Lyon College Lawsuit Says Lexington Insurance Still Owes $3.6M Following Fire

Lyon College is getting an education on insurance.

The Presbyterian college in Batesville is suing its insurance carrier for refusing to pay claims in connection with a 2010 fire that caused $9.3 million in damage to its Edwards Commons building.

The approximately 27,000-SF structure housed the dining hall, student life offices, game room and campus bookstore.

Lyon said in a lawsuit filed in U.S. District Court that Lexington Insurance Co. of Boston paid most of the claims but balked at paying them all.

Lyon said Lexington still owes $3.6 million on the claims and is suing for breach of the policy.

A spokesman for Lexington declined to comment.

The fire was considered the worst disaster the campus had experienced since a tornado destroyed several buildings in the early 1970s.

Edwards Commons was rebuilt and reopened in the fall of 2012.

A $9.6 million, 44,000-SF student center replaced the original building. The two-story structure features a 352-seat dining hall, kitchen, deck and game room.