In our current Doctrine and Discipline of the AME Church, 1996, on page 69,paragraph 2.b), it states in part: The benefits include, but are not limited to ..... key person life insurance*; Does anyone know who the "key person" is? Remember, we are talking about the salary and the benefits of a full time minister.

-- Anonymous, September 06, 2000

Answers

In the First District th pastor's life insurance is automatically taken out on him and paid for by the church, through the district 's insurance company. It is a $20,000 policy I believe with half going to the pastor's spouse and half to the church. As for the key person, I guess that may be the pastor and possibly the pastor's spouse, although the spouse is not covered under the First District policy.

-- Anonymous, September 06, 2000

The key person (formerly "key man" insurance pre-PC) is intended to assure a lender that the untimely demise of a pastor does not delteriously affect obligations engaged by the pastor during his/her administration. It is paid for by the local assembly. If a church is unencumbered, the "key person" value is probably adequate in the amount previously stated. If a church has obligations, it should take care to assure that it will continue to meet those obligations, or provide insurance that will bridge the effect of a less influential or motivating successor to the pastor.

-- Anonymous, September 06, 2000