Ohio County's Strategic Move to Risk Pool Cuts Insurance Costs

Ohio County commissioners in West Virginia are joining a consortium to reduce property insurance expenses, projecting savings of approximately $83,000 for the upcoming year. The commissioners have opted to transition from a private insurer to the West Virginia Communities Risk Pool, a collaborative initiative among counties, municipalities, and emergency service providers in the state. This strategic move aims to distribute insurance costs more economically.

County Administrator Randy Russell stated that joining the risk pool would decrease the county's insurance expenses from an estimated $412,000 for property, casualty, and liability coverage this year to $329,000. He emphasized that this transition not only offers significant savings but also provides favorable deductibles and enhanced coverage options.

Initially, concerns were raised regarding the switch, prompting Solicitor Don Tennant to conduct a comprehensive review. Tennant informed the commissioners of his approval, noting, 'The reason we initially avoided the risk pool was due to concerns about potential liabilities exceeding our premiums. However, the risk pool has expanded to include numerous entities, mitigating that risk.'

Tennant also highlighted that the risk pool employs umbrella coverage for reinsurance, safeguarding members against additional financial obligations in catastrophic events. 'They have never necessitated a special assessment among pool members, which reassures us of our security,' he added.

The Ohio County Commission is scheduled to reconvene on August 4 at 8 a.m. at the City-County Building in Wheeling.