POSTAL CORPORATION OF KENYA

Transcription

1 POSTAL CORPORATION OF KENYA TENDER NO: PCK/PROC/3A/2015/2016 TENDER FOR THE PROVISION OF MEDICAL INSURANCE BROKERAGE SERVICES FOR DIRECTORS AND LAST EXPENSE FOR 2015/2016 POSTA HOUSE P.O. BOX NAIROBI, KENYA. Website: NOVEMBER 2015

2 TABLE OF CONTENTS INTRODUCTION SECTION I SECTION II SECTION III SECTION IV SECTION V SECTION VI INVITATION FOR TENDERS INSTRUCTION TO TENDERERS Appendix to instructions to tenderers GENERAL CONDITIONS OF CONTRACT SPECIAL CONDITIONS OF CONTRACT SCHEDULE OF REQUIREMENTS STANDARD FORMS 2 P a g e

3 SECTION I INVITATION TO TENDER DATE 24/11/2015 TENDER REF NO.: PCK/PROC/3A/2015/2016 TENDER NAME: TENDER FOR THE PROVISION OF MEDICAL INSURANCE BROKERAGE SERVICES FOR DIRECTORS AND LAST EXPENSE FOR 2015/ The Postal Corporation of Kenya (hereafter referred to as PCK ) invites sealed tenders from eligible Insurance Brokerage firms for the Provision of Medical Insurance Brokerage Services for Directors and Last Expense for the period under following categories:- 1. Inpatient cover 2. Outpatient cover 3. Last expense cover (only if a member dies while still in office). N.B. Bidders must bid for the all three items and quantities 1.2 Interested bidders may obtain further information from and inspect the tender documents at the Postal Corporation of Kenya, Procurement Department, Kenyatta Avenue, and POSTA HOUSE ANNEX BLD 1 ST FLOOR during normal working hours. 1.3 A complete set of tender documents may be obtained by interested candidates upon payment of non-refundable fees of Kshs in cash or Bankers cheque payable to Postmaster General. Alternatively, the document may be downloaded from the PCK website by visiting or from the IFMIS supplier portal: During Submission of the tender documents, a copy of a Miscellaneous Receipt obtained from the PCK HQ cashier or from the PCK Regional Cash Office should be attached. 1.4 Completed separate tender documents of Technical and Financial Proposals should be enclosed in plain sealed envelopes clearly marked with the tender number and must be deposited in the Tender box at Posta House, Mezzanine Floor, Kenyatta Avenue or Posted to:- The Secretary, Corporation Tender Committee, Postal Corporation of Kenya, P. O. Box 34567, Nairobi. so as to reach us not later than TUESDAY, 8 TH DECEMBER 2015 AT AM. 1.5 Bidders should provide tender security of 5% of the tender sum in the form specified in section 2.12 of the tender document, and must be valid for 180 days from the date of opening the tender. 1.6 Tenders will be opened in the presence of candidates representatives who choose to attend at the opening at Posta House, Boardroom 7 th Floor. 3 P a g e FOR: THE POSTMASTER GENERAL/ PCK

4 SECTION II - INSTRUCTION TO TENDERERS Table of Clauses 2.1 Eligible Tenderers 2.2 Cost of Tendering 2.3 Contents of Tender document 2.4 Clarification of Tender document 2.5 Amendments of Tender document 2.6 Language of Tenders 2.7 Documents Comprising the Tender 2.8 Tender Form 2.9 Tender Prices 2.10 Tender Currencies 2.11 Tenderers Eligibility and Qualifications 2.12 Tender Security 2.13 Validity of Tenders 2.14 Format and Signing of Tenders 2.15 Sealing and Marking of Tenders 2.16 Deadline for Submission of Tenders 2.17 Modification and Withdrawal of Tenders 2.18 Opening of Tenders 2.19 Clarification of Tenders 2.20 Preliminary Examination 2.21 Conversion to Single Currency 2.22 Evaluation and Comparison of Tenders 2.23 Contacting the Procuring Entity 2.24 Post-Qualification 2.25 Award Criteria 2.26 Procuring Entity s Right to Vary Quantities 2.27 Procuring Entity s Right to Accept or Reject any or all Tenders 2.28 Notification of Award 2.29 Signing of Contract 2.30 Performance Security 2.31 Corrupt or Fraudulent Practices 4 P a g e

5 SECTION II - INSTRUCTIONS TO TENDERERS 2.1. Eligible Tenderers This Invitation to tenders is open to all eligible Insurance Brokerage firms. Successful tenderers shall provide the services for the stipulated duration from the date of commencement (hereinafter referred to as the term) specified in the tender documents The procuring entity s employees, committee members, board members and their relatives (spouse and children) are not eligible to participate in the tender unless where specially allowed under section 131 of the Act Tenderers shall provide the qualification information statement that the tenderer (including all members of a joint venture and subcontractors) is not associated, or have been associated in the past, directly or indirectly, with a firm or any of its affiliates which have been engaged by PCK to provide consulting services for the preparation of the design, specifications, and other documents to be used for the procurement of the services under this Invitation for tenders Tenderers involved in corrupt or fraudulent practices or debarred from participating in public procurement shall not be eligible. 2.2 Cost of Tendering The Tenderer shall bear all costs associated with the preparation and submission of its tender, and the procuring entity, will in no case be responsible or liable for those costs regardless of the conduct or outcome of the tendering process The price to be charged for the tender document is Kshs. 1, PCK shall allow the tenderer to review the tender document free of charge before purchase. 2.3 Contents of Tender Document The tender documents comprise the documents listed below and addenda issued in accordance with clause 2.5 of instructions to tenderers. (i) Instructions to Tenderers (ii) General Conditions of Contract (iii) Special Conditions of Contract (iv) Schedule of Requirements (v) Details of Insurance Cover (vi) Form of Tender (vii) Price Schedules (viii) Contract Form (ix) Confidential Business Questionnaire Form (x) Tender security Form (xi) Performance security Form (xii) Insurance Company s Authorization Form (xiii) Declaration Form (xiv) Request for Review Form 5 P a g e

