Fraud can strike at any organization, but churches have often been left extremely vulnerable because of their over-trusting nature. As a leader of the church, you have a responsibility to your congregation and God to safeguard the ministry assets. You might think, "This will never happen to me." however, it can happen to you. Churches experience fraud at nearly the same frequency as secular organizations. You have to look at fraud in a serious light.

Fraud Not Always Instantly Detected
Let's say you have brought in a new church insurance agent, and you think the world of him. That, however, becomes a weak point. We have known many churches that paid extra money for church insurance simply because they liked the agent they dealt with. The problem? Not all agents deserve that trust. In some cases, the insurance provider is blatantly overcharging them by hundreds of dollars per year. Insurance companies, even non-secular ones, are in business to make money.

Affinity Fraud: What Is It?
Affinity fraud deals with a scam that related to preying upon members of a close-knit group. For example, scamming the members within a church. Over the years, affinity fraud has increased, but you can often spot this type of fraud ahead of time because the con artist will often present it as a Ponzi or pyramid scheme. During this scheme, money will be paid from the newer investors into the earlier ones to give the appearance of success.

Fraud can exist within a church for years, and by the time you have detected it, your ministry has already lost hundreds of thousands of dollars. When talking to your church insurance agent, let them know that you will look around at prices. You want to leave them on the edge of their seat a little because that is how you will receive the best prices and avoid being scammed.

Call Pachuta Insurance Today @ 706-769-2262
Sources:
Financial Mentor
AG Financial

Moving can already be expensive, but what if there were a factor that most people did not consider? For example, let's say you and your family decided to quit renting and buy a home. While it exists in the same town two miles to the south, you call your car insurance company to report your new address, and you are informed that your auto insurance will cost a little more because of the move. Why is that?

When it comes to car insurance, we are dealing with sensitive data. In the case above, the likely culprit of a premium hike might relate to the two addresses in two different zip codes. According to a survey from Bankrate, researchers discovered that two addresses even relatively close together can sometimes cause a significant difference in price. It is not, however, the zip code that counts: It is the geographic location. The factors included in the price increase relate to:

• Higher Deer Population
• Population Density
• Disposable Income Per Capita
• Accident Frequency

As you can see, multiple factors in the zip code will influence your car insurance rates. In contrast to price hikes, rates might also decrease because of the same reasons. For example, let's say you move to a state with lower auto insurance in general. That can lead to hefty savings. If you do not move out of state, you can call your current auto insurance provider to examine quotes in advance.

The rates can sometimes be significant enough that you will not be saving a great deal of money. In some cases, a move of less than two miles can raise your rates from $418 to $524. That is more than a 25 percent increase, and you have moved less than 10 miles.

Call Pachuta Insurance Today @ 706-769-2262
Sources:
BankRate
LifeHacker

With the advance in automobile technology, cars have become safer on the road. What began with anti-lock brakes and airbags will soon reach a higher level as we move into driverless vehicles. Because of this, the safety features will grow increasingly sophisticated and the number of car accidents will decline. While car insurance customers see this as great news, large insurance companies see it as an ominous sign since drivers will no longer require full coverage.

Warren Buffet, billionaire investor and owner of Geico, once said that if someone invents a product that reduces the number of accidents by 30, 40 or 50 percent, that would be great, but no one at their company will hold a party. Donald Light, head of the research firm Celent, stated that we will witness a 60 percent drop in auto insurance premiums over the next 15 years as driverless cars reach the marketplace. He has told car insurance providers that they must prepare for this as they see part of their business shrink. These new changes could even be the reason that Progressive bought into the homeowner's insurance market recently.

While the latest advances in technology may spell the end for a need in consumer car insurance, a new market may develop for automakers. For example, if one of their automated features fails, they will want insurance to cover the question of liability.

Nevertheless, the one thing that no one can do is give an estimate for when this new technology will hit the market. This new technology, however, is not the only threat to the auto insurance industry. Some of the latest safety innovations have also led to fewer accidents. According to a 2014 study with insurance claims, when Honda produced technology that beeps when cars get too close in traffic, the frequency of certain claims
dropped. For example, bodily injury liability dropped 40 percent and medical payments were reduced by 27 percent. For a long time, auto insurance has stood as a highly lucrative business. In 2014 alone, insurance companies collected more than $195 billion from US drivers. The driverless vehicle could close the door on that marketplace.

Call Pachuta Insurance Today @ 706-769-2262
Sources:
Fortune
The Detroit News

With copper prices still high, you find that thieves have targeted copper in every form so that they can sell it to scrapyards for fast cash. You may figure that your church would have other things stolen, but church insurance statistics show that almost half of the theft claims involved copper. For example, Church Mutual found that their customers made 1,523 copper theft claims in 2011, which totaled $10.7 million.

While that was a few years ago, 2015 shows little respite. We are still dealing with a surge in copper thefts, and if you do not take precautionary measures, you could become a target. What is the most common target? The most frequent target is often outdoor air conditioning units. When Church Mutual reviewed their claims, they found that 90 percent of all the copper theft claims were related to outdoor air conditioners.

Why do thieves prey on houses of worship? The most common reason people will steal from churches is because they are left unguarded at night. In addition, many churches will have numerous air conditioners or one large one, which means they can remove the copper and sell it for more money.

Aside from air conditioners, other items that have become common targets include plumbing pipes, wires, rain gutters and air conditioning coils. Thieves will sometimes use disguises for bigger targets. In one example, the thieves dressed up as construction workers so that the neighbors and pastor would not think twice about suspicious people around the air conditioner. How do you combat this? A reputable construction company will always provide proper photo identification. Never hesitate to ask for it.

To reduce the threat of air conditioning thefts, use cage guards with tamper-resistant screws. You can also place pressure sensor alarms on the unit. You may also want to change the location of your AC unit. For example, placing it on the roof will make it less accessible. You might also want to add surveillance cameras that are visible but tamper proof to deter thieves.

Call Pachuta Insurance Today @ 706-769-2262
Sources:
Church Mutual