Insurances Every Church Needs

Insurances Every Church Needs

Pay Me Now or Pay Me Later. Later will be more, much more…

Some Insurance is NOT an Option

• Property Insurance• Liability Insurance• Church Directors and Officers• Errors and Omission for Counselors• Disability Insurance• Life Insurance• Worker’s Compensation• Specific Needs (may be temporary or for a certain

period• Not a complete List…

Property Insurance• Buildings• Contents• Signs• Property in the Open• Fences• Loss of Income: covered disaster• Crime Coverage

Liability Insurance

• Bodily injury or property damage for premises or operations

• Personal and advertising injury offenses-libel and slander

• Medical expense coverage included• Minister’s spiritual counseling• Violent incidents during church sponsored

activity

Liability Insurance

• Protection could include church members, employees, official, staff and volunteers acting on behalf of the church

• Optional coverages– Non-owned, hired auto– Directors, officers and trustees liability– Employment practices– Sexual misconduct– Employee benefits– Lost wages– Counselor’s Liability (licensed and fee-based)

Church Directors and Officers

• Liability covers D and O as a group• A D and O policy protected against individual

lawsuits• I have a webinar just on this subject http://

www.csbc.com/article327380.htm

Disability Insurance

• Employees of a church or convention or association of churches or an organization that operates primarily for religious purposes and is operated, supervised, controlled, or principally supported by a church or convention or association of churches are not subject to UI, ETT, and SDI but are subject to PIT withholding. Ministers who are duly ordained, commissioned, or licensed in the exercise of their ministry and members of a religious order in the exercise of duties required by such order are not subject to UI, ETT, SDI, or PIT withholding.

Disability Insurance

• Since it is not required, does the church have a responsibility to provide insurance for it’s staff?

• A better question is, “How do you provide for an employee that is disabled while serving your church?”

• What if one of your pastors has opted out of Social Security?

Life Insurance

• $50K policy group term without tax consequences: cost of doing business

• Additional coverage can be supplied at a nominal taxable fringe benefit

• Providing LI to your staff helps protect your church as well as the family

• It’s a stewardship issue

Worker’s Compensation

• It is REQUIRED by law• Can be a public agency or state compensation

board will supply it at a cost• Get your insurance agent involved: use

his/her connections

Specific Needs

• Mission trips, especially out-of-country• Camps• Special events• Large block party• Volunteers: childcare, daycare

Who Do We Insure With?

• These are not recommendations, but they are insurance companies that have a good reputation

• www.guidestone.org• www.Brotherhoodmutual.com • www.guideone.com• www.doublehonorbenefits.com

You cannot insure for everything!

You have to make choices!High Deductibles

Catastrophic Coverage

What Questions do you have for me?

Rod WiltroutCA Sent SpecialistChurch Finance Specialist(559) 256-0858 direct line(559) 287-7840 cell phonerwiltrout@csbc.com

Remember: Pay me now or pay me later. Later always costs much, much more!