If You Build It, Risks Will Come
August 3, 2016
Any renovation, construction, or addition project at your church introduces new liability risks. Before engaging in any project, determine whether your ministry, a contractor, or some other party is taking responsibility for these risks, secure documented evidence of this arrangement, and make certain that all insurance policies involved provide adequate coverage.
Contractors
If your ministry hires a contractor, make sure he provides his own insurance coverage. Never use uninsured subcontractors. Ask your contractor to provide a certificate of insurance indicating that he has workers’ compensation, general liability, and automobile insurance. This document should include policy numbers, limits, and terms.
Either you or your contractor must provide workers’ compensation. If your subcontractor does not carry workers’ compensation, then you, as the project owner, can be held responsible for work-related injuries to your contractor’s employees.
Ask your contractor to name your organization as an additional insured on his company’s liability certificate of insurance. Require liability limits of at least $1 million. If your contractor is providing builder’s risk coverage, ask him to indicate it on the property certificate of insurance. Secure a copy of the policy for your records.
Make sure the construction contract contains an indemnification provision, requiring the contractor to compensate your ministry for any injury, loss, or damage he or she causes your organization.
Volunteer labor
If your ministry wants to use volunteer or donated labor to complete your construction project, consider the risks. If one of your volunteers is injured, typical insurance policies provide no workers’ compensation and only a limited medical benefit, usually between $500 and $5,000. Inform your volunteers that if they are injured on the job, they will be responsible for their own medical expenses after primary medical coverage is exhausted.
You should fully explore this before deciding to undertake the work yourself. Often, after the workers’ compensation premium is factored in, many churches find it more cost-effective to enlist professionals rather than volunteers to complete the work.
Before breaking ground on your ministry’s next building project, carefully consider the insurance and liability ramifications.
- January 24, 2023
- Wind and Hail – Deductible Buyback
-
- January 24, 2023
- Common Questions About Our Agency
-
- January 24, 2023
- Coming to your area in 2023
-
- January 24, 2023
- Kingdom Advancing Grant
-
- January 24, 2023
- ACG Retreat in Kansas City
-
- January 9, 2023
- Better Achieve Your Mission in 2023
-
- November 18, 2022
- Our Team is Growing, Again!
- November 10, 2022
- We Want To Hear From You!
-
-
There are a lot of hats worn in any growing ministry – and we want to serve every one of them.
- November 10, 2022
- Evaluate Your Ministry's Fire Safety Plan
-
-
With the holiday season right around the corner, it’s wise for ministries to evaluate their fire safety plan. Whether your ministry is hosting a holiday party, prepping treats for charity, or running a community kitchen, make sure you’re well-prepared with these tips.
- November 10, 2022
- Holiday Season Safety & Security: 3 Things to Plan Before Christmas
-
-
The holidays present unique opportunities and challenges for churches that aren’t typical during other times of the year. A lot of the ministries that I work with are seeing steady increases in attendance and are praying for a significant jump in Christmas service participation this year.
- October 26, 2022
- October 2022 Blog: What is a 403(B)(9) Retirement Plan?
-
-
In this article, Brad Brown from Plan A Wealth Management gives a wonderful insight into why ministries might consider choosing a 403(B)(9) retirement plan.
- September 21, 2022
- Inflation's Major Impact on Ministries
-
- September 21, 2022
- Report Reveals How Students are Feeling About Their Safety at School
-
- September 21, 2022
- Top 10 Requested Forms
-
- September 9, 2022
- School is Back in Session
-
-
As school is back in session, it’s important to make sure your school is equipped with the correct safety procedures. Thinking about your school’s physical security as a series of layers can help you find gaps in your plan. Transportation and volunteers are just two important aspects of your school safety plan to think about.
- August 17, 2022
- Uvalde School Shooting Causes Ministries to Question Their Preparedness
-
-
If there is one thing I have learned over the last decade while working private security and as a sworn peace officer, the more critical the incident, the more likely change will come out of it. Much like a pendulum, an incident occurs, and everyone cries for change.
- August 17, 2022
- Next Generation LEDs Performance, well beyond expectations
-
-
Updating the lighting in your worship center with LED can offer significant energy savings while improving overall lighting performance.
- August 17, 2022
- Our Team is Growing!
-
-
We are so excited to welcome the newest member of the American Church Group of Colorado team, Lyndsie Glowinski.
- August 17, 2022
- Does Your Ministry Need Cyber Insurance?
-
-
Churches are increasingly becoming targets for cyber criminals. The most common attack is by sending “phishing” emails where the perpetrator poses as someone familiar to the ministry staff (like a senior pastor, deacon, elder, or someone trustworthy) and requests some sort of response.
- July 15, 2022
- Shepherding Ministries in a Time of Change
-
-
Anyone who turns on the news, flips through a magazine, or browses the web can see that American society and culture are experiencing rapid transitions. Some ministries have valid concerns that issues surrounding societal shifts may expose them to negative publicity, governmental scrutiny, or litigation.
The questions become: when and how can ministries operate within their deeply held religious beliefs when they may conflict with others’ rights?