On Friday, Sept. 15, New York Gov. Kathy Hochul signed legislation that will enable nonprofit risk retention groups (RRGs) domiciled outside of the state to write auto insurance policies to nonprofits across the state. This signing was announced at 12 noon ET, by Assemblymember Anna Kelles and state Sen. Lea Webb, who worked closely to guide the bill (A.5718a / S.5959a) through the New York legislature. This signing represents a major victory for the entire nonprofit sector, as nonprofits are often unable to secure insurance from commercial insurance companies due to their unwillingness to provide the specialized coverages nonprofits need.

In an article from Forbes, Laura MacDonald explores the potential of artificial intelligence (AI) for nonprofit organizations. According to MacDonald, AI can be used to enhance operations, increase impact, and improve efficiency. However, ethical and responsible use of AI is essential to maintain the trust of donors, volunteers, and beneficiaries. Unite.ai reports that 89% of nonprofits agree that AI will improve efficiency, but only 28% say they use it.

The nonprofit sector is under pressure to build trust through greater transparency around funding and accountability around programs and impact. Blockchain technology offers a unique opportunity to facilitate a new generation of efficient philanthropy by giving donors greater visibility into the organizations they support. A 2021 study from Indiana University’s Lilly Family School of Philanthropy found that trust and giving rates have declined in tandem for Americans of all ages, with fewer than 50% of American households donating to charity. The key factors identified in this downturn were a lack of both financial transparency and proof of impact.