This document summarizes an annual insurance and risk management workshop for the Anglican Diocese of Toronto. Representatives from Marsh Canada and Ecclesiastical Insurance will present on topics including insurance contracts, property insurance, adequately insuring properties, vacant properties, agreements and risk management reports, user group policies, and value added services. Ecclesiastical will also present on claims statistics, property claims mitigation, and loss control services to prevent and reduce losses. The agenda includes discussions of insurance coverage, policy requirements, claims reporting procedures, and recommendations from property inspections.

1. Welcome To The Annual Anglican Diocese Of Toronto,
Parish administration Workshop
Insurance and Risk Management
March 8, 2014 – Trent Durham
Suzy Furlan
Marsh Canada
Dan Paulikot
Ecclesiastical Insurance

2. MARSH 2
Agenda
Marsh to present:
• Service Team; Partners In Protection
• Insurance Contract
• Property Insurance
• Adequately Insured
• Vacant Property
• Agreements and Risk Management Reports
• User Group Policies
• Value Added Services
Ecclesiastical to present:
• Claims
- Statistics – Property Claims
- Leading Indicators
• Loss Control
- Services Provided
- Mitigating/Preventing losses

3. MARSH
CLIENT
REPRESENTATIVE
RISK PLACEMENT
SERVICE
Lyne Erwin
416-868-8881
lyne.erwin@marsh.com
Effie Paraskevakos
416-349-4389
effie.paraskevakos@marsh.com
SENIOR RELATIONSHIP
OFFICER
Claims Reporting
Ecclesiastical
CLIENT EXECUTIVE
Suzy Furlan
416-349-6639
suzy.furlan@marsh.com
Manish Bissa
416-349-4790
manish.bissa@marsh.com
INSURANCE ASSISTANT
Stephanie MacDonald
416-349-4885
stephanie.macdonald@marsh.com
CLIENT
REPRESENTATIVE
Carl Murray
416-349-4721
carl.murray@marsh.com
Anglican
Diocese of
Toronto
Elizabeth Hardy
Parishes
Nick Brigis – Parishes
Email: nbrigis@eccles-ins.com
Tel: 416-484-3970
Bryan Floras
416-349-4399
bryan.floras@marsh.com
Service Team
CLAIMS ADVOCATE
Art Ruston
416-868-8899
arthur.ruston@marsh.com
3

4. MARSH 4
Partners In Protection
Marsh Ecclesiastical Northbridge All Sports (Lloyd’s)
Broker Insurer (Package)
Property
Commercial General Liability
Abuse
Directors’ & Officers”
Insurer
Umbrella Liability
Insurer
(Third Parties)
Indemnifies, Pays for
damages
Where does the parish
report claims
Who does the parish
call with day to day
questions/ concerns *
Who negotiates
competitive coverage
and pricing
Who can the parish call
for insurance documents
(Certificates, policy, etc.)

5. MARSH 5
Who forms part of the Insurance Contract?
Contract or Insurance Policy
First Party:
Insured or Parishes
Second Party:
Insurer or Insurance Company
Third Party:
If accident, injury or loss is to someone else

6. Property Insurance

7. MARSH 7
Principal Perils
Property Insurance
Typically covers property, owned and leased, against a broad range of
perils.
Property Covered
Flood Windstorm Fire Lightning
Building Contents Equipment Property of Others

8. MARSH 8
Policy Forms
• Provides financial protection against the loss or damage to real or personal property covered
by an insured peril.
• Your policy is written on a Broad Form Basis
– “All Risks” of direct physical loss or damage unless otherwise excluded
Property Excluded includes, but not limited to,
 Vacant Property, if not reported within 120 days of being vacant
 Automobiles
 Property illegally acquired
Perils Excluded includes but not limited to, damage caused by
 Seepage*
 Insects, rodents, vermin*
 Settling, expansion, contraction, moving, shifting or cracking*
* Unless caused by or resulting from a peril not excluded
• Property of Every Description as reported by church on Statement of Values.

