Life Insurance RFP Question Responses

Transcription

1 Life Insurance RFP Question Responses 1. In review of the documents online, it appears some pertinent information was not provided. Could you please advise if you will be able to forward the following: See included RFP experience files. Paid premium by coverage (by month if available) for last 5 years Paid claims by coverage (by month if available) for last 5 years Number of lives and volume by month for each coverage for last 5 years Individual claim amounts by date of death, Active/Retiree status, including any conversion charges If premium waiver is in-force, an individual listing of approved claims which includes face amount, gender, age, date of disability and any reductions applicable Current rates and rate history for each coverage for last 5 years Recent premium billing Volume or claims by coverage if rates unavailable Listing of disabled employees not eligible for waiver that the City would wish to continue on transfer of business 2. We would need to evaluate Standard's, incumbent carrier, renewal information that would include 3-5 years of Life claim information. See included RFP experience. 3. Are we going to quote their LTD? In the background information 2.1 it states the Long Term disability contract is being bid at the same time. Is there disability claim information on this? The Disability RFP has been posted on Bidsync.com as of Monday, June 27 th. 4. Is there a renewal packet from Standard that would include monthly/annual premium for each product? See included RFP experience files. 5. Please provide all census files in Microsoft Excel. This has been done. 6. On the retiree census, please provide the Basic Life amounts of coverage. For those Retirees that have elected the Additional Life plan, we need to know the amounts of coverage. The census included in the RFP attachments includes this information. 7. On the Active Employee census, please provide the additional life amounts of coverage and spouse life amounts of coverage. The census included in the RFP attachments includes this information.

2 8. On Question 4.6, please clarify whether the customer satisfaction surveys are for the City, or for beneficiaries. For the City. 9. Please confirm that the LTD/Disability lines are going to be marketed, per the RFP. Confirmed. Bid was released on June 27, If yes, will you be providing the Disability RFP simultaneously or only after the Life marketing is complete? The Disability RFP will run simultaneously. 11. I noticed that the City is on a 7/1 anniversary cycle currently. Assuming this marketing is intended for 1/1/2012, will the City keep a 1/1 or 7/1 anniversary? The City would like to have contracts that coincide with our fiscal year which starts July Outside of obtaining competitive costs and benefits, are there any other issues with The Standard that we should be aware of and/or specifically address in our RFP response? No. 13. We just recently completed the renewal for the City's Voluntary AD&D plan, yet I see a request to quote this line of coverage. Please confirm if the renewal was accepted, as well as how we should approach this line of coverage in light of the marketing. Basic AD&D coverage is included with the Life Insurance plan. See policy certificate for details. 14. We will need the past 5 years of paid premium and paid claims as well as an individual claim listing. See included RFP experience files. 15. We will need a waiver of premium claim listing for all open waivers from past 5 years. See included RFP experience files. 16. We will need the Basic Life and Voluntary Life experience detailed above to be shown separately. See included RFP experience files. 17. Please provide inforce rates for all lines. This information will not be provided. Please see included RFP experience files. 18. Please provide rate history for past 5 years. This information will not be provided. Please see included RFP experience files. 19. Please identify any changes in plan design over the past 5 years. See policy certificate for plan design. Only minor changes have been made in the last five years. See attached list.

3 20. Could you please confirm if The Standard is completing a renewal for this marketing and if so, would it be possible to obtain their renewal position? This information is not available at this time. 21. There is tab labeled "2s_fcslife'. Please confirm what coverage this tab represents. Employees covered by 2X annual salary in supplemental coverage. 22. Who is the current LTD carrier? Standard Insurance Company. 23. Please provide eligibility requirements, definition of disability, and elimination period for the LTD coverage. This information is included with the LTD RFP. 24. Who is the current TPA? Standard Insurance Company insures the plan. There is no TPA. 25. Is the contract non-participating (fully-funded/insured)? The plan includes experience rated refunding for additional life while the basic life is experience rated but not participating. 26. Attachment F is missing a line for one of the AD&D plans. Please advise. All lines are included. 27. Attachment F has a line for Basic Waiver of Premium. Are you asking for us to quote a rate for the basic plan with waiver included? Yes. 28. How many enrollment meetings will the life insurer be expected to attend? How many different locations will these meetings be held at? How many employees will be at each location? During what time period will these meetings held (i.e. October 12-14, etc.)? The City estimates about 5 seminars/meetings per year at various locations as needed. Location and employee counts will vary. 29. Please provide a volume, premium, and claims history listing for the last 5 years for all Basic, Retiree, Supplemental, and Spouse and Child Life coverages separately. See attached RFP experience files. 30. Please provide rate history for the experience period provided. See included RFP experience files. 31. Please provide an individual claims listing for each coverage separately. See attached RFP experience files. 32. What are the current rates for each coverage? This information will not be provided. See attached RFP experience files.

