December 16, 2015
Think about your ministry’s board members and administrators: the work they do is important to your organization, and they are often volunteers with other full-time jobs. Did you know these board members could face personal liability and financial damages as a results of unjust leadership actions?
Sometimes ministry directors find themselves in situations where they have failed to maintain adequate financial records or exceeded the authority granted by the church’s bylaws. Circumstances like these make it important to consider Directors and Officers liability coverage (D&O) to protect your organization’s board members, administrators, trustees, directors, and officers.
D&O coverage helps protect the personal assets of your ministry’s leaders in the event that they or your ministry become obligated to pay financial damages as the result of wrongful leadership decisions or activities. Depending on the insurance provider, this coverage also includes a limited amount of defense funds for your ministry to use to mount a defense in the event you are sued. Some policies include spouses of ministry leaders when they are engaged in ministry activities.
Insurance policies usually define a director or officer as a leader, specifically serving as a board member, administrator, director, officer, or trustee, and acting within the scope of the leadership authority granted by the bylaws of an organization.
This coverage protects directors and officers when they are held personally liable for financial damages that result from their actions as board members. These damages must result from the failure of leaders to perform their duties in a proper way.
D&O provides defense funds to refute a claim or to prove immunity under the law. Even if your state has legislation protecting nonprofit directors and officers from lawsuits, you still may need D&O insurance. In some cases, the statutes specify activities for which immunity is intended, but they typically don’t protect the organization. With D&O coverage, the organization is protected in relation to covered financial damage claims.
Individuals in directors and officers positions are a vital part of any ministry. They need to be protected in unforeseen circumstances, making it especially important to consider the benefits of D&O liability coverage. Other aspects of your ministry are protected by insurance, why shouldn’t directors and officers be protected, too?
On behalf of our agency, I recently participated in one such training which focused on strategies and tactics for responding as a single officer to an active safety threat in a school building.
If you’re anything like me (and maybe the rest of the world for that matter), you’re grateful to put the craziness of the past year behind us.
Preparing for this Christmas season may require additional creativity, due to the uncertainty of what COVID-19 may bring in our local community.
A mid-November deadline in the Boy Scouts of America’s (BSA) bankruptcy proceedings may have you wondering what the organization’s bankruptcy filing means for your ministry if you ever hosted or chartered Boy Scout Troops.
On October 10, 2020, in Denver, Colorado, a 30-year-old private security guard who was hired to protect a Denver news crew while covering protests was involved in a deadly shooting that claimed the life of a 49-year-old man.
Organizations that obtained Paycheck Protection Program (PPP) funding through the CARES Act can have their loans forgiven, turning them into grants. To qualify, each borrower must file a forgiveness application with its PPP lender, proving that it followed the rules. If your church, school, college, or camp meets all the criteria, 100% of its loan can be forgiven.
Lessons learned from the front line of a wildland fire.
Four major wildfires are burning across Colorado, fueled by dry vegetation, drought and wind.
Ministries are creatively scrambling to continue their operations and safely engage their congregations with an array of online technologies during the coronavirus pandemic. Unfortunately, hackers are ready to take advantage of the confusion with scams designed to steal valuable data or siphon funds from your ministry. Learn how to keep your ministry safe from scams.
Learn about the CARES Act and two loans for which ministries may be eligible, since Congress authorized additional funding April 23.
As concern over the dangers associated with the spread of a new coronavirus, COVID-19, spreads, our agency and Brotherhood Mutual want to keep you informed and provide best practices for managing the spread of this and similar illnesses at your ministry.
The first Sunday in February is a big day for sports fans. In fact, many Americans view Super Bowl Sunday as a national holiday. Friends and families will gather this year to watch the big game, enjoy delicious snacks, and of course, critique the commercials that go along with game day.
Recently, we learned about two major overseas incidents involving pastors on mission trips. The first incident involved a pastor being hit by a motorcycle while running. The second was a bus accident involving two pastors. The runner and one of the two bus passengers sustained extensive injuries.
Last month, the IRS announced that its initiating hundreds of church exams to test compliance with the Affordable Care Act (ACA). While many provisions only apply to churches with 50 or more full-time equivalent employees (FTEs), even smaller churches could potentially violate provisions applicable to health benefit plans with as few as 2 plan participants.
On Tuesday, August 15, 2019, a record-breaking hailstorm struck multiple areas throughout the state of Colorado.
July 4th is synonymous with food, fun, and fireworks. If your church is planning an event this Independence Day, remember to keep a focus on safety, so that everyone can have fun.
National Insurance Awareness Day falls on June 28 this year to remind people everywhere that insurance is vital to their companies and ministries.
Summertime across the country means barbecues, carnivals, sporting events, boating, hitting the beach and many other recreational activities. In short, summertime means a lot more people are spending time in the great outdoors. But summer is also the peak season for one of the nation's deadliest weather phenomena--lightning.
According to the National Oceanic Atmospheric Administration (NOAA), hail causes about $1 billion in damage to crops and property each year. Prepare your ministry and people for hail this season.
More than 700 confirmed cases of measles have been reported in the United States so far this year, making this outbreak the worst in decades.