Sexual abuse and misconduct claims continue to pose significant challenges for organizations, particularly those serving vulnerable populations. Few risks carry the potential for reputational and operational damage as swiftly and severely as allegations of abuse — especially when mishandled.
Education is the foundation of any effective abuse prevention strategy.
Senior Risk Manager
GuideOne Insurance
Many churches and faith-based organizations are only beginning to grasp the inherent risks associated with programs serving children, youth, and vulnerable adults. These ministries are vital — but must be conducted with diligence and care.
Evolving risk landscape
Over the past decade, the legal and financial landscape surrounding sexual abuse claims has shifted dramatically:
• Settlements and jury awards have increased substantially. According to the 2025 Praesidium Report, an annual publication that reflects upon the advancements in abuse prevention and highlights organizations’ collective efforts, the average settlement in sexual abuse cases has risen by 79.2% since 2000.
• Defined as jury awards exceeding $10 million, “nuclear verdicts” increased by 52% in 2024. Even more concerning are “thermonuclear verdicts” — those exceeding $100 million — which rose by 81.5% between 2023 and 2024, according to a recent Marathon Strategies report, Corporate Verdicts Go Thermonuclear.
These trends have prompted insurance carriers to reassess their approach to underwriting abuse and misconduct coverage.
Market contraction and increased scrutiny
Due to the frequency and severity of claims, many insurers have exited the abuse and misconduct coverage market or significantly revised their terms. The result is a smaller pool of carriers willing to offer meaningful coverage limits — particularly to faith-based and non-profit organizations.
Consequently, insurers have become more selective and have raised premiums for this exposure. Underwriters are placing greater emphasis on evaluating an organization’s abuse prevention protocols, requiring evidence of proactive risk management and a defensible framework in the event of a claim.
Insurance carriers recognize the complexity of this exposure and understand that addressing it can divert attention from an organization’s core mission and can play a pivotal role in helping organizations prevent sexual abuse — not just by providing financial protection, but by actively supporting risk management and prevention efforts. There are several ways insurance carriers provide assistance to churches in reducing the risk of sexual abuse.
Risk assessments and consultations
Loss control representatives — once focused primarily on property conditions — are now subject-matter experts in abuse prevention. It is increasingly common for insurance surveys to include in-depth evaluations of an organization’s abuse prevention efforts as part of the underwriting process. These assessments identify gaps in policies, training, supervision and documentation. Risk consultants typically provide tailored recommendations to strengthen safeguards and reduce exposure.
Access to expert resources
Many carriers offer online libraries, training modules, and policy templates focused on abuse prevention. For example, GuideOne provides access to resources through its GuideVantage Abuse Prevention Library. Some insurers partner with specialized organizations like MinistrySafe to offer expert-led training and consulting.
Training and education support
Insurance companies often provide discounted access to abuse awareness training for staff and volunteers. Training programs equip ministry leaders, staff and volunteers with the knowledge needed to recognize potential risks and implement safeguards. These programs help individuals recognize grooming behaviors, understand reporting obligations, and follow safe interaction protocols. Proactive education fosters a culture of vigilance and accountability, which is essential for both prevention and response.
Policy and procedure review
Insurers often review an organization’s written policies and procedures during underwriting or renewal. They might require updates or improvements to ensure compliance with industry standards and legal expectations. This helps organizations maintain defensible practices in the event of a claim.
Encouraging documentation and compliance
Carriers emphasize the importance of documented screening, training and supervision procedures. Proper documentation not only helps prevent abuse but also strengthens the organization’s legal defense if allegations arise.
Claims insights and best practices
Insurance carriers often handle hundreds of abuse-related claims annually, giving them unique insight into common risk factors and organizational vulnerabilities. Claims and risk management professionals use this experience to identify gaps in prevention and response, helping policyholders implement best practices.
A strategic partnership
Ultimately, insurance carriers are more than financial backstops — they are strategic partners in building safer environments. By leveraging their expertise, resources and guidance, organizations can take meaningful steps to protect the individuals they serve and reduce the risk of abuse.
Brian Gleason has spent most of the past 30 years working with and for churches, schools and nonprofits as an employee, consultant and board member. His experience includes insurance, occupational health and safety, human resources issues and emergency management.
Prior to his career at GuideOne, Gleason spent 20 years as the risk manager of a university in southern California. He earned his MBA, is a Certified School Risk Manager and speaks and writes regularly on a variety of topics related to risk management.
