In March, we brace for impact.

An organisation as large as the Adventist Church has an extensive and deeply complex insurance program to protect the assets, ministries and the many and varied activities of the Church.

Overseeing the Church’s insurance program within the South Pacific Division is us, Risk Management Service. Risk Management Service, or RMS as we’re known, is a dedicated service department of the Seventh-day Adventist Church that has formally operated and served the Church since 1972. It is a genuinely rewarding and impactful mission that all nine team members, and seven Board members are passionate about.

This year is our 50th anniversary of operation – a moment we would normally seek to celebrate if not for the huge challenges we currently face and that we humbly ask for your prayers over.

Allow us to explain…

Over the last several years, insurers have experienced significant losses from natural catastrophic perils. Additionally, they have faced poor investment returns, increased costs of reinsurance and claims inflation. As a result, last year’s renewal was characterised by higher premium prices, with insurers decreasing capacity, coverage, limits, and sub-limits. They also hardened some terms and conditions, changed natural peril sub-limits and offered no option of premium relief for imposed higher deductibles or excesses.

So, it is with a heavy heart that we advise that the outlook for the coming insurance renewal period is no less bleak.

By the end of March, we normally have a good picture of what costs and terms look like for the coming period. And, after several long months of negotiation we are again faced with an extremely difficult renewal, so we’ve requested a short extension due to the complexity of this renewal. So we ask for your prayers over the coming days.

RMS had hoped that rates would have returned to more tolerable levels by now, however the major summer weather events have affected the program. Once again, we recommend our leaders, treasurers and CFOs set their budgets for another potential increase for the 2022/23 property insurance renewal.

Finally, we want to assure you that RMS is forever dedicated to Adventist Mission and achieving the best possible outcome for our Church organisations. As always, if you have any questions about your Adventist site’s upcoming renewal notice please do not hesitate to contact us. We are always ready to help.