For the last 18 months, churches and religious organizations around the state of Texas have received non-renewal notices for their church insurance policy. The woes of the hail events causing property claims statewide have finally caught up with multiple church insurance companies.
Church leaders like Theodore in Belton have struggled to find property insurance with competitive rates. It has been difficult to find policy terms anywhere at times. But the good news is that insurance protection is getting easier to source even if insurance costs aren't coming down.
Theodore had heard stories from friends finding new coverage and wanted to know who these new companies are that are providing specialized coverage to Texas churches, Houses of Worship, and their related Nonprofit Organizations.
Theodore isn't alone!
Importance of Comprehensive Insurance for Texas Churches
Most church boards or elders completely understand the need to have essential coverage to protect their church. But defining adequate coverage is a bit more difficult as there is not an industry standard to clearly define it. And most people, even Theodore, find the topic of church insurance to be confusing.
Texas churches face unique risks that can result in significant financial and reputational damage if not protected properly. To do this, experienced insurance agents typically break down insurance coverage for churches into two realms, property coverage and liability coverage.
Before talking about companies would provide affordable church insurance to Theodore's church, we discussed the important role in making sure that a bad moment in time does not make sure that the future of the church is over now.
Church Property Insurance
A church property insurance policy is important for protecting a church's physical assets, including buildings and valuable possessions needed to run it day to day. In Texas, obtaining commercial property coverage has been challenging due to the frequency of wind and hail claims. It quite literally has been THE problem in the dramatic increase in the cost of church insurance.
We reminded Theodore that the goal of this coverage is to make sure that churches can rebuild or repair their property after a disaster. This prevents prolonged disruptions to their ministries and services while also relieving financial strains after natural disasters like hail storms.
Liability Coverage
A church liability insurance policy on the other hand, covers various third party risks that can put the financial future of the church at risk due to lawsuits or other claims made. In other words, it provides financial stability if something out of the ordinary happens.
Legal liability coverage can include general liability, professional liability, directors and officers liability, or sexual misconduct liability. This protection is vital to cover churches for legal actions that could arise from their activities and interactions that lead to allegations of abuse or other misdeeds.
Churches need liability coverage to manage the defense of potential lawsuits and claims effectively. The good news is that liability policies are much easier and cheaper to obtain than
Church Insurance Providers in Texas
As Theodore was now finding out, the number of insurance companies offering comprehensive policies to churches in Texas has actually been increasing. Since the first of the year there have been a handful of new companies looking to provide church coverage.
With that in mind, there are two main types of ways that churches can obtain insurance in Texas. The direct writers represent captive agents who can only present one option to churches that are in need of a church insurance policy. Alternatively, independent agents work with multiple carriers to find the best option with respect to policy terms and insurance costs.
While each solution has pros and cons when thinking about securing coverage, we believe that options when looking for coverage for churches is better.
Direct Carriers in Texas
Direct carriers like Brotherhood Mutual have dedicated agents who sell their products exclusively. While these companies offer specialized church insurance, their agents' ability to provide multiple options is limited, which can restrict the church's choices.
It's important to note that many of these companies will not offer terms to your church if your claims history is not squeaky clean. Larger church properties can find difficulty getting an offer for coverage from these companies when they reach their maximum capacity for new business at any given time.
These constraints have kept some of the direct writers from coming back into Texas. Here's looking at you Church Mutual. And if they do, it is usually just for liability coverage rather than for church buildings and other property.
Independent Insurance Agents for Churches in Texas
Independent insurance agents offer a broader range of coverage options because they work with multiple insurance companies who can be paired together to find the coverage needed to meet your unique needs. They can also work with the budget constraints of churches and work to find cost-effective solutions using different options and carriers rather than being forced to use a cookie cutter, one size fits all approach.
While you can get a better option from a direct carrier, when things aren't "perfect" having options can work well in your favor when securing insurance for churches in hail country. This was highlighted when there were so many non-renewals in Texas.
Theodore now had a better understanding of the common types of problems in the church insurance marketplace and was able to share this with his other church leaders. He now had a path to making sure that the church premises had every type of coverage that they needed for potential risks.
Working with Insurance For Texans to Get Coverage
Whether you are looking for coverage due to a non-renewal or because your church insurance rate increase made you choke, the independent agents at Insurance For Texans are here to help. We are dedicated to helping Texas churches protect themselves and their future with customized insurance plans using our True Texas Church Insurance.
Our process begins with a set of questions as well as gathering data about your church, its ministries, and the unique needs that it possesses. Working with our experienced church insurance specialists will allow all of your needs to be met. This made Theodore have a peace of mind in the process of securing coverage.
True Texas Church Insurance is committed to safeguarding the future of your Texas church. Theodore understood this process and why he needed the additional coverage options that we recommended.
Our local Independent agents speak Texan just like you, and have the ability to customize insurance plans based on your church's unique needs and ministries. True Texas Church Insurance provides customized solutions to protect each church's specific risks and requirements.
Click the button below to explore the best insurance options available for Texas churches today with True Texas Church Insurance.