9. MARSH 9
Adequately Insured?
Property:
How do you determine the insurance limit for your churches’ property
•Local contractor’s estimate
•Professional building appraisal
•Keep track of renovations, building additions, improvements
•Why is it important to insure to the full replacement value?
Liability:
You can transfer and/ or mitigate your risk by:
•Requesting a Certificate of Insurance from 3rd
parties (using/ renting your property)
•Following Sexual Misconduct Policy
•Hiring qualified contractors

10. MARSH 10
Vacant Properties
Definitions:
Vacant: Not occupied and without contents
Unoccupied: Not inhabited, unused or shut
down
Named Perils: Includes (as further defined in the
policy wording)
I. Fire or Lightning
II. Explosion
III. Impact by Aircraft, Spacecraft or
Land Vehicle
IV. Riot, Vandalism or Malicious Acts
V. Smoke
VI.Leakage from Fire Protective Equipment
VII. Windstorm or Hail
Church:_______________ Certificate No.:____________
Location No:_____
Name of Location:
_________________________________________________
Occupancy (church, rectory, etc.):
_____________________________________
Date Location Became Vacant/Unoccupied:
_______________________________________________________
Anticipated Duration of Vacancy/Unoccupancy:
_______________________________________________________
Reason for Vacancy/Unoccupancy:
_______________________________________________________
Perils Insured (please check one):
□ “All Risks” – if this option is chosen, property
rate/premium will double
□ Named Perils
Vacant/Unoccupied Location Reporting Form
COMPLETION OF THIS FORM IS NOT REQUIRED FOR SEASONAL PROPERTIES
Your policy contains a provision which states that a location is allowed to be vacant or unoccupied up to 120 days. NO COVERAGE after
120 days unless vacancy questionnaire received and approved by Ecclesiastical Insurance Office. It is therefore imperative that you report
all vacant/unoccupied locations to Marsh immediately after the location has become vacant or unoccupied to allow sufficient time for the
Marsh to arrange the appropriate coverage.Please report all vacant/unoccupied properties by completion of this form.
PLEASE COMPLETE THE ATTACHED QUESTIONNAIRE & RETURN BOTH THIS REPORTING FORM & THE QUESTIONNAIRE TO
MARSH

11. MARSH 11
Contact your broker to report that the building is vacant/unoccupied
and confirm effective date of vacancy.
Locations in Urban/Rural Areas
• Is heat maintained above 10 C for all parts of building, 24 hours per day during the heating season? Yes No
• Is water shut off? (Drain pipes, toilet tanks and bowls, radiators and piping and water heater) Yes No
• Is hot water heater turned off? Yes No
• Is the premises checked every 72 hours?
Note: Keep a written log recording the date and time the building was checked and any action taken.
Yes No
• If water is left on due to heating requirements, is property checked every 24 hours?
Note: Some heating systems require water and therefore water cannot be shut off during the heating season in these circumstances.
Yes No
• Is snow/ice removed from walkways and driveways leading to the building?
Is the area salted and sanded?
Yes No
Yes No
Locations in Remote Areas (a location is considered to be in a remote area if it is located more than 10 km from the boundary of the closest town, village or city, or if it is
inaccessible during certain times of the year)
• Is the premises checked once a week?
Keep a written log recording the date and time the building was checked and any action taken.
Yes No
• Are the windows boarded and doors locked? Yes No
• Is heat shut off? (Drain rads and piping if heat is hot water radiator heating) Yes No
• Is water shut off? (Drain pipes, toilet tanks and bowls, radiators and piping and water heater) Yes No
• Is hot water heater turned off? Yes No
Other Steps to Consider to Safeguard Your Property
Designate a person to be responsible for checking the building and conducting regular maintenance as follows:
□ Premises should be kept free of debris and combustible materials (e.g. Gas for lawnmower) removed.
□ Ensure that all doors are locked and dead-bolted and that all windows are closed and locked.
□ Ensure that timers are set to turn lights on/off on the inside/outside of the building or have someone alternate the front/back door lights to give the impression that the
building is occupied.
□ Ensure that security and fire alarm systems are operational
□ Remove mail and advertisements. Have mail cancelled or re-routed.
Vacant/Unoccupied Building Questionnaire
THIS QUESTIONNAIRE DOES NOT APPLY TO SEASONAL PROPERTIES
Requirements for the Care and Protection of Vacant/Unoccupied Buildings
In the event of a loss, ensure that the incident is immediately reported to Ecclesiastical Insurance at 416-484-4555 or through our
after-hours claims number at 1-888-693-2253 (1-888-MyEccle).
Vacant Properties

