Fundraising is the process of bringing together financial resources with the aim of achieving certain objectives. In most cases, this is done to boost certain major events such as political campaigns, helping in the purchase of certain organization equipment, helping humanitarian organizations, and many others.
This process is as old as human history, and it continues to be a major practice in many areas of the world. In the United States, we see fundraising activities being organized to help political campaigns as well as in helping needy children and homeless families. With the upcoming of insurance, has this process of fundraising been affected in any way? This is what we are going to address in the subsequent sections.
Understanding the insurance
The term insurance comes from the word insure which means to cover or protect. This, therefore, means that the role of insurance is to cover people or property against certain risks.
However, this coverage is under certain terms and conditions which in most cases are legally binding for the insured and the insurer. Therefore, the breach of the set terms and conditions can lead to legal action from either party since the court of law recognizes the insurance process.
Comparing the insurance and fundraising
As discussed above, insurance is basically coverage against a risk which has not yet occurred. Therefore, it is pooling together resources in terms of money which would help you in future in case something unexpected occurs.
However, when it comes to fundraising, it is done for something expected or that which is already there. Furthermore, fundraising is never governed by any laws and regulation, and there in most cases, there is no specified amount of contribution as is the case with insurance.
Has the insurance affected fundraising?
Away from the political environment, people usually hold fundraising activity to support needy children, help in payment of hospital bills, or to help in the purchase of instruments. When it comes to purchases of instruments, it can be either in replacement of a stolen one or purchasing from scratch.
If it is a replacement, the insurance is doing away with this since people are being encouraged to have instruments insurance for their crucial instruments. For instance, a group of DJs can ensure their studio musical instruments so that they won’t have to organize fundraising to replace them in case of theft, fire, or any other calamity. Go to this website, dedicated to meeting the needs of musicians.
When it comes to medical fundraising, this has also been highly reduced by medical cover insurance where people have to contribute some amount on a monthly basis, and the insurance will clear their medical bills. However, since insurance does not pay everything in some instances, and not all people can afford medical insurance, the fundraising in this area is still apparent.
The only fundraising area which has not been significantly affected by insurance is on raising money for charity and other welfare organizations. Therefore, we cannot say the insurance has replaced the value of fundraising, but rather we would say it has somehow affected it in some areas.