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Insurance company doesn't want to pay potential damages for Beaver County charter school

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Tuesday, Nov. 20, 2012, 6:20 p.m.
 

A New Hampshire insurance company claims in a federal lawsuit filed Tuesday that the policy it sold a Beaver County cyber charter school doesn't cover potential damages from a class-action lawsuit.

Peerless Insurance Co. is currently paying the Pennsylvania Cyber Charter School's legal costs related to the lawsuit. It wants a federal judgment allowing it to drop out of the lawsuit filed this year in Fayette County and exempting it from covering any damages the school might pay.

Four school districts — Albert Gallatin Area, Avonworth, South Park and West Allegheny — claim in the state lawsuit that PA Cyber in Midland should reimburse them for some of the money they paid the cyber charter between the 2002 and 2010 school years. In 2011 the state Supreme Court ruled the districts don't have to pay charter schools who enroll 4-year-old students; the districts don't offer kindergarten until students are 5.

A spokeswoman for the cyber charter declined comment.

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