12. MARSH 12
Vacant Properties
• Vacancy/Unoccupied Defined:
– Vacancy is not occupied and without contents
– Unoccupied is similar to vacant but allows for contents to be inside.
Concerns:
– Vandalism
– Fire
– Water Damage
• Requirements for Vacancy:
– Notify Marsh immediately
– Complete Ecclesiastical Vacancy Questionnaire and Reporting Form.
• Only 120 days Permission – if not reported NO Cover.

13. MARSH 13
Agreements/ Risk Management Reports
Agreements
When should parishes engage Marsh in their Agreement?
• Effective inception
• Volunteers should not be acting as contractors
• Contractors should be hired based on expertise and qualification for project.
Risk Management/ Property Valuations
What is it? – A report offering dedicated health and safety and risk management
services as well a building valuation specifically for individual churches.
• Conducted by Ecclesiastical at no addition fee or premium
• Building valuation is based on replacement cost and not market valuation
• Recommendations
• Requirements

14. MARSH 14
User Group Policies
What is this policy for:
• Responds to damages resulting from bodily injury or property damage arising
from the activities of the individual or group user conducted on the premises of
the church
Who should purchase this policy?
• Third Party (User Groups or Individuals) renting or using church property
Why should I ask Third Parties using church property for this policy?
• Best Practices and it is mandated by the Diocese (please refer to licensing
agreements on the Diocesan website).
• If Third Parties do not purchase a Liability policy, church’s policy may respond.
Where would a third party apply for this policy?
• On line at www.marsh.ca/CUG-AnglicanToronto

15. MARSH 15
Value Added Services – At No Additional Cost to the Parishes
Marsh
 Risk Awareness Bulletins: Sewer Pumps; Event Risks; Winter Events,
copies included in Appendix A
 Claims Advocacy – Art Ruston dedicated Claims Consultant
 Insurance Contract Reviews
Ecclesiastical
 Risk Management/ Property Valuation Reports
 ProfessionalAssist: Consellors who offer advice on matters of health,
safety, employment disputes 1-888-325-4633
 LegalConnex: Lawyers who offer advice on matters such as taxes,
compliance, real estate, employment issues as it relates to your
organization 1-866-263-0256

16. Claims

17. MARSH 17May 5, 2014
Claims Statistics as at January 31, 2013
- 237 Churches in the Diocese of Toronto
- Average # of all Claims per Year = 42
- Loss Ratio – All Lines (does not include abuse)
- 1 year = 53%
- 5 year = 98%
- 2013 - High Number of Weather Related claims
- Toronto had largest “cat” in history - July, 2013 - $850MM
- 55 claims reported, 65% weather related
- water damage, sewer back-up, lightning, wind
- 2009 – All Saints, Arson - $5 MM to repair

18. MARSH 18May 5, 2014
Claims Statistics … (cont’d)
• Highest Number of Claims
- water damage
- sewer back-up
- wind damage
- vandalism
• Severity
- fire/arson
- water damage
- sewer back-up

19. MARSH 19
Property Claims - Mitigating/Preventing Claims
• Third Party Users
– damage your property
• Vacant Properties
– at higher risk for a claim
• Property Maintenance
(including rectory/cemetery)
– water damage
– sewer back-up
– wind damage
– Lightning
– fire
• Insuring to Value
– Property Coverage only attached to locations listed on the policy

20. MARSH 20May 5, 2014
Property Claims - Leading Indicators
• Aging infrastructure
• Environmental - Unpredictable weather patterns
• Aging buildings
• New Construction
• Parts manufactured world-wide
• Volunteers

