Kingdom Hall Assistance Arrangement refusing to pay out

I wanted to start a discussion about known instances where the WT society has refused to pay out on insurance claims to congregations who have their Kingdom Hall insured through the in-house insurance scheme known as the Kingdom Hall Assistance Arrangement.

I know of two recent cases in the UK where Kingdom Halls have been badly damaged by water.  One happened 6 months ago, the other a few years ago.  The congregations have been told to share halls with a neighbouring congregation whilst the WT society asked for report after report on the condition of the building and estimates for repair/demolition.  Eventually the first congregation had it's claim rejected on the basis that there was some structural defect that rendered the building irrepairable.  It would appear that the more recent claim by the second congregation is heading the same way.

If the WT society isn't using the revenue from the policies for paying out insurance claims for Kingdom Halls, where could the money be going?  Here's a thought:

http://watchtowerdocuments.com/documents/Secrets_Commentary_Version_2.pdf (page 80)

Watch Tower Bible and Tract Society of Pennsylvania has operated an insurance program named Kingdom Hall Assistance Arrangement (KHAA) throughout the United States since 1989. Plaintiff's' attorneys sought information about KHAA doing business in California. Through discovery, Defendant Watch Tower of Pennsylvania was ordered to provide Plaintiffs' attorneys KHAA ledger sheets for claims and payments. Recorded therein can be found a claim of interest. In the column titled, Brief Desccription,Elder misconduct is listed. In the column titled, Incident, the date lodged ia 01/01/1989. In the Insured column, the name of the insured is Red Bluff Congregation, CA. The amount was for $50,000.

Are the funds from Kingdom Hall insurance policies actually being used to make out of court settlements for abuse cases?

welcome to JWN - I have posted on this in the past - tell us more about yourself....and keep posting...!

http://www.jehovahs-witness.net/watchtower/beliefs/84971/1/JW-Disaster-Relief-One-of-their-biggest-moneymakers

more of the same money-making scams already in place

The congregation that has been out of their hall for six months now is Hyde in the northwest of England.  If any of their elders are reading here, I suggest they speak to someone at the Biggin Hill congregation near Croydon.  It sounds as though they have a lot in common.

bump

how sad for the congregations

Another scam, to fleece the flock.

We had a major fire a few years ago & tried to get some recompense from the WT assistance arrangement. The branch told us to do the work ourselves - very difficult as we had very little funds. What was annoying was if we had insured the building ourselves commercially we would have been covered. A brother in Bethel I spoke to admitted that the KH assistance arrangement was really just another funding source , just like the Kingdom Hall fund etc. They dissuade congregations as much as possible from claiming.

You can view the Watchtower UK accounts here - http://www.charity-commission.gov.uk/Showcharity/RegisterOfCharities/FinancialHistory.aspx?RegisteredCharityNumber=1077961&SubsidiaryNumber=0

In 2010 , £393,000 was paid into the KH assistance fund and £111,000 was paid out - the fund now stands at £4.7 million. In answer to your question ( where does the money go ), the money sits in the WTBTS of Britains general fund , ringfenced as a contingent liability.

great diligence dozy....click the link to see the Biigin Hill KH - part of a large parcel of land and 5 KH's - I'm told that the complex is being torn down and rebuilt to create an Assembly Hall as well as individual KH's - another money making event....

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Thanks for the replies.  That's some interesting information Dozy.  I wonder if the KHAA in the UK would come under the jurisdiction of the financial ombudsman?

Sad to hear that for the congregations involved.

The move to self funding "insurance" was meant to simplify the whole arrangment.My uncle was the secretery of the commitee that in NSW Australia had oversight of the KHs in NSW.This group is called "The Congregation of JW in NSW Australia".This is the same apparantly worldwide and is done to technically have no connection legally with WTS so if/when WTS assests are seized the KHs are not included and would stay free.The funds collected go into a seperate interest earning account and they use this fund to assist halls in times of an insurance claim.

By going to this arrangment now the public (insurance companies and in turn the government) dont have a easily compiled assest value of JW in that country.

Perhaps that comitee in the UK have invested the funds and cannot access yet? I never found out more about this arrangment from my Uncle as he passed away a few years ago.

The Comitee arrangment i mentioned above in each country actually owns the deeds to that KH and not the Congregation using it ,not top secret but something generally only the Elders know.

I was the Account servant in my past JW life and everything is geared towards donating to the Society.Any purchases made for the KH which had included GST(tax) could be reclaimed as Churchs exempt but the Society forms were geared to donate this refund of tax to the Society rather than the congregation that spent the funds originally.

Count your cents and the dollars will look after themselves.WTS is all about getting every last cent available.Of course it is a not for profit and needs every cent as its "income".I always seemed as it prided itself in saying no collections taken but they honestly have so many ways of recieving donations and parts on the Kingdom ministry ,in WT and at conventions about donations.They may not pass the plate but talking about it so often is hypothetically passing a plate.I always felt that way when i had to do a part on donations in Service meetings.

KHA i do hope all works out well.Regardless of who/what/where its good when things work out as they should be.

I feel sorry for the congregation.  They paid for the hall and land and whilst they have not as yet had the claim officially rejected, the KHAA is looking for an out.  There is a blame game in play; dry rot has been found and there have been attempts to pin that on a structural defect caused by an error in the design of the bulding or poor construction practices.

One of the possible outcomes is that the congregation will be told to sell a portion of the plot of land the hall stands on to fund the rebuilding.  Imagine for a moment that your insurance company told you that they weren't going to pay your claim because you have a large garden and could sell part of it to finance repairs to your damaged home.  Insurance does not work like that!  Congregations need to understand that what they have with KHAA is not insurance.

I'll update this thread with more information as the situation develops.  If anyone knows of other similar situations, please let me know.

Many years ago I was a Cong Secretary and we had the K Hall insured through a local Ins Broker who happened to be a Witness. Then the K H "Assistance Scheme" came in and we had to change to that . The broker lost a load of business. We had an inferior policy arrangement for no less money, and there was a presumption that we would not claim unless we really had to, because it was "The Society's money"

I never did like the scam scheme

This all sounds pretty shaddy to me, no one in the kingdom hall benefits what so ever and the WTS still gets to keep their money what kind of scam is this anyway?

The Society is not stupid, they have found ways of getting around with out having to pay a dime for damages, and yet they tell the brothers and sisters to give donations to country's where there has been famine flood, earthquakes and other devastations, what is going on here.  Shouldn't someone inthe government be doing a forensic study of the Watchtowers money affairs.   It just seems so unfair to the witnesses that they are getting so screwed around. While the organization is considered on of the most weathiest religons in the world.

orangefatcat is exteremely peeved and wants some answers.

Thanks for the reply Blues Brother.

I'm afraid I don't have any further information about this particular situation yet orangefatcat but when I do I will update.