Does Your Texas Church Have Adequate Water Coverage?
Bradley Hancock
Agency Owner & Commercial Insurance Advisor I Customer-Centric Insurance Solutions I Insurance for Texans, By Texans.
Every Texas church leader knows the worry of hail damage given its frequency and potential for destruction. And for good reason too. Of all the filed property claims on churches in Texas, severe weather events are the most common by a wide margin. However, for individuals like Ruth, who is a staff member focused on the finances of a church along the Red River, concerns about water damage from many sources weigh heavily on her mind. The fear of water damage, with its capacity to wreak havoc silently and more insidiously on their church property makes Ruth's stomach church with the thought of an insurance claim and all that goes with it.
Water damage claims are a significant concern for Texas churches. Behind hail it ranks high in the list of claimable events for Texas churches. But Ruth's anxiety is not just about whether her church's insurance policy covers basic water damage scenarios. It extends to the adequacy of coverage for damage from extraordinary events or extensive water damage from flooding. Stories of denied claims from insurance companies or insufficient funds for repairs due to actual cash value settlements fuel her worry about the church's preparedness for such incidents. Do you have the same worries as Ruth?
How Your Standard Church Insurance Policy Addresses A Water Loss
Church insurance policies in Texas vary significantly depending upon circumstances and the type of property insurance that your church has elected. Church property insurance coverage is defined by how it responds to your problem come claim time. This can be done from a broader open peril type policy or one that covers a mere handful of named perils. We also have to talk about conditions, exclusions and claim settlement. The diversity in what makes a "standard" policies can be confusing. As Ruth found out when looking into what their water damage coverage looked like with her church insurance specialist.
Typically, your standard church insurance policy in Texas includes coverage for accidental water leaks, such as a burst pipe, whether it is the narrow named peril policy or an open peril policy. However, the extent of coverage and specifics of the source of water damage can make the details of coverage vary widely. So how does your church insurance coverage stack up?
Sudden & Accidental Water Damage
Included in most commercial property policies is coverage for the "sudden and accidental discharge of water or steam." This encompasses a range of incidents, from plumbing leaks from a burst pipe to catastrophic appliance failures that can create a surging volume of water to flood the interior portions of your church buildings. These types of water loss pose a threat to your church property and contents which are known as business personal property on your policy. Toilets are often overlooked until they fail, and represent a common risk source under this category.
Additionally, given the broad range of temperatures over the last few years many churches are now investigating potential damage from frozen pipes during winter storms. People like Ruth want to know if this is covered by church insurance companies issuing policies in Texas. The good news is that it often is assuming reasonable preventive measures were taken prior to the leak. This can help provide some peace of mind if you live further away from the coast.
Roof Leaks
Most people see strong thunderstorms as a potential hail damage claim on their church property. However, there is another thing to be aware of when the winds pick up with those supercell storms. Property coverage can also cover water ingress due to roof damage from storms. If, for instance, a tree falls on the church roof during a storm which creates an opening through which water enters, the resulting property damage is typically going to be covered. However, it is important to obtain clarification about "Wind Driven Rain". That is when the wind lifts shingles and forces rainwater up and under your roof covering into the church building. This sort of accidental water damage may not be covered.
Complexities in Water Damage Coverage
Water coverage can get complicated when you begin to break down your church coverage into components. We've touched on two major provisions in having adequate insurance coverage for your church. But much like Ruth, you will want to dig into the details of your policy to uncover some common potential risks that you may have.
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Church policies often exclude slow leaks and gradual damage through exclusions or conditions contained in the policy. This highlights the importance of speaking with an independent insurance agent about possible additional endorsements for more comprehensive coverage. This can help you find customized plans that can meet specific needs that your church might have.
The following additional endorsements which make a lot of sense for Texas churches include:
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Water Damage Versus Flood Damage
It's vital to distinguish between water damage covered under standard church property insurance and flood damage requiring separate flood insurance. The key to these potential claims whether it is for smaller churches in the rural areas and larger churches in the city is where the water originates from as it floods your church buildings. Water that comes from an external source is usually going to be classified as flood damage. This means that you will need a separate flood insurance policy to be covered. If your church is located in Houston or a similar area, this can be a massive concern for your committee that handles church property insurance matters.
Special Considerations for Church Policies
Given how complex property insurance policies are in Texas, it's important to work with a Church insurance specialist. Your church insurance policy may limit or exclude water damage coverage based on the building's condition or history of water claims. One aspect that can help securing this coverage in these circumstances is installing water sensors to help mitigate the property damage done in the event of a leak. Not only can this help secure your church coverage, but it can also help keep your insurance costs in check as premiums continue to rise.
If you are looking for these detailed matters like Ruth, you will want to use an experienced church insurance agent who is an expert in Texas Church Insurance. They will ask questions about what your specific needs and concerns are so that they can secure you a customized comprehensive insurance package.
Get True Texas Church Insurance
If you are looking for that personalized, custom service, True Texas Church Insurance emerges as your ally. The experienced agents at Insurance For Texans provide True Texas Church Insurance which offers tailored policies that address the specific water coverage needs of churches or religious institutions just like yours. Ruth consulted with an experienced professional at Insurance For Texans to help her find that comprehensive coverage that she needed for her church. Click the button below to get True Texas Church Insurance today!