6 2.3.2 The Tenderer is expected to examine all instructions, forms, terms and specifications in the tender documents. Failure to furnish all information required by the tender documents or to submit a tender not substantially responsive to the tender documents in every respect will be at the tenderers risk and may result in the rejection of the tender. 2.4 Clarification of Tender Documents A Candidate making inquiries of the tender documents may notify PCK by post, fax or by at the procuring entity s address indicated in the Invitation for tenders. PCK will respond in writing to any request for clarification of the tender documents, which it receives not later than seven (7) days prior to the deadline for the submission of the tenders, prescribed by the procuring entity. Written copies of the Procuring entities response (including an explanation of the query but without identifying the source of inquiry) will be sent to all candidates who have received the tender documents PCK shall reply to any clarifications sought by the tenderer within 3 days of receiving the request to enable the tenderer to make timely submission of its tender Preference where allowed in the evaluation of tenders shall not exceed 15%. 2.5 Amendment of Tender Documents At any time prior to the deadline for submission of tenders, the Procuring entity, for any reason, whether at its own initiative or in response to a clarification requested by a prospective tenderer, may modify the tender documents by issuing an addendum All prospective tenderers who have obtained the tender documents will be notified of the amendment by post, fax or and such amendment will be binding on them In order to allow prospective tenderers reasonable time in which to take the amendment into account in preparing their tenders, PCK, at its discretion, may extend the deadline for the submission of tenders. 2.6 Language of Tenders The tender prepared by the tenderer, as well as all correspondence and documents relating to the tender exchanged by the tenderer and the Procuring entity, shall be written in English language. Any printed literature furnished by the tenderer may be written in another language provided they are accompanied by an accurate English translation of the relevant passages in which case, for purposes of interpretation of the tender, the English translation shall govern Documents Comprising the Tender The tender prepared by the tenderer shall comprise the following components: (a) A Tender Form and a Price Schedule completed in accordance with paragraph 2.8, 2.9 and 2.10 below; (b) Documentary evidence established in accordance with paragraph that the tenderer is eligible to tender and is qualified to perform the contract if the tender is accepted; 6 P a g e

7 (c) (d) Tender security furnished in accordance with paragraph 2.12 (if applicable) Declaration Form Form of Tender The tenderer shall complete the Tender Form and the Price Schedule furnished in the tender documents, indicating the services to be provided Tender Prices The tenderer shall indicate on the form of tender and the appropriate Price Schedule the unit prices and total tender price of the services it proposes to provide under the contract Prices indicated on the Price Schedule shall be the cost of the services quoted including all customs duties and VAT and other taxes payable Prices quoted by the tenderer shall remain fixed during the Term of the contract unless otherwise agreed by the parties. A tender submitted with an adjustable price quotation will be treated as non-responsive and will be rejected, pursuant to paragraph Tender Currencies Prices shall be quoted in Kenya Shillings Tenderers Eligibility and Qualifications Pursuant to paragraph 2.1 the tenderer shall furnish, as part of the tender, documents establishing the tenderers eligibility to tender and the qualifications to perform the contract if the tender is accepted The documentary evidence of the tenderer s qualifications to perform the contract if its tender is accepted shall establish to the Procuring entity s satisfaction that the tenderer has the financial and technical capability necessary to perform the contract Tender Security The tenderer shall furnish, as part of its tender, a tender security for the amount and form specified in the Appendix to Instructions to Tenderers The tender security shall be 5% of the tender sum The tender security is required to protect PCK against the risk of the tenderer s conduct which would warrant the security s forfeiture, pursuant to paragraph The tender security shall be denominated in Kenya Shillings and shall be in the form a) Cash. b) A bank guarantee. c) Such Insurance guarantee as may be approved by the Authority d) A letter of Credit e) Guarantee by a deposit taking microfinance institution, Sacco society, the Youth Enterprise Development Fund or the Women Enterprise Fund. 7 P a g e

