Burglaries and theft account for a significant percentage of total dollar property losses. Doors are often left open at night for the congregation, and thieves can take advantage of the many secluded areas in a church, hiding until services are over and the building is empty. In addition, those most trusted in the church have perpetrated thefts. These security problems, combined with easy access to cash in the poor box, precious metals, statuary, and fine arts make religious institutions extremely vulnerable to burglary and theft losses.

Slips and falls on stairs, walkways, or parking lots represent the most common liability exposure for a church. However, the exposure is greatly magnified if the religious institution conducts carnival type events, runs a camp, school or a daycare center, or offers adult care and senior living facilities. Church-sponsored mission trips, athletic contests and field trips in church-owned buses can lead to serious injuries with resultant lawsuits. Religious institutions may also have professional liability exposure if pastoral or other counseling is provided. Sexual molestation and other abuse charges are additional liability issues that seem to bedevil churches.

More recently, some religious institutions have been faced with liability exposure arising out of concealed carry weapons laws.

Other unique exposures affecting some churches include loss of school tuition and fees, rain insurance for event cancellations, liquor liability for wedding receptions or other gatherings held on church premises, and the hiring of off-duty police officers for traffic control for church services, or even employing outside security services.

These are just some of the more typical exposures of churches. The more unique the building or the more services the religious institution provides to its members or the community, the greater the degree of danger these organizations face to loss. These dangers make religious institutions stand out as risks that call for special programs.

Special Programs

Because of the unique and varied exposures of religious institutions, ISO does not have specific products tailored to these risks. As such, in recognition of the unique exposures faced, many insurance companies have developed special programs for religious institutions that use the ISO standard forms but make certain modifications to the coverages. Other insurers draft and use their own proprietary coverage forms. There is no rule that prevents religious institutions from having insurance protection written on the ISO property and general liability coverage forms. However, there are limitations on ISO forms for such coverages as valuable papers or dwelling contents typically handled more generously on special church program policies. Furthermore, a special church policy can develop a premium that not only is affordable for the insured, but also properly reflects the loss exposure of valuable and hard to replace items such as paintings, silver, liturgical vestments, and religious documents.

Some insurance companies offer coverage for sexual misconduct liability, employment practices liability, professional/counseling acts liability, directors and officers or other coverages to cover the unique exposures of the religious institution.

Religious institutions have not been immune to legal ramifications associated with church or faith-based programs or events, and today churches are sued just like any other organization. They have become increasingly susceptible to lawsuits and claims for false accusations or inappropriate behavior. These institutions should consider transferring the risk of loss to an insurance company that specializes in protecting churches, schools, and their officers and directors. It is best to contact a good insurance broker who understands religious or other non-profit operations.

Loss Control

Like any property exposure, churches can take steps to help avoid or mitigate potential losses. The following are just a sample of steps a church can take towards taking care of the property and the congregants. Church councils change personnel regularly, so there should be someone appointed to monitor the insurance coverage, preferably someone in the industry who can help the council understand the church's needs.

It is important that the value of the church and contents be up to date. Churches often receive gifts of artwork, hangings, linens, brass and other items from congregants that may have significant value. While arduous, an inventory of the property is a good idea. Just how many hymnals, bibles, robes, hangings, communion trays and other property does the church have? It's virtually impossible for the congregation to make such a list after a significant loss.

There should be a procedure for keeping funds on premises in a secure location; a small safe or at least in a locked drawer that only certain members know about and have access to. Access to the church should be controlled. While it is important for people to have access, particularly for services and events, if only certain doors are open at certain times it can help reduce the risk or burglary or harm to members.

Ushers can be tasked with walking the hallways during service to ensure that no one has wandered into empty areas of the church, and a member should also walk through a few times while classes are in session.

A safety plan is also recommended for a variety of situations. If a fire breaks out during a service, an evacuation plan that the members know can keep the members safe from harm. A plan for sudden weather phenomena such as tornadoes is advisable, as is a procedure if an armed person enters with the intent of causing mayhem. The more prepared the congregation is the more loss can be avoided.

Snow and ice removal is important as well, especially ice since a walkway may become slick with ice without a significant weather event that would cancel services. Is someone tasked with spreading salt when the church opens? An elderly member may be the one who opens the doors on Sunday mornings, but that person may not be able to wrangle a bag of salt and distribute it on the walkways.