Church Insurance Quotes: 5 Things You Must Review Before Switching to a New Church Insurance Company
If your church is like most, you’re probably paying too much for your churches insurance. Chances are good that you’re overpaying by hundreds or even thousands of dollars.
The problem is that most churches don’t know how to shop for insurance and compare different church insurance quotes correctly. They call a few random companies and purchase the lowest-cost quote they receive.
This is a huge mistake!
Before switching to a new church insurance company, you must review five critical things.
What are the 5 Things You Need to Know When Reviewing Church Insurance Quotes?
1. Church Liability Coverage Limits
General liability insurance coverage limits are the maximum amount of money an insurance policy will pay out in case of a claim. General liability covers slip and fall claims, property damage to others, and bodily injury liability.
For churches and religious organizations, your commercial general liability policy is not covering liabilities related to abuse and molestation insurance, directors and officers insurance, employment practice liability insurance, religious expression insurance, and pastor’s religious counseling liability. These coverage enhancements must be added to the policy by endorsement and may provide lower coverage limits.
This general liability limit is essential to inspect when reviewing church insurance quotes because it will determine how much coverage you have for potential bodily injury claims. If the limits are too low, you may not be adequately covered in the event of a loss.
Our church insurance agents will review the coverage limits to ensure your church is adequately insured, and they will recommend adding an umbrella policy for added protection.
2. Church Property Insurance Replacement Cost Coverage Limits
Church building insurance offers property replacement cost coverage, which protects against physical damage to property, including vandalism insurance for churches, due to covered events.
With the recent rise in inflation, small church buildings are underinsured significantly. Integrity Now Insurance Brokers finds that large churches are underinsured by several million dollars, creating a significant coinsurance issue.
Church insurance providers are attempting to increase property limits by the standard 6 percent inflation protection is far from adequate.
Religious institutions obtaining quotes must insist on getting a copy of the current replacement cost estimate to see how the building values are being calculated. Ensure the quality score is not set to basic and the building type makes your church (basic church building, elaborate church building, synagogue with Sunday school classrooms, contemporary house of worship building).
3. Comparing Coverages Between Church Insurance Companies
Before a church signs the dotted line on the cheapest church insurance quote, review the property and liability insurance coverage limits. Also, review the contact language within the policy with a church insurance consultant specializing in churches.
Several church insurance companies offer insurance for churches. However, not all insurance companies are created equal. Unfortunately, a well-known national insurance company specializes in church insurance, but the contact language leaves much to be desired.
The coverage limits provided by this not-so-great church insurance company do paint a great picture. However, the contact language within the policy makes it difficult for churches to gain access to the limits they are paying for.
Integrity Now Insurance Brokers independent agents only recommend nonprofit insurance companies that offer insurance language written in the church’s favor more than the insurance company’s. Yes, all insurance policies have limitations and exclusions, but we do our best to screen out the worst offenders.
4. The Insurance Policy Form Coverage is being written on (Basic, Broad, or Special)
Insurance agents can select different policy forms when writing insurance for churches. These policy forms are broken down into three separate categories.
Basic policy Form: A basic form offers limited coverage and should never be offered to churches by insurance agents. The Basic Form will offer the most minimal coverage and the lowest premium.
Broad Policy Form: A Broad Form offers more coverage but still can leave churches underinsured without the proper endorsements or limits. This coverage form should not be used unless it is the only option available to a policyholder.
Special Policy Form: The Special policy form offers the most comprehensive insurance coverage and should be the only insurance coverage form a church should have in place. Integrity Now Insurance Brokers only writes church insurance on the Special Form.
When reviewing your insurance for religious organizations, ensure your policy and quotes obtained are written on a special form. While your church insurance cost will be lower with the broad and basic coverage form, when you attempt to file a claim, this is when your place of worship will go bankrupt.
5. Policy Exclusions and Limitations
Policy exclusions and limitations are the components of a church insurance policy that limit the coverage offered. These components will be stated explicitly in the policy. They can include restrictions on types of coverage, coverage amounts, and situations in which claims are not eligible for filing and payment.
One limitation found in a business liability policy for nonprofits is abuse and molestation coverage. While many church insurance provides broad coverage enhancements, your quote or policy may include restrictions on age (17 years or younger), known sex offender exclusion, monitoring requirements, and background checks of all members and visitors to gain access to coverage.
No policy for religious organizations should include these unreasonable expectations on churches; however, they exist and must be avoided at all costs.
How to Protect Your Church When Requesting Church Insurance Quotes?
1. Use an Independent Insurance Agent
Using an independent insurance agent when requesting church insurance quotes can provide your church with the best coverage and competitive pricing. These agents have access to multiple insurance providers, allowing them to shop and compare quotes to find the perfect policy that meets your church’s unique needs.
The independent insurance agent must specialize in ministry insurance to ensure the quotes obtained are from reliable church insurance companies.
2. Use A Church Insurance Expert
Using a church insurance expert to help find the right type of coverage can significantly benefit churches by providing the most comprehensive protection. An independent church insurance agent can help to identify the suitable types of coverage for any church based on their individual needs and the services offered.
3. Use an Insurance Agency Specializing in Churches Insurance
When requesting a church insurance quote, it is essential to use an insurance agency specializing in church insurance as they are more knowledgeable about the specific needs and exposures associated with protecting a church. These specialized agents understand the church’s operations and can accurately assess the risks that the church may face.
