The Jeff Davis Parish School Board is set to vote on a new insurance policy that could lead to substantial savings for the district, potentially in the hundreds of thousands of dollars.

During an insurance committee meeting on Tuesday, committee members approved new property and liability insurance policies with an estimated premium of $1.1 million. The district paid nearly $1.7 million for property insurance last year.

Finance Director Christin LeGros noted that if the full board approves the recommendation at its meeting on Thursday, the district could save nearly $500,000 on property insurance alone. While there would be an increase of about $80,000 across all areas, including general liabilities, the overall impact is a significant reduction.

“This decrease in our property and liability insurance has allowed us to make less cuts, and also has allowed us to look at areas of need,” LeGros said.

Superintendent John Hall said not only has the insurance cost decreased, but the board has been able to secure better coverage.

Last year, the board opted for a parametric policy to save money, understanding it provided a minimum level of coverage with some remaining exposure. However, due to favorable market conditions this year, the board was able to return to typical property coverage with a $50 million policy, he said. This ensures all buildings will be protected.

Previously, officials anticipated budget cuts due to rising expenses, including a significant increase in health insurance costs, as well as other increases in areas like food, transportation and fuel. However, Hall said more affordable property insurance options from new providers will allow the district to save money while simultaneously improving its coverage at a lower cost.

“During the summer, it really puts us in a situation where, if they don’t go down, then we have to have the cuts ready,” he said. “The last three years, we have had a balanced budget. We have not had to go into our reserves. So it’s important to always try to live within a balanced budget.”

Hall said he recently talked to other parishes, and it appears they are also experiencing a decrease in insurance costs.