The name derives from La Caoban, the name of the place during the Spanish occupation. Following the English invasion it was called Coby. In 1784 it consisted of 20 houses and was the first capital of Saint Elizabeth, being the home of the Quarter Sessions and Petty Courts.
Lacovia High School, a government-own secondary school, is the town's largest educational institution.
The name also refers to a condominium situated on Seven Mile Beach, Grand Cayman. It was also called Lacobeyah meaning 'land of wood and water.'