8 Any tender not secured in accordance with paragraph and shall be rejected by PCK as non-responsive, pursuant to paragraph Unsuccessful Tenderer s tender security will be discharged or returned as promptly as possible but not later than thirty (30) days after the expiration of the period of tender validity The successful Tenderer s tender security will be discharged upon the tenderer signing the contract, pursuant to paragraph 2.29, and furnishing the performance security, pursuant to paragraph The tender security may be forfeited: (a) if a tenderer withdraws the tender during the period of tender validity. (b) in the case of a successful tenderer, if the tenderer fails: (i) to sign the contract in accordance with paragraph 2.29 or (ii) to furnish performance security in accordance with paragraph (c) If the tenderer rejects correction of an arithmetic error in the tender Validity of Tenders Tenders shall remain valid for 180 days after date of tender opening pursuant to paragraph A tender valid for a shorter period shall be rejected by PCK as nonresponsive In exceptional circumstances, PCK may solicit the Tenderer s consent to an extension of the period of validity. The request and the responses thereto shall be made in writing. The tender security provided under paragraph 2.12 shall also be suitably extended. A tenderer granting the request will not be required nor permitted to modify its tender Format and Signing of Tenders The technical proposal shall be separate from the financial proposal and shall not include any financial information. The tenderer shall prepare an original and a copy of the tender, clearly marking each ORIGINAL TENDER and COPY OF TENDER, as appropriate. In the event of any discrepancy between them, the original shall govern The original and all copies of the tender shall be typed or written in indelible ink and shall be signed by the tenderer or a person or persons duly authorized to bind the tenderer to the contract. All pages of the tender, except for un-amended printed literature, shall be initialed by the person or persons signing the tender The tender shall have no interlineations, erasures, or overwriting except as necessary to correct errors made by the tenderer, in which case such corrections shall be initialed by the person or persons signing the tender Sealing and Marking of Tenders The tenderer shall seal the original and the copy of the tender in separate envelopes, duly marking the envelopes as ORIGINAL TENDER and COPY OF TENDER. The envelopes shall then be sealed in an outer envelope. 8 P a g e

9 The original and all copies of the Technical proposal shall be placed in a sealed envelope clearly marked TECHNICAL PROPOSAL, and the original and all copies of the financial proposal in a sealed envelope duly marked FINANCIAL PROPOSAL. Both envelopes shall be placed in an outer envelope and sealed. This outer envelope shall bear the procuring entities address and other information indicated in the appendix to the instructions to tenderer and clearly marked DO NOT OPEN BEFORE TUESDAY, 8 TH DECEMBER 2015 AT AM. If the outer envelope is not sealed and marked as required by paragraph 2.17, PCK will assume no responsibility for the tender s misplacement or premature opening The inner and outer envelopes shall: (a) (b) be addressed to PCK at the address given in the Invitation to Tender. bear tender number and name in the invitation to tender and the words, DO NOT OPEN BEFORE TUESDAY, 8 TH DECEMBER 2015 AT AM The inner envelopes shall also indicate the name and address of the tenderer to enable the tender to be returned unopened in case it is declared late If the outer envelope is not sealed and marked as required by paragraph , PCK will assume no responsibility for the tender s misplacement or premature opening Deadline for Submission of Tenders Tenders must be received by PCK at the address specified under paragraph not later than TUESDAY, 8 TH DECEMBER 2015 AT AM PCK may, at its discretion, extend this deadline for the submission of tenders by amending the tender documents in accordance with paragraph in which case all rights and obligations of PCK and candidates previously subject to the deadline will thereafter be subject to the deadline as extended Bulky tenders which will not fit the tender box shall be received in the office of the Manager, Supply Chain 1 st floor Annex building Modification and Withdrawal of Tenders The tenderer may modify or withdraw its tender after the tender s submission, provided that written notice of the modification, including substitution or withdrawal of the tenders, is received by PCK prior to the deadline prescribed for submission of tenders The tenderer s modification or withdrawal notice shall be prepared, sealed, marked and dispatched in accordance with the provisions of paragraph A withdrawal notice may also be sent by fax or but followed by a signed confirmation copy, postmarked not later than the deadline for submission of tenders No tender may be modified after the deadline for submission of tenders No tender may be withdrawn in the interval between the deadline for submission of tenders and the expiration of the period of tender validity. Withdrawal of a tender during this interval may result in the Tenderer s forfeiture of its tender security, pursuant to paragraph Opening of Tenders 9 P a g e

10 PCK will open all tenders in the presence of tenderers representatives who choose to attend, on TUESDAY, 8 TH DECEMBER 2015 AT AM and in the location specified in the invitation for tenders. The tenderers representatives who are present shall sign a register evidencing their attendance The tenderers names, tender modifications or withdrawals, tender prices, discounts, and the presence or absence of requisite tender security and such other details as the Procuring entity, at its discretion, may consider appropriate, will be announced at the opening PCK will prepare minutes of the tender opening, which will be submitted to tenderers that signed the tender opening register and will have made a request Clarification of Tenders To assist in the examination, evaluation and comparison of tenders PCK may, at its discretion, ask the tenderer for a clarification of its tender. The request for clarification and the response shall be in writing, and no change in the prices or substance of the tender shall be sought, offered, or permitted Any effort by the tenderer to influence PCK in the tender evaluation, tender comparison or contract award decisions may result in the rejection of the tenderers tender Preliminary Examination and Responsiveness PCK will examine the tenders to determine whether they are complete, whether any computational errors have been made, whether required sureties have been furnished, whether the documents have been properly signed, and whether the tenders are generally in order Arithmetic errors will be rectified on the following basis. If there is a discrepancy between the unit price and the total price that is obtained by multiplying the unit price and quantity, the unit price shall prevail, and the total price shall be corrected. If the candidate does not accept the correction of the errors, its tender will be rejected, and its tender security forfeited. If there is a discrepancy between words and figures, the amount in words will prevail PCK may waive any minor informality or non-conformity or irregularity in a tender which does not constitute a material deviation provided such waiver does not prejudice or affect the relative ranking of any tenderer Prior to the detailed evaluation, pursuant to paragraph 2.20, PCK will determine the substantial responsiveness of each tender to the tender documents. For purposes of these paragraphs, a substantially responsive tender is one which conforms to all the terms and conditions of the tender documents without material deviations. The Procuring entity s determination of a tender s responsiveness is to be based on the contents of the tender itself without recourse to extrinsic evidence If a tender is not substantially responsive, it will be rejected by PCK and may not subsequently be made responsive by the tenderer by correction of the nonconformity Conversion to single currency 10 P a g e