Integrity Now Insurance Brokers has access to multiple church insurance companies, allowing them to find the best church insurance coverage, accessibility, and competitive pricing for your nonprofit organization.
How to Find A Church Insurance Agent?
Do an Internet search for “Church Insurance Agent“
Our church insurance agency has spent thousands of dollars to be found on page one of your internet search for all 50 states. Companies located on page one usually specialize in church insurance.
Ask Another Trusted Pastor Who They Use
While this is not always the best solution, it can help your search for liability insurance coverage for churches.
What Types of Insurance Do Churches Require?
Church General Liability Insurance Policy
Business liability insurance for churches is a must-have for any place of worship. It provides coverage for claims against the church or its members due to bodily injury, property damage, and personal and advertising injury. Liability insurance can help protect a church from financial loss due to legal judgments or settlements resulting from a covered event.
Church Property Insurance
Church property insurance, also known as commercial property insurance for churches, protects church property in the event of damages or destruction. This type of insurance is essential for churches because it can help them rebuild after a disaster. Discounts may be available when packaging both your liability and property insurance policy together.
Workers’ Compensation Insurance for Churches
Workers’ comp insurance policies are a necessary form of insurance for churches to consider. It can provide financial protection if a workplace injury, illness, or death occurs. This coverage helps pay for medical expenses, lost wages, and other costs associated with employee injuries or illnesses on the job.
Contact one of our workers’ compensation insurance agents for a quote for your church.
Directors and Officers Insurance: Management Liability Insurance
Directors and Officers (D&O) Insurance provides coverage for a church’s directors, officers, and trustees should they be sued for alleged wrongful acts or mismanagement of funds. D&O coverage helps protect board members from personal financial loss due to such actions.
Burglary is a severe risk to churches, as they are often targeted and may have large amounts of valuable audio and visual equipment. Having burglary insurance as part of a church insurance policy is vital for churches to ensure they are protected in the case of a burglary.
Business Interruption Insurance
Business interruption insurance provides financial relief in the event of a disaster. It covers the loss of income a business incurs after a disaster, or another event disrupts normal operations. This coverage is significant for churches, as it can help provide the necessary financial resources to get the church back up and running after a disaster.
Coverage for Off-premises Events
Churches hold many special events, from youth camps, surf camps, fly fishing trips, and local and international mission trips. These off-premises outreach activities require insurance coverage to protect the worship leader, church, and congregation.
Ministerial Professional Liability Insurance
Pastoral professional liability insurance protects your church leaders in cases where a party feels they have suffered a loss due to the church offering counseling services, such as counseling, prayer ministry, or pastoral care. This type of policy is often referred to as errors and omissions insurance (E&O) and covers financial losses if the church is sued for negligence, such as harm caused by a pastor’s counsel.
Auto insurance for churches and religious organizations protects church-owned vehicles, such as 15-passenger vans and buses, against physical damage and liability in the event of an accident. This protection is essential, as it can help to reduce the cost of repairs, medical bills, and other expenses related to an accident.
Umbrella insurance provides an extra layer of protection that covers gaps in a church’s general liability policy. Essentially, it is an additional layer of financial protection in case of any lawsuits or other significant damages that are not covered by your primary insurance policy.
Umbrella insurance can cover many accidents or damages on church property, including injuries, damage, and even libel or slander. Umbrella insurance policies can also cover costs associated with legal fees, settlements, and judgments against the church that exceed the general liability policy’s limits.
Abuse and Molestation Insurance
A church may require sexual misconduct insurance to protect them in case of a claim involving physical or sexual abuse. Sexual misconduct liability insurance can provide coverage to the church for their legal expenses, settlements, and judgments in the case of a claim against a religious organization of physical or sexual abuse.
Health Insurance for Pastors and Employees
Pastors and employees of churches need health insurance to protect themselves and their families. Ministries across the US need to provide this essential health benefit to their church leaders and staff. Please request a quote from one of our licensed insurance agents, so your Bishop has their insurance needs covered.
Religious Expression Coverage
Religious expression insurance is a relatively new coverage offered by insurance companies that provide spiritual belief insurance. Churches have faced significant financial problems when sued for things they believe conflict with the beliefs of the world.
What Types of Activities are Covered by Church Liability Insurance Coverage?
Church Liability Insurance is designed to protect against various liabilities churches may face. It covers cases where third parties suffer property damage or bodily injury on the church premises or when a church is subject to legal claims of libel, slander, copyright, or trademark infringement. It also covers professional liability for advice or spiritual counsel given to the public.
Other activities covered by church Liability insurance include:
- Daycare and preschool liability
- Church-sponsored activities liability
- Computer fraud coverage
- Employee theft coverage
- Inland marine coverage
- Equipment breakdown coverage
- Stained glass window insurance
- Data Breach Insurance
- Clergy counseling professional liability insurance
- Automobile insurance
- Nursery programs
We Make Getting the Best Church Insurance Quotes Easy For Religious Organizations
Integrity Now Insurance Brokers are reliable and trustworthy church insurance agents who make getting church insurance quotes easy. Our experienced church insurance agency will work with you to provide a comprehensive and tailored church insurance package policy that meets your specific needs.
We understand the importance of protecting your church, including general liability coverage and other unique coverages a mosque must have.
With our expertise, knowledge, and highly-skilled team of church insurance professionals, we guarantee a smooth and efficient process from start to finish.
Request your church insurance quotes online or by calling one of our agents. No matter what type or size of church you have, our team can help you get the right coverage at an affordable price.