FUNDRAISING NEWS: Online insurance offers charity revenue stream

Emma Maier

Charities have welcomed a new low-cost fundraising scheme that allows them to raise money when their supporters buy insurance through a special online service.

The scheme, launched at the Directory of Social Change's Charity Fair last week, works because the insurance policies are sold over the internet.

There is no need for brokers, so the usual 20 per cent commission they receive can be redirected to the charity.

This means that each transaction can raise anything between £50 and £1,000 for charity, depending on the policy taken out.

"It seems to be a totally new idea," said John Travis, director of dance charity the British Ballet Organization. "The attraction is that charities can benefit from something that their supporters would buy anyway. One of the great attractions is that it is a way of raising funds that doesn't involve a large amount of work."

The scheme costs nothing to join, so the only outlay charities have is the cost of promoting it.

Outsourcing company Charity Business, which developed the scheme with independent financial advisers Aisa Direct, is even on hand to help charities with promotional material.

Supporters using the service to buy individual life cover, critical illness cover or income protection insurance also benefit personally because in addition to pledging support for their chosen charity, they receive discounted quotes.

"Everybody wins," said Mark Freeman, chief executive of Charity Business.

"Customers pay less while their favourite charity receives money at no extra cost to themselves."

Have you registered with us yet?

Register now to enjoy more articles and free email bulletins

Register
Already registered?
Sign in

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus
Follow us on:
  • Facebook
  • LinkedIn
  • Twitter
  • Google +

Latest Jobs

RSS Feed

Third Sector Insight

Sponsored webcasts, surveys and expert reports from Third Sector partners

Markel

Expert Hub

Insurance advice from Markel

Digital fundraising tips and tricks

Digital fundraising tips and tricks

Partner Content: Presented By Markel

Third Sector Logo

Get our bulletins. Read more articles. Join a growing community of Third Sector professionals

Register now