is there more to risk management than prayer?. david ellison acii insurance account executive...

Is there more to

RISK MANAGEMENT

than

PRAYER?

David Ellison ACIIInsurance Account Executive

Kingdom Bank

• Role of the Risk Manager

• Tools for the Risk Manager

• Risk takers for the Kingdom

Role of the Risk Manager

• To identify and manage the exposure to risk

• Risk averse or Risk taker?

• Holistic risks

Role of the Risk Manager

• Evaluation of Risk

• What is the Likelihood?

• What is the anticipated Severity?

EvaluationLi

kelih

ood

Severity

Tools of the Risk Manager

• Prayer• Insurance• Risk Assessments• Legislation• Leaders and Trustees• Internet

Tools - Insurance

• Wasted premiums!• Effects of under-insurance• Unoccupied premises• Limits of indemnity• Non disclosure

Insurance

Wasted premiums?

• Review of All Risks schedule

• Compliance with policy conditions

Insurance

Under insurance

What is the estimated rebuild of this church?

Insurance

£ 100,000£ 500,000£ 800,000£1,300,000£1,800,000

What is the estimated rebuild of this church?

Insurance

£ 100,000£ 500,000£ 800,000£1,300,000 £1,800,000

What is the estimated rebuild of this church?

Insurance

Rebuild£1.3M

Sum Insured£800,000

69%

31%SELF

INSURED

Insurance

Claim£50,000

£500 excess

Insurer£34,115 £15,885

SELF INSURED

Insurance

Unoccupied propertiesNot attractive to insurers!

Tell a good story

Restricted cover (FLEA)High cost

Policy conditions

Insurance

Limits of indemnity

How long is a piece of string?

Employers LiabilityPublic LiabilityProfessional IndemnityTrustees Indemnity

Insurance

Non disclosure

A Material Fact has been defined as “any fact that may influence the judgement of a prudent insurer in deciding whether to accept a risk and if so, on what terms and conditions and at what premium level.”

Inception Mid Term Renewal

Fireworks

Tools – Risk Assessments

Consider “harmed” as not just injuryEg financial losses to the church

Tools – Legislation

• Guidance

Tools – Internet

• Health & Safety Executive

• Insurers– Ansvar Insurance– Baptist Insurance– Congregational & General (www.spow.co.uk)– Ecclesiastical Insurance– Methodist Insurance

Risk Takers

“……. I hope that we will be adventurous, take more risks and above all, be Kingdom possibility thinkers!”

Rev Lynn GreenGeneral Secretary, BUGB

Is there more to

RISK MANAGEMENT

than

PRAYER?