Learn why churches should have written use agreements with outside parties.

Read a few suggestions churches may consider including in a written use agreement.

What’s happening this week at your church other than Sunday worship, youth ministry, and weekly Bible study? If at any time an outside group is permitted to use church property, your church should seal the agreement with an appropriate legal covenant.

Liability arising out of the activities of other organizations or parties using your church property to conduct their meetings or events is a risk you should not assume. A written, legally executed document with each outside group that uses your facility is smart protection beyond your church’s own liability insurance policy. Below is a short list of suggested items to include in a legal contract between your church and each outside group using the church facility. It is recommended that each church contact a qualified legal professional to discuss its individual needs and circumstances and appropriate contract language.

–  Description of agreed upon activities and when those activities are permitted on church property

–  Description of what areas of the church property are permitted for use and what areas are restricted from use

–  Stated fee for use of church property, including payment terms (i.e. per one-time use, per weekly use, per monthly use, means of payment, late payment fee, etc.)

–  Proof of liability insurance with agreed upon limits from the party using the church property. Consider a requirement that your church be named as additional insured on the liability insurance policy of the outside party using the church property.

–  Risk transfer/indemnity clause in which the outside group agrees to protect your church from claims for damages that may arise from the outside group’s use of your church. A contract which does not include this clause leaves your church wide open to liability associated with any accident or injury that occurs on your church property while being used by an outside party.

Richey-Barrett Insurance is a Trusted Choice Independent Insurance Agency experienced in the church insurance market. We strive to offer insurance coverage that addresses each church’s needs and budget.