Administrator's Corner

Reflection: After the Storm Here Come the Claims

Introduction and Recommendations on Church Insurance
In light of the recent Hurricane Matthew, this week's Administrator Corner is dedicated to information and recommendations around church insur ance policies and procedures. It is often in the aftermath of a storm that an organization is faced with the details and reality of its insurance policies. However, it's important that clergy, vestries, and church administrators become familiar with their policies and refresh their knowledge on an annual basis. A solid understanding of your coverage is an important factor in a disaster preparedness plan and even in annual budget planning.

• Work with your vestry to put together a disaster preparedness plan. If you need assistance, please reach out to our disaster coordinators the Rev. Charles Todd and the Rev. Parker.
• Create photo and video logs of all core buildings and property and place on the cloud in an accessible location.
• Review your policies on an annual basis during renewal time, there are specific clauses and valuations that change on an annual basis
• Determine if you have the capacity to set up a building reserve fund to financially prepare for deductibles and out of pocket costs associated with storm and other forms of insurance needs. Deductibles are determined often times by the type and cause of the claim.  

If your property is damaged: 

• If your church has suffered damage from the storm, please document immediately with photography and video. Do not take action until the damage is documented for record purposes.
• Make a call to the Church Pension Group (CPG) Claims Department as soon as possible to open a claim number. This permits CPG to schedule a claims adjuster to come on site through third parties, and as appointments are set on a "first come first served" basis, it is important to move quickly. (800) 223-5705

• Once a hurricane is named, any property damage for a coastal church is covered by the hurricane clause. Depending on the proximity to the coast and the policy set with the insurance company, the new model is a % deductible against the value of the property, as opposed to a set deductible cost. This is a similar model for flooding damage. For example: a 5% deductible calculation would mean that Building A valued at $100,000 would have a $5000 deductible and Building B valued at $400,000 would have a $20,000 deductible. 
• Tree removal (through CPG) is 100% covered if it affects the building and structures covered under the insurance policy. If the tree has fallen on the grounds and not affected any buildings or structures, it is not covered by the insurance. Unlike scheduling contractors for building repair when it is necessary to have an adjuster scheduled first, tree removal can be scheduled before an adjuster is scheduled. You must document the damage first through photos or videos. 

When scheduling contractors, make sure they are licensed with the city and do not accept contractors who are asking for 100% funds up front. This is a period of time when storm chasers often scam damaged properties.

Resources:  

• The master Church Insurance Vermont property policy through Pinnacle Insurance is housed at Diocesan House. If you have questions, in addition to the annual documentation that Church Insurance Vermont provides you, please schedule time to speak with me or our insurance representative.
• Additional coverage provided through the standard property/casualty insurance includes: blanket building, flood, acts of terrorism, commercial liability, personal injury, earthquake, sexual misconduct, employee benefits liability, and many more.
• Please go here for more information.