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HomeMy WebLinkAboutItem 12 - Employee Insurance PoliciesMEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: BRUNO RUMBELOW, CITY MANAGER MEETING DATE: AUGUST 4, 2015 SUBJECT: APPROVAL FOR THE AWARD OF RFP 428-2015 FOR EMPLOYEE INSURANCE PLACEMENT OF LIFE, AD&D, DISABILITY & VOLUNTARY EMPLOYEE BENEFITS RECOMMENDATION: City Council to consider award of an annual contract with Unum and Voya Financial for employee insurance policies including; basic life, accidental death & dismemberment, dependent life, voluntary short term disability, accident and critical illness policies. FUNDING SOURCE: Funds are available in account 100-45552-109-1 (Disability/Life Insurance Premium) in the estimated annual amount of $150,000.00. Request for proposals were taken in accordance with Texas Local Government Code Chapter 252.022. RFP 428-2015, Insurance Placement, was issued and opened publicly on May 29, 2015. The RFP public notice was placed in the Fort Worth Star Telegram on May 14 and 21, 2015. There were 68 invitations sent out through the eBid Procurement system. Sixteen companies submitted proposals. The City's insurance consultants, McGriff, Seibels and Williams evaluated all proposals based on the City's requirements and the services offered. Staff reviewed results and requested that McGriff, Seibels and Williams conduct best and final proposals from the top seven ranked carriers. These are Assurant, Colonial, Dearborn, Mutual of Omaha, Standard, Unum and Voya. After the best and final proposals were received and evaluated, the evaluation team chose Unum as providing the best value proposal for basic life/AD&D, long term disability, voluntary employee and dependent life/AD&D and voluntary short term disability. The best value proposal for voluntary critical illness and voluntary accident 7/29/2015 10:09:46 AM policy was Voya. There is actually a cost savings of 5% for the City from FY15 to FY16 for Unum life/AD&D and LTD. Cost for the voluntary products remains the same. The contracts will be for one year with one optional, one-year renewal. Staff recommends approval. 7/29/2015 2:21:31 PM