11 Where other currencies are used, PCK will convert those currencies to Kenya Shillings using the selling exchange rate on the date of tender closing provided by the Central Bank of Kenya Evaluation and Comparison of Tenders PCK will evaluate and compare the tenders which have been determined to be substantially responsive, pursuant to paragraph The Procuring entity s evaluation of a tender will take into account, in addition to the tender price, the following factors, in the manner and to the extent indicated in paragraph (a) Operational plan proposed in the tender; (b) Deviations in payment schedule from that specified in the Special Conditions of Contract Pursuant to paragraph the following evaluation methods will be applied. (a) Operational Plan (i) PCK requires that the services under the Invitation for Tenders shall be performed at the time specified in the Schedule of Requirements. Tenders offering to perform longer than the procuring entity s required delivery time will be treated as non-responsive and rejected. (b) Deviation in payment schedule (i) Tenderers shall state their tender price for the payment on the schedule outlined in the special conditions of contract. Tenders will be evaluated on the basis of this base price. Tenderers are, however, permitted to state an alternative payment schedule and indicate the reduction in tender price they wish to offer for such alternative payment schedule. PCK may consider the alternative payment schedule offered by the selected tenderer The tender evaluation committee shall evaluate the tender within 15 days from the date of opening the tender Contacting the Procuring entity Subject to paragraph 2.19, no tenderer shall contact PCK on any matter relating to its tender, from the time of the tender opening to the time the contract is awarded Any effort by a tenderer to influence PCK in its decisions on tender evaluation, tender comparison, or contract award may result in the rejection of the Tenderers tender Post-qualification PCK will verify and determine to its satisfaction whether the tenderer that is selected as having submitted the lowest evaluated responsive tender is qualified to perform the contract satisfactorily The determination will take into account the tenderer financial and technical capabilities. It will be based upon an examination of the documentary evidence of the tenderers qualifications submitted by the tenderer, pursuant to paragraph , as well as such other information as PCK deems necessary and appropriate 11 P a g e

12 An affirmative determination will be a prerequisite for award of the contract to the tenderer. A negative determination will result in rejection of the Tenderer s tender, in which event PCK will proceed to the next lowest evaluated tender to make a similar determination of that Tenderer s capabilities to perform satisfactorily Award Criteria Subject to paragraph 2.29 PCK will award the contract to the successful tenderer whose tender has been determined to be substantially responsive and has been determined to be the lowest evaluated tender, provided further that the tenderer is determined to be qualified to perform the contract satisfactorily To qualify for contract awards, the tenderer shall have the following:- (a) Necessary qualifications, capability experience, services, equipment and facilities to provide what is being procured. (b) Legal capacity to enter into a contract for procurement (c) Shall not be insolvent, in receivership, bankrupt or in the process of being wound up and is not the subject of legal proceedings relating to the foregoing. (d) Shall not be debarred from participating in public procurement Procuring entity s Right to accept or Reject any or all Tenders PCK reserves the right to accept or reject any tender, and to annul the tendering process and reject all tenders at any time prior to contract award, without thereby incurring any liability to the affected tenderer or tenderers or any obligation to inform the affected tenderer or tenderers of the grounds for the Procuring entity s action. If PCK determines that non of the tenders is responsive, PCK shall notify each tenderer who submitted a tender PCK shall give prompt notice of the termination to the tenderers and on request give its reasons for termination within 14 days of receiving the request from any tenderer A tenderer who gives false information in the tender document about his qualifications or who refuses to enter into a contract after notification of contract award shall be considered for debarment from participating in future public procurement Notification of Award Prior to the expiration of the period of tender validity, PCK will notify the successful tenderer in writing that its tender has been accepted The notification of award will signify the formation of the contract subject to the signing of the contract between the tenderer and PCK pursuant to clause 2.9. Simultaneously the other tenderers shall be notified that their tenders were not successful Upon the successful Tenderer s furnishing of the performance security pursuant to paragraph 2.29 PCK will promptly notify each unsuccessful Tenderer and will discharge its tender security, pursuant to paragraph Signing of Contract 12 P a g e

