West Virginia county courthouse fire reveals gaps in insurance coverage

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The fire that destroyed the Morgan County, W. Va., courthouse last month has raised questions about whether other counties are insuring buildings adequately.

Only 24 of 55 counties insure their courthouses through the state Board of Risk and Insurance Management. But coverage in that program varies greatly, a legislative analysis found.

County commissions set the value of these policies, usually with the help of private insurance agents. With one of the more modern courthouses, Logan County has insured that building and its contents at the highest level statewide — about $14 million. The lowest is Summers County, which has a policy worth only $557,000.

More money
“That won’t clean up the mess down there if they have a fire. They’re going to wind up here looking for more money,” Senate Finance Chairman Walt Helmick told fellow members of the Joint Committee on Government and Finance earlier this month.

Helmick’s district includes Morgan County, which lost its 98-year-old courthouse to an early morning Aug. 8 fire. Initial reports point to electrical wiring as a possible cause. The county insured the courthouse for $2 million, but estimates building a new one will cost $12 million.

“This is a wake-up call for the counties to do something about this now,” said Helmick, D-Pocahontas.

House Minority Leader Charles Trump, R-Morgan, noted that the insurance covers only $360,000 for the building’s contents — barely enough for the recently purchased electronic voting machines.

Administration Secretary Robert Ferguson helped provide the figures to lawmakers. He said the fire has prompted the state to check the insurance coverage of its buildings.

“We’re taking a hard look at every building,” Ferguson told legislators. “We’re going to get with General Services and the owners of these building to make sure they are insured properly.”

Topics Virginia West Virginia

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