Demorest Chooses $154,161 HCC Liability Plan Over Higher-Priced Travelers Quote

Demorest City Council unanimously approved an HCC liability and umbrella insurance proposal with $18 million in coverage and annual premiums of $154,161 on Feb. 6, 2024. Councilman Allen made the motion, Councilman Ferguson seconded it, and the measure passed 4-0 after the city’s work-session discussion of competing proposals.

The decision set the city’s documented liability and umbrella coverage direction while committing it to a six-figure annual premium. The comparison presented to officials put HCC’s recommended $18 million proposal below a Travelers quote of $167,686 for $12 million in coverage, making both the price and the stated coverage limits central to the choice.

Before the council vote, Mr. Musselwhite presented the Travelers quote, while Jimbo Floyd of Turner, Wood & Smith presented a premium comparison described as matching coverage and limits. Floyd recommended HCC at $154,161 for $18 million in coverage. The discussion came as Musselwhite said the city’s current liability and umbrella policy had ended Feb. 1, then moved from comparison to a formal recommendation that the city proceed with HCC.

Musselwhite recommended moving forward with HCC, and Floyd, representing Turner, Wood & Smith, likewise recommended that option after presenting the premium summary. Mayor Harkness raised a separate concern about cybersecurity insurance. Floyd said cybersecurity coverage would require a separate policy, and Harkness asked Musselwhite to follow up. The council ultimately adopted the HCC proposal unanimously; the minutes do not record a competing council position on the insurance selection.

The HCC proposal was approved, not merely recommended: the signed regular-session minutes record a 4-0 vote accepting $154,161 in premiums. The separate cybersecurity policy was only a requested follow-up during the work session, not an approved purchase in the documented action. The record also does not establish whether the HCC policy was issued, whether its terms changed, or whether later payments, claims or other results followed.

The next public development to watch is a later city record showing implementation of the approved HCC coverage, any amendments to its terms or cost, and the outcome of the requested cybersecurity follow-up. Those questions remain undecided in the documented minutes, which end with the Feb. 6, 2024 approval.