13 At the same time as PCK notifies the successful tenderer that its tender has been accepted, PCK will simultaneously inform the other tenderers that their tenders have not been successful Within fourteen (14) days of receipt of the Contract Form, the successful tenderer shall sign and date the contract and return it to the Procuring entity The contract will be definitive upon its signature by the two parties The parties to the contract shall have it signed within 30 days from the date of notification of contract award unless there is an administrative review request Performance Security The successful tenderer shall furnish the performance security in accordance with the Conditions of Contract, in a form acceptable to PCK Failure by the successful tenderer to comply with the requirement of paragraph 2.29 or paragraph shall constitute sufficient grounds for the annulment of the award and forfeiture of the tender security, in which event PCK may make the award to the next lowest evaluated tender or call for new tenders Corrupt or Fraudulent Practices PCK requires that tenderers observe the highest standard of ethics during the procurement process and execution of contracts. A tenderer shall sign a declaration that he has not and will not be involved in corrupt or fraudulent practices PCK will reject a proposal for award if it determines that the tenderer recommended for award has engaged in corrupt or fraudulent practices in competing for the contract in question Further a tenderer who is found to have indulged in corrupt or fraudulent practices risks being debarred from participating in public Procurement in Kenya. 13 P a g e

14 APPENDIX TO INSTRUCTIONS TO TENDERERS The following information for the provision of General Insurance Brokerage services shall complement, supplement, or amend, the provisions on the instructions to tenderers. Wherever there is a conflict between the provisions of the instructions to tenderers and the provisions of the appendix, the provisions of the appendix herein shall prevail over those of the instructions to tenderers. Instruction to tenderers reference Particulars of Appendix to instructions to tenderers 2.1 This Invitation for Tenders is open to all eligible insurance Brokers as described in the Invitation to Tender. Successful tenders shall provide the insurance services for the period specified in the schedule of Requirements Section V (b) As indicated in the instruction to tenderers and tender notice As (b) above As (b) above 14 P a g e

15 SECTION III - GENERAL CONDITIONS OF CONTRACT TABLE OF CLAUSES 3.1 Definitions 3.2 Application 3.3 Standards 3.4 Use of Contract Documents and Information 3.5 Patent Rights 3.6 Performance Security 3.7 Delivery of Services and Documents 3.8 Payment 3.9 Prices 3.10 Assignment 3.11 Termination for Default 3.12 Termination for Insolvency 3.13 Termination for Convenience 3.14 Resolution of Disputes 3.15 Governing Language 3.16 Applicable law 3.17 Force Majeure 3.18 Notices 15 P a g e

16 SECTION III GENERAL CONDITIONS OF CONTRACT 3.1. Definitions In this Contract, the following terms shall be interpreted as indicated: (a) The Contract means the agreement entered into between PCK and the tenderer, as recorded in the Contract Form signed by the parties, including all attachments and appendices thereto and all documents incorporated by reference therein. (b) The Contract Price means the price payable to the tenderer under the Contract for the full and proper performance of its contractual obligations (c) The Services means services to be provided by the tenderer including any documents, which the tenderer is required to provide to PCK under the Contract. (d) The Procuring entity means the organization procuring the services under this Contract (e) The Contractor means the organization or firm providing the services under this Contract. (f) GCC means the General Conditions of Contract contained in this section. (g) SCC means the Special Conditions of Contract (h) Day means calendar day 3.2. Application These General Conditions shall apply to the extent that they are not superseded by provisions of any other part of the contract 3.3. Standards The services provided under this Contract shall conform to the standards mentioned in the schedule of requirements Use of Contract Documents and Information The Contractor shall not, without PCK s prior written consent, disclose the Contract, or any provision thereof, or any specification, plan, drawing, pattern, sample, or information furnished by or on behalf of PCK in connection therewith, to any person other than a person employed by the contractor in the performance of the Contract The Contractor shall not, without the Procuring entity s prior written consent, make use of any document or information enumerated in paragraph above Any document, other than the Contract itself, enumerated in paragraph shall remain the property of PCK and shall be returned (all copies) to PCK on completion of the contract s or performance under the Contract if so required by the Procuring entity Patent Rights 16 P a g e

17 3.5.1 The Contractor shall indemnify PCK against all third-party claims of infringement of patent, trademark, or industrial design rights arising from use of the services under the contract or any part thereof. 3.6 Performance Security 3.6.1Within thirty (30) days of receipt of the notification of Contract award, the successful tenderer shall furnish to PCK the performance security where applicable in the amount specified in SCC The proceeds of the performance security shall be payable to PCK as compensation for any loss resulting from the Tenderer s failure to complete their obligations under the Contract The performance security shall be denominated in the currency of the Contract, or in a freely convertible currency acceptable to PCK and shall be in the form of: a) Cash. b) A bank guarantee. c) Such insurance guarantee approved by the Authority. d) Letter of credit The performance security will be discharged by PCK and returned to the Candidate not later than thirty (30) days following the date of completion of the Contractor s performance of obligations under the Contract, including any warranty obligations, under the Contract Delivery of services and Documents Delivery of the services shall be made by the Contractor in accordance with the terms specified by PCK in the schedule of requirements and the special conditions of contract 3.8. Payment The method and conditions of payment to be made to the contractor under this Contract shall be specified in SCC Payment shall be made promptly by the Procuring entity, but in no case later than sixty (60) days after submission of an invoice or claim by the contractor 3.9. Prices Prices charges by the contractor for Services performed under the Contract shall not, with the exception of any price adjustments authorized in SCC vary from the prices quoted by the tenderer in its tender or in the procuring entity s request for tender validity extension the case may be. No variation in or modification to the terms of the contract shall be made except by written amendments signed by the parties Contract price variations shall not be allowed for contracts not exceeding one year (12 months) Where contract price variation is allowed the variation shall not exceed 10% of the original contract price 17 P a g e

