Update (How our Church Insurance works)greenspun.com : LUSENET : A.M.E. Today Discussion : One Thread
Dear Brothers and Sisters Many Months ago I promised an update for you on the Church's Insurance programs and how AME Reinsurance would be able to create income. Bro. Dickens I appreciate your patience as well as you Bro. Jazzman.
At present the insurance industry uses only 60cents of every dollar spent on actual insurance. Expenses are between 15 to 20 cents on each dollar. Profit is between 15 - 20 cents on each dollar of premium paid. With the events of last fall the amounts paid out nearly wiped out most companies because they did not have enough kept in reserve for catastrophies like 9/11.Many of the successful companies have moved to Bermuda because of our re-insurance systems (unlike the tax-advantage stories from the likes of Stanley Corporation). Bermuda is the most prestigious insurance centre in the world.
Our Churchs spend millions of dollars in premium annually and get no proceeds from all of this business. We have the talent to do better and can set aside the types of reserves we need. I believe we must change our present insurance formula.
It is the objective of AME Reinsurance to broker as much of the paying profit from our Church business so that we can empower our Church and its programs both in the United States and around the world. The Church today is at a turning point and we must (as members) be prepared to do more than sing on Sunday study on Wednesday and pray nightly in my one man's opinion.
We must be more vigilant in our mission work and our management work. We must hold ourselves and our pastors and elders to the highest standards. We must stop turning the other way when mis-conduct is going on in the Church. I believe God will find less stains and wrinkles if we do.
I will have more detailed information at the General Board Meeting for those who will be attending. Pray for us as we tarry on in the work of our father and our God in the name of his precius son.
-- Anonymous, May 25, 2002