4 33. Do retirees pay at a separate rate from the actives? Yes. 34. Do spouses pay at the same rate as the employee or do they have a separate rate? Dependent coverage is priced at a flat rate based on level of coverage. 35. Do the insureds with the $5,000 contributory coverage pay at the supplemental rate or is it a separate rate? They pay at the supplemental rate. 36. What are the renewal rates for all coverages, effective 7/1/11? This information is not available. 37. Are you open to age-banded tables for contributory coverage (not child) if it meant a decrease in our proposed rates? We are open to all pricing structures, though pricing for the RFP should follow the format included with the RFP. Alternate pricing structures can be included and should be clearly marked in your RFP response. 38. Please provide an open waiver list that includes date of birth, date of disability and supplemental coverage amount. See attached RFP experience files. 39. Please confirm that both the basic and the employee supplemental life is currently under a participating funding arrangement (deficits/surpluses). If so, are you asking that this funding arrangement continue? Both plans are underwritten on an experience rated participating basis and we do wish for this funding arrangement to continue. 40. Please provide the last 5 years of accounting reports for each participating coverage. See attached RFP experience files for what is available. 41. Please provide a copy of the most recent self-bill statement. This information will not be provided. 42. Are you requesting a 5 year rate guarantee or a 3 year with the ability to review rates in years 4 & 5 with contingencies? The City is open to either arrangement. 43. Please provide premium & claims history for all plans for the past three years. See attached RFP experience files. 44. Please provide waiver of premium claims details for the past three years. See attached RFP experience files.

5 45. In your questionnaire you ask the following: "Will your company allow employees and dependents to increase their coverage amount by one benefit level at open enrollment without evidence of insurability?" Based on the review of the current contract this does not appear to be a current benefit. Is this an enhancement you would like to provide? The City is open to enhancing its current benefit within the confines of its existing price structure. 46. Can you provide the rate history for the past three years for all coverages? This information will not be provided. See attached RFP experience files. 47. Please provide experience information from at least 1/1/08 to current? This includes, but is not limited to: a. Premium paid, average number of insured and average volumes, broken down by product ( Basic Life, Supplemental Life, Retirees, Dependent Life, AD&D, etc.) b. Claims Paid, also broken down by product c. If possible, claim information on losses to Police/Fire personnel d. Information on current rates (including step rates for Supplemental plan), and historical rates, broken down by product. e. List of employees currently on Waiver of Premium - please include date of loss, coverage type, coverage amount, age/dob See included RFP experience files. 48. Of the 600 projected lay-offs for 2011, what areas will these be coming from? Employees city-wide will be affected by the layoffs. 49. In our review of the questionnaire, question number 6.5 refers to the LTD contract. Please provide us with the LTD RFP or clarify. The Disability RFP has been posted on Bidsync.com as of Monday, June 27 th. 50. Census: Attachment I Under the Column Life Insurance Description" please clarify what STD NON-MGMT UNDER 65 W/DEPENDENTS 5000/1000 Age(0" and similar description mean. Are the only life retirees the ones with Life" in the description? The entire population of Attachment I are retirees. Attachment J Same issue as attachment I The entire population of Attachment J are retirees. Attachment H What does G3001X" mean on Supp Life tab? Employees covered by 1X annual salary in supplemental coverage. Attachment H What does FSCSL1" mean on FscLife tab? Employees covered by 1X annual salary in supplemental coverage. Attachment H Please clarify employees on 23_5kLife tab. Participants that

6 have $5k in supplemental life insurance coverage. Attachment H Can Spouse and Child Benefit be separated on 25_DepLife tab? No. 51. Experience: Please provide 3-5 Years of experience for basic and supplemental life separated Paid claims (Number of claims and Amount) Paid Premium Waiver of Premium (Number of claims and face amounts) Rate history See included RFP experience files. 52. General: What kind of participating account is this? The basic and voluntary life underwritten on an experience rated participating basis. We do wish this coverage to continue to be funded on this basis. Can we get a copy of the agreement? The certificate was included in the RFP. What, if any, enrollment system is being used today? The City uses it own eway Peoplesoft system. If an enrollment system is being used, what features are being supported and can be made available to the winning vendor? 53. Please provide current and/or renewal rates for Basic Life, Dependent Life, AD&D and Vol Life for each class requested. This information will not be provided. See attached RFP experience files. 54. Please provide 3-5 years of experience for the requested lines of coverage. See attached RFP experience files. 55. Please provide current cutbacks on the Life & Vol Life contract. There is no ADEA cutback on this plan and the City wishes to continue this feature. 56. In order to consider Grandfathering current amounts, please provide us with a bill listing current amounts for applicable employees. Please refer to the census. 57. There are three group names on the policy- The City of San Jose, The San Jose Sports Authority and The San Jose Arena Authority. Are all of these entities still covered, and are the employees for the two Authorities included in the census? All three are covered by the policy and the total amount of people covered under the Authority groups is less than five. Unfortunately due to error they are not included in the census and will not be provided at this stage of RFP.

7 58. Would you please provide a copy of your current Performance Guarantees so we may see if our PG's may need to be modified.. Please provide your standard performance agreement and guarantees. 59. Why is this business out to bid? The City is requesting proposals from interested benefit plan providers qualified to deliver to the City of San José employees, and their families, a high-quality life insurance program, which is essential to the City s ability to attract and retain a high-performing workforce. 60. Who handles enrollment, determination of who requires evidence of insurability and the EOI process, beneficiary records maintenance (are they electronic or paper?), and the eligibility files that are sent to the life carrier? Do you engage a TPA or is this done in-house? This is done in house. 61. Do you have a broker or consultant who will be reviewing the bids? We know there is no commission payable but are curious if there is a third party helping with the bid process. Yes, the City has a consultant who will be assisting with the review process. 62. Experiencea. Please provide the inforce rates and the rate history from 2