18 3.9.4 Price variation requests shall be processed by PCK within 30 days of receiving the request Assignment The Contractor shall not assign, in whole or in part, its obligations to perform under this Contract, except with the Procuring entity s prior written consent Termination for Default PCK may, without prejudice to any other remedy for breach of Contract, by written notice of default sent to the Contractor terminate this Contract in whole or in part: (a) if the Contractor fails to provide any or all of the services within the period(s) specified in the Contract, or within any extension thereof granted by the Procuring entity. (b) If the Contractor fails to perform any other obligation(s) under the Contract (c) If the Contract in the judgment of PCK has engaged in corrupt or fraudulent practices in competing for or in executing the contract In the event PCK terminates the contract in whole or in part, it may procure, upon such terms and in such manner as it deems appropriate, services similar to those un-delivered and the Contractor shall be liable to PCK for any excess costs for such similar services. However the contractor shall continue performance of the contract to extent not terminated Termination for Insolvency PCK may at any time terminate the contract by giving written notice to the Contractor if the contractor becomes bankrupt or otherwise insolvent. In this event, termination will be without compensation to the contractor, provided that such termination will not prejudice or affect any right of action or remedy, which has accrued or will accrue thereafter to the procuring entity Termination for Convenience PCK by written notice sent to the contractor may terminate the contract in whole or in part, at any time for its convenience. The notice of termination shall specify that the termination is for the procuring entity s convenience, the extent to which performance of the contract by the contractor is terminated and the date on which such termination becomes effective For the remaining part of the contract after termination PCK may elect to cancel the services and pay to the contractor an agreed amount for partially completed services Resolution of Disputes 18 P a g e

19 PCK and the contractor shall make every effort to resolve amicably by direct informal negotiations any disagreement or disputes arising between them under or in connection with the contract If after thirty (30) days from the commencement of such informal negotiations both parties have been unable to resolve amicably a contract dispute either party may require that the dispute be referred for resolution to the formal mechanisms specified in the SCC Governing Language The contract shall be written in the English language. All correspondence and other documents pertaining to the contract, which are exchanged by the parties, shall be written in the same language Applicable Law The contract shall be interpreted in accordance with the laws of Kenya unless otherwise expressly specified in the SCC Force Majeure The Contractor shall not be liable for forfeiture of its performance security, or termination for default if and to the extent that its delay in performance or other failure to perform its obligations under the Contract is the result of an event of Force Majeure Notices Any notices given by one party to the other pursuant to this contract shall be sent to the other party by post or by Fax or and confirmed in writing to the other party s address specified in the Special Condition of Contract A notice shall be effective when delivered or on the notices effective date, whichever is later. 19 P a g e

20 SECTION IV SPECIAL CONDITIONS OF CONTRACT 4.1. CONDITIONS TO BE MET BY THE INSURANCE COMPANY Must be registered with the Insurance Regulatory Authority for the current year and a copy of the current license be submitted Must have done at least annual gross premiums in previous year of Kshs 1.5 billion Must have paid up capital of at least Kshs. 300 Million Must give a list of at least five (5) reputable corporate clients having similar Medical cover as envisaged herein and the total client s premiums for the last three years i.e. 2012, 2013, Must submit recommendation from the listed clients under for the services envisaged under this tender Must submit duly signed audited accounts for the last three (3) years i.e. 2012, 2013 and Must submit copies of the following documents; a) PIN Certificate b) Tax Compliance Certificate c) Certificate of Incorporation d) Clearance certificate from Credit Reference Bureau Must be a member of the Association of Kenya Insurer (AKI) and Membership certificate be submitted CONDITIONS TO BE MET BY INSURANCE BROKER Must be registered with the Insurance Regulatory Authority for current year and a copy of the license be submitted Must have a Bank guarantee of Kshs. 3,000,000 deposited with the Insurance Regulatory Authority and a Copy be submitted Must have a professional Indemnity Insurance Cover of at least Kshs.30 Million and a Copy submitted Must submit a copy of the audited accounts for the last three year i.e. 2012, 2013 and Must be a current member of the Association of Insurance Brokers (AIB) and proof of membership be submitted Must provide a copy of underwriter s premium quotation Must analyze quotations and recommend the best underwriter for the quotations provided Must submit copies of the following documents; a. PIN Certificate b. Tax Compliance Certificate c. Certificate of Incorporation/Registration. d. Clearance certificate from Credit Reference Bureau Bids that do not contain all the above mandatory requirements will be declared non responsive and shall not be evaluated further. 20 P a g e

