Posted 9/2/2013 12:00 am
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.