The Equipping Center have been working with a committee of experts in accounting, insurance, law, and real estate to evaluate any potential exposure to risk from liability allegations that could be levied against our network of churches.
The team has concluded that although it is impossible to safeguard ourselves from any or all legal actions that might be taken against us at some time in the future, it is prudent to insure ourselves against the inevitable potential of a liability case against one or more of our member churches.
Our insurance agent, Parkville Insurance, has recommended the following level of coverage be carried by each and every church in our network:
- General liability coverage limits of $1,000,000 per occurrence/$3,000,000 aggregate.
- Directors & Officers liability coverage with $1,000,000 per claim/$10,000,000 aggregate.
- Umbrella liability policy with $10,000,000 (each occurrence/$10,000,000 aggregate)
This coverage isn’t expensive relative to what it provides. Typically, the cost starts at around $100 per month. Coverage can be obtained through Parkville as part of the EFCSW master policy, which we have in place already as a denomination. If you prefer, your church can obtain coverage from any reputable insurance carrier that you choose to deal with.
Many of our churches already have such coverage in place. We just need to make certain that each and every church in the EFCSW network complies with these levels. Whether the church owns or leases property, you need to have liability coverage. This enables our organization to maintain appropriate risk management and insurance necessary to steward the assets that have been entrusted to us.
The Elder Board of Evangelical Friends Church Southwest adopted a policy in 2010 that requires member churches to carry these liability insurance coverage levels.
Please forward this infrastructure to whoever should be notified of this recommendation and contact our office if you have any questions or input.