21 SPECIAL CONDITIONS OF CONTRACT AS RELATES TO THE GENERAL CONDITIONS OF CONTRACT Reference of general conditions of contract 3.6 Performance security Special condition of contract Within thirty (30) days of receipt of notification of Contract award, the successful tenderer shall furnish to Postal Corporation of Kenya the Performance Bond in form of a Bank guarantee. The Bank guarantee must be valid in Kenya and be at least 10% of the contract value. 3.7 Delivery of Services The Insurance brokerage services will be offered to PCK within the period indicated by the successful bidder(s) from the date of receiving n the local service order (LSO). 3.8 Payment Postal Corporation of Kenya (PCK) payment terms are that payment shall be made within sixty (60) days from the date the services are provided and/or contract is signed by the two parties. 3.9 Price adjustment Contract price variations shall not be allowed for contracts not exceeding one year (12) months. However, where contract price variation is allowed the variation shall not exceed 10% of the original contract price and shall be processed by Postal Corporation of Kenya (PCK) within 30 days of receiving the request Applicable law Law of Kenya P.O.BOX Notices NAIROBI 21 P a g e

22 EVALUATION CRITERIA MANDATORY REQUIREMENTS The submission of the following mandatory requirements will be required in the determination of the completeness of the bid. Bids that do not contain all the information required will be declared non responsive and shall not be evaluated further. NO. DESCRIPTION OF CRITERIA 1 Submission of Tender document to be forwarded Two envelope bid to be provided Tender should be valid for at least 180 days after the date of tender opening Tender Security of 5% of the tender sum to be attached Filled Confidential Business Questionnaire 2 Company Profile to be provided and Attach copy of: Certificate of Incorporation Registration with Insurance Regulatory Authority Registration with Association of Kenya Insurance 3 Managerial and key personnel competency profiles to be provided Attach: Organization chart Key Staff Competency Profiles 4 Financial Resources to be forwarded and Last three (3) years duly signed Audited Accounts to be submitted Name of bankers and Reinsurers to be attached Name of Actuarial Consultants be submitted Name of Auditors to be submitted 5 Physical facilities to be indicated and State: Physical address, postal address, telephone and fax numbers Owned or leased Number of branches; specify if applicable 6 Experience State number of years served in medical Insurance cover, and experience in Medical insurance portfolio. 7 Reputation Submit details of five major client, summary of services rendered, value of contracts and contact person, address and telephone numbers including those supplied to PCK 8 Social Obligations Submit certificate of compliance for the following; Tax Compliance Trade license from Nairobi city council 22 P a g e

23 23 P a g e TECHNICAL EVALUAUTION BIDDERS TECHNICAL CAPABILITY The following criteria will be used in the evaluation of all the potential suppliers. The documents submitted shall be evaluated for suitability and awarded marks by the technical evaluation committee and rank all the firms accordingly. NO. DESCRIPTION OF CRITERIA 1 Experience: Experience in provision of services of similar nature and magnitude in each of the last Five (5) years (1-yr=1mks, 2=3mks 3yrs=5mks, 4yrs=6mks, 5yrs =8marks, over 5yrs=10mrks) 2 Reputation: Proof of satisfactory service (recommendations from at least five clients in each of following categories:- (1) Civil Service or State Corporation 15 mks ( 2) Other sectors 5 mks 3 Competency profile: Qualifications of Chief Executive Officer and at least three key personnel managing Medical insurance portfolio:- (With A.C.I.I or AIIK )=10mks, Other qualifications =5mks) 4 Reports on financial Standing such as profit and loss statement and auditors report for the past three years signed by Auditor(s) who are approved by ICPAK for determining solvency and liquidity of the company. 5 Annual premiums Trend for past three years: Maximum Value of risk Firm is able to handle-kshs. 350 million and above ( upto 500 million =2mks, above 500 million=5mks) 7 (a) Network coverage & extensiveness of approved hospitals& service providers, flexibility and convenience (i). within Nairobi only or less than 20 counties ( Mrks=5) (ii) In over 20 counties( Mrks=15 PARTICULARS FROM THE DOCUMENTS SUBMITTED BY BIDDER (b) Inpatient and Outpatient Dental & Optical cover 5 MAX. SCORE

24 (c) Pre-existing, Chronic and HIV & Aids cover and 5 terrorism and political violence extension Last expense : Principal only 5 8 Proposal of scheme administration Case management and Claims turnaround time administration based on client references 9 Additional Benefits The tenderer may provide any other additional information/benefits offered relevant to provision of the medical insurance cover TECHNICAL EVALUATION COMMITTEE S RECOMMENDATIONS NO. MAJOR AREA OF CONCERN 1 Responsiveness of the tenderer to Public procurement Act requirements 2 Responsiveness of the tenderer to PCK requirements 3 Physical and Administrative Organization of Insurer/firm 4 Technical Ability of Insurer/firm to meet the specific performance targets of the tender 5 Financial Ability of Insurer to provide the General (Medical) Insurance Services 6 Suitability of Terms and Conditions for provision of services TECHNICAL EVALUATION COMMITTEE DECISION INDICATORS FROM THE EVALUATION EXERCISE RECOMMENDED OR NOT RECOMMENDED AGGREGATED SCORES Tenderers should note that only tenders that score 70% and above from technical evaluation and above will qualify to have their proposed financial evaluation analyzed. Those scoring below 70% will be disqualified at this stage. 24 P a g e

