Insurance company denies Va. county of legal reimbursement

Advertisement

The Virginia Association of Counties (VACo) Risk Management Programs has denied a request by Gloucester County officials to collect $171,000 through insurance coverage for legal fees to defend four of its employees.

In November 2009, the county was notified by the VACo Self-Insurance Risk Pool that the money would not be paid, according to the Newport News Daily Press. A month later, the county appealed the decision and that appeal was denied.

The VACo organization offers insurance and risk management services to 76 counties, six towns, 40 school divisions and 119 other Virginia government entities.

Gloucester County was denied reimbursement as the legal fees were not monetary damages assessed against four county supervisors acting in the regular course of duty, the newspaper reported. The claim against the supervisors was to remove them from office following petitions filed in a circuit court and not for monetary damages.

The county paid $171,000 in legal fees to successfully keep the supervisors in office following a judge’s order. The county argued they were not a party to the civil actions in which the judge ordered the payment and had no opportunity to defend against the damage award, the Daily Press reported.

Leave a Comment

Follow IFAwebnews: 
Important links and updates throughout the day via Twitter Join IFAwebnews’ Insurance News group on LinkedIn.com Become a fan of IFAwebnewss Insurance News on Facebook Feeds for all the ourinsurance news or just the lines you need. Insurance news delivered to your inbox
© 2012 New Horizon Group, Inc. :: Insurance & Financial Advisor | IFAwebnews.com :: NS 32 queries. 0.567 seconds.
Entries RSS Comments RSS