Published: June 16, 2008 11:51 am      

Hampshire County officials discuss liability insurance

ROMNEY, W.Va. - Despite the fact that Valley Health is required to carry its own liability insurance as part of the lease agreement with Hampshire County on the hospital building it operates, the county must still maintain property coverage on the building.

That was the conclusion of Commercial Services Insurance Agency representative Trip King and Bill Young of Argonaut Insurance as they reviewed the county's policy needs at Tuesday's regular county commission meeting.

In making the determination, Young asked whether the equipment in the building belongs to the county or the operator of the hospital. Don Cookman, county commission president, said at one time the county owned some of the equipment but at this point it belongs to the agency operating the facility.

King and Young recommended the county maintain property insurance on the building and pointed out they would need to know the value and size of the property.

The agents provided an overview of Hampshire County's property and liability insurance program as part of the annual renewal.

King said he is new to the public-sector insurance product but Young has long-term experience in public-sector insurance.

He said the first part of the document they were reviewing provides background information and people to contact as well as listing tools such as software that might interest the commissioners.

"Some use it and some don't, but it is an option we provide," he said of the technology.

The policy lists a wide range of services that Commercial provides to its customers as well as blanket building property limits and deductibles.

Commissioner Robert Hott said he noted the county's employee dishonesty limits were at $50,000 per incident. "I don't think that's enough," he said. "With the State Board of Risk and Insurance Management, the limit was higher."

He cited a recent case in which a member of a board appointed by the county commission was involved in an embezzlement in excess of $100,000.

Cookman said precautions have been put in place to prevent such an occurrence in the future but he would agree that $50,000 is probably not adequate.

Young said the limit should probably be at least $100,000 and it could go to $250,000. He said the premium would be higher, probably $100 to $250 more.

"More and more, governments are going to higher limits," he said.

King also pointed out that the company has loss prevention services that will have someone come in and work with the county officials on ways to reduce and prevent such losses.

"We have several risk control specialists," he said.

Young said sexual harassment is a big issue now and those specialists can help the county with that as well.

Cookman said the county is in the process of developing a countywide employee policy that will address sexual harassment.

"We tend to do what we've always done and we can't do that anymore," he said.

County Clerk Sharon Link asked about the terrorist coverage listed in the policy proposal.

Young said officials in jurisdictions in, or near, metropolitan areas are the ones taking advantage of that coverage.

"We can take it out and we would reduce your premium by $1,345," he said.

Hott said he didn't want to be the one to take it out and both Cookman and Commissioner Steve Slonaker agreed they would leave it in.

They reviewed several aspects of the policy proposal.

Young also mentioned the county will not be charged for vehicles acquired after July 1.

"That's part of the service and we'll pick them up on renewal," he said.

The proposal will come back to the county commissioners for final approval at their June 24 meeting.

The commissioners also met with the insurance representatives in executive session on a potential legal matter. No action was taken.

Contact Mona Ridder at mridder@times-news.com.