25 FINANCIAL EVALUATION Tenderers should note that the only tenders that attain 70% and above will qualify to have their financial bids evaluated. Those scoring below 70% will not be evaluated further and will be disqualified. The bidder who quotes the lowest on financial and shall have passed the technical evaluation stage will have their bids checked for accuracy and completeness and considered as the lowest evaluated bidder 25 P a g e

26 SECTION V: PRICE SCHEDULE FOR THE MEDICAL INSURANCE SERVICES FOR DIRECTORS (FINANCIAL PROPOSAL) (A) DETAILS OF INSURANCE MEDICAL COVER ARE AS FOLLOW: TERMS OF REFERENCE FOR MEDICAL INSURANCE COVER Postal Corporation of Kenya intends to procure medical insurance cover for its Directors. The policy will indemnify any loss in medical expenses incurred by the insured in the course of illness and/or accidental hospitalization. Period of cover One (1) year (from 1/1/2016 to 31/12/2016) renewable subject to satisfactory Performance No. of Directors SIX (6) Scope of cover To provide:- Insured In-Patient medical cover up to ksh.2 million a year Insured Out-Patient up to Kshs. 100, per year Last expense (only if a member dies while still in office) Kshs. 100,000/- Outpatient Dental Kshs.50,000/= Optical limit Ksh.50,000/= All reimbursement to be on 100% bases. Cover extended to include Terrorism, political violence and kindred risk up to a limit of Kshs. 250,000/= per Director Inpatient As listed above per annum per Director. For both local and overseas treatment. Provision of transport to and from the place of treatment both local and overseas. Outpatient As listed above per annum per Director Funeral cover/last expense: - As listed above. The cover applies only if a member dies while still in office B. IN-PATIENT BENEFITS (Directors Only) including but not limited to:- i. Admission in Scheduled and NHIF accredited hospitals. ii. Doctors, Surgeons and Specialist fees. iii. Laboratory investigations, X-rays, Ultrasound, MRI Scans. iv. Prescribed medicines, dressings, surgical appliances and nursing procedures. 26 P a g e

27 v. Theatre including surgeon s fees and anesthetists fees. vi. Intensive Care Unit (ICU)/High Dependency Unit (HDU). vii. Radiotherapy, Chemotherapy, Physiotherapy. viii. Day Care Surgery. ix. Post hospitalization visits/follow ups within 3 weeks after discharge. x. Accidental and non-accidental inpatient dental and optical to be covered within the inpatient limit xi. Cover for Chronic, Pre-existing, HIV and AIDS related conditions. C. OUT-PATIENT BENEFITS INCLUDING BUT NOT LIMITED TO i. Consultation with a Medical practitioner/ Specialists ii. Laboratory investigations and all other diagnostic procedures iii. Prescription medicines and Out-Patient procedures. iv. Outpatient dental limit ksh.50,000/= v. Outpatient optical limit Khs.50,000/= PRICE SCHEDULE N.B: Bidder must indicate premium per benefit, total premium and mode of premium settlement:- PREMIUM PER BENEFIT TOTAL PREMIUM MODE OF PREMIUM PAYMENTS (In Installment etc.) INPATIENT 2,000,000 PER DIRECTOR OUTPATIENT 100,000 PER DIRECTOR a. OUTPATIENT DENTAL Ksh.50,000/= b. OUTPATIENT OPTICAL Ksh.50,000/= 27 P a g e

28 TERRORISM AND POLITICAL VIOLENCE EXTENSION KSH. 250,000/= PER DIRECTOR FUNERAL/LAST EXPENSE I) Ksh.100,000- PER DIRECTOR SERVICE LEVEL AGREEMENT WITH THE INSURER The Corporation will upon the award of the contract execute a Service Level Agreement with successful Insurer(s). The Service Level Agreement will cover the following areas:- 1. Structuring and obtaining optimum policy covers. 2. Analyze, review, scrutinize the policy document and any endorsements therein, and if the policy document is found satisfactory, such document to be deposited with the Corporation Secretary not later than 15 days of inception of the cover(s). 3. Ensure proper claims administration by fully coordinating prudent requirements between the Corporation and Insurer. 4. Ensure that all documented claims are settled within thirty (30) days 5. Negotiate any pertinent aspects of the policy that may arise during the term of the policy 6. Such other services as may be related or ancillary to the due performance of the above service. 28 P a g e

29 SECTION VI - STANDARD FORMS Notes on the standard Forms 1. Form of Tender - The form of Tender must be completed by the tenderer and submitted with the tender documents. It must also be duly signed by duly authorized representatives of the tenderer. 2. Contract Form - The contract form shall not be completed by the tenderer at the time of submitting the tender. The contract form shall be completed after contract award and should incorporate the accepted contract price. 3. Confidential Business Questionnaire Form - This form must be completed by the tenderer and submitted with the tender documents. 4. Tender Security Form - When required by the tender document the tenderer shall provide the tender security either in the form included hereinafter or in another format acceptable to the procuring entity. 5. Performance security Form - The performance security form should not be completed by the tenderer at the time of tender preparation. Only the successful tenderer will be required to provide performance security in the form provided herein or in another form acceptable to the procuring entity. 29 P a g e