21. MARSH 21May 5, 2014
Property Claims - Leading Indicators

22. MARSH
Can You Spot What is Wrong in this Photo?
22May 5, 2014

23. MARSH 23
• Prompt reporting of a claim can assist in protecting the property and expediting
a claim. Contact Ecclesiastical with:
– All known Information to support claim
– Physical evidence
– Witnesses
• Ecclesiastical can assist by providing access to professionals to
mitigate/manage claim
• Claims are to be reported directly to Ecclesiastical
• Phone: 1-888-693-2253 or Fax at 416-484-6352
email: claimsservices@eccles-ins.com
Claim Reporting

24. Loss Control

25. MARSH 25
Purpose of Loss Control & Valuations
• Number of Inspections – over 140 completed to date
• Top 5 overall property recommendations
– Prevent water damage
– Fire protection
– Security
– Management Systems
– Housekeeping

26. MARSH 26
Low Cost, No Cost Recommendations
• Ensure location of water shut off valves are known
• Direct water away from buildings
• Daily checklist upon closure of church
• Better key control system needed
• Fire Extinguisher use training required
• Accident reporting procedures lacking
• Combustible storage
• Conduct fire drills
• Winter – clear snow/salt and record when completed

27. MARSH 27May 5, 2014
Higher Cost – But Still A Good Idea
•Roof Repair / Replacement and Check Roof Drains
•Sewer Backflow Prevention
•Sump Pump Alarm
•Outsourcing to Contractors
•Asbestos Audit
•Balcony Railing Height
•Kitchen Range Filter and Duct Cleaning

28. MARSH 28
Can You Spot What Is Wrong in this Photo?

29. MARSH 29
Can You Spot What is Wrong in this Photo?

30. Appendix A

31. MARSH 31May 5, 2014

32. MARSH 32May 5, 2014

33. MARSH 33May 5, 2014

34. MARSH 34May 5, 2014

35. MARSH 35May 5, 2014

36. MARSH 36May 5, 2014

37. Handout

38. MARSH 38May 5, 2014
Summary of Coverage

39. MARSH 39May 5, 2014
Umbrella: • Provides excess insurance over General Liability Policy (except as excluded)
o Excludes Abuse Liability
o Excludes Errors & Omissions Liability
o Excludes Directors & Officers Liability
• Limit of Liability - $5,000,000 per occurrence
Abuse: • Covers liability arising out or resulting from actual or threatened “abuse” (except as excluded)
• Limit of Liability $2,000,000 per Occurrence and Aggregate.
o Option to increase limit to either $3,000,000 or $5,000,000
• Occurrence Form: Coverage is triggered at the time the insured caused the injury. These claims must be reported during that policy term.
• Retain copies current and historical Commercial General Liability/Umbrella and any excess liability policies
Crime: • Covers loss of money, securities and other property as follows:
o $75,000 – Employee Dishonesty
• (Loss of money or other property caused by fraudulent/dishonest acts of an employee).
o $25,000 Money Coverage (Inside, Outside and In Transit)
o $25,000 Incoming Cheque Forgery
o $25,000 Third Party Computer Theft and Fund Transfer Fraud
o $1,000 Theft From Donation Boxes
D&O: • Who is an Insured:
o Directors, officers (Churchwardens and Incumbents), volunteers, employees of the Diocese.
• What is Covered:
o Actual or alleged breach of duty, neglect, error or misrepresentation.
• Limits of Liability
o $2,000,000 per claim/aggregate with option to increase to $3,000,000 or $5,000,000
• Claims Made Policy
o Coverage will respond to incidents arising and reported during the current policy term. Full Prior Acts.
Summary of Coverage

40. Thank You!
Any Questions?

41. This document and any recommendations, analysis, or advice provided by Marsh (collectively, the “Marsh Analysis”) are intended solely for the entity identified as the recipient herein (“you”).
This document contains proprietary, confidential information of Marsh and may not be shared with any third party, including other insurance producers, without Marsh’s prior written consent.
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accounting, tax, or legal advice, for which you should consult your own professional advisors. Any modeling, analytics, or projections are subject to inherent uncertainty, and the Marsh Analysis
could be materially affected if any underlying assumptions, conditions, information, or factors are inaccurate or incomplete or should change. The information contained herein is based on
sources we believe reliable, but we make no representation or warranty as to its accuracy. Except as may be set forth in an agreement between you and Marsh, Marsh shall have no obligation
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