From $23,000 to $80,000 a Year: Churches Face an Insurance Crisis as Storm Claims Mount

• Ashford Community Church in Houston saw its premium rise from $23,000 to $80,000
• Bethany Covenant Church in Connecticut went from $12,500 to about $73,000
• United Methodist churches in the Rio Texas Conference lost coverage in November 2023
• Major church insurers have cut back after waves of storm claims

Churches across the United States are facing soaring insurance bills or losing cover altogether, Christianity Today reported in August 2024.

Ashford Community Church in Houston saw its annual premium rise from $23,000 to $80,000. “This does not make sense. We’ve never filed a claim,” said Pastor John Parks. Bethany Covenant Church in Berlin, Connecticut, went from $12,500 to about $73,000. “It’s just a terrible market,” said Greg Pihl, chair of its finance committee. Calvary Baptist Church in Bay Shore, New York, went from under $4,000 to about $14,000.

Some churches lost coverage entirely. United Methodist churches in the Rio Texas Annual Conference lost their policies in November 2023, and churches in the Iowa Annual Conference were also affected. “We have not found a good solution. It continues to be a significant problem,” said Kevin Reed of the Rio Texas conference board of trustees. The report named Church Mutual, GuideOne and Brotherhood Mutual among insurers that had pulled back, with Church Mutual no longer offering property cover in Louisiana.

Brad Hedberg of The Rockwood Co. warned: “If small claims get filed, your coverage could be nonrenewed or your premium could go through the roof.”

The causes include more frequent severe storms and higher rebuilding costs after the pandemic. For churches, insurance is becoming one of the largest fixed costs of owning a building, and some are reconsidering whether they can keep large properties at all.

Jamaican churches, which face a hurricane season every year, should review their cover before each season, check that sums insured reflect current rebuilding costs, and invest in roofing and other improvements that reduce risk. Denominations might explore group policies or shared self-insurance funds. Being uninsured can turn one storm into the loss of a building.

Follow Jamaica Homes on Youtube @jamaicahomes and Instagram @jamaica_homes and on Facebook @jamaicahomesnews Send us a message or email us at onlinefeedback@jamaica-homes.com or editor@jamaica-homes.com