is no question that risk oversight, financial or otherwise, is one component of board activities. Yet this perspective is a very limiting one. Boards, in partnership with the head or CEO, should be engaged in generative thinking, visioning, strategic planning and advancement. This focus is an expansive one; focusing on risk avoidance is a narrow one.

More understanding of the role of the board, and the partnership between head/CEO and board, is necessary in order to maximize impact of the schools and nonprofits throughout our community.

Jonathan D. Schick

President, GOAL Consulting Group

Dallas/ New York/ Denver

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