Last week, Catholic Church Insurance announced it’s winding down its operations after failing to secure the regulatory capital funding requirements. Therefore, they will cease to issue or renew insurance policies for the Catholic Churches they serve.
Proclaimed as one of Australia’s oldest insurance companies, the closure of Catholic Church Insurance may leave churches across Australia without adequate insurance and increase their exposure to risk while they find a new insurer.
However, all is not lost. The closure heralds the opportunity for religious organisations to review their existing insurance programs. It’s a chance to explore the market for insurance solutions that may better suit their specific needs.
So, for churches affected by the change, here are 5 ways insurance brokers (otherwise known as insurance advisers) can provide professional risk and insurance advice to support the transition to an appropriate insurer.
5 ways Insurance Brokers can help:
1. Gain Clarity on Risk
While Catholic Church Insurance winds down there may be time to take stock. Talk to your insurance broker and ask them to evaluate your risk exposure against your current insurance program.
It will help you to better understand your risk appetite and whether your existing program meets your needs. You can decide which risks to keep, mitigate or transfer to insurance.
2. Gather Accurate Valuations
With a move to another insurer, it’s a good time to gain accurate valuations. With accurate asset insurance replacement valuations, insurers can underwrite your risks with greater accuracy.
Your insurance broker can signpost you to the most appropriate and certified insurance assessors.
3. Update Business Continuity Plans
Clarity on risk exposure will help you to ensure you have appropriate plans in place to keep operating. Whether it’s an IT breach, weather event or other claimable event, a business continuity plan will ensure you know what to do and who to contact to keep servicing your community’s and congregation’s needs.
4. Build Insurance Programs That Meet Specific Needs
Insurance brokers are experts in risk and insurance advice. In fact, they understand which types of insurance a Catholic Church or other religious organisations need and can advise on the most appropriate risk and insurance program for your needs.
Your broker will work with you to evaluate your business risks and advise on the insurance solutions available. Their advice can help you decide which risks to transfer to insurance.
5. Ongoing Advice and Claims Support
Insurance is a contract, like any other. Therefore, there are duties to declare potential claims and changes in circumstances. Changes could include contracts, events, youth programs, community outreach programs, fundraisers, new assets and more.
Your broker will act on your behalf by advising your insurers when you notify them of changes. Additionally, they can explain any impact your future plans may have on your insurance. For example, you may need an additional policy if your activities are not covered by your policy.
In the event of a claim, your broker can advise on what to prepare and negotiate with insurers on your behalf.
Does your religious organisation need advice on transferring to a new insurer?
Clear Insurance offers a risk and insurance review on a fee-for-service basis. The review will assess your existing insurance program against your risk appetite and provide clear recommendations to help guide your next steps.
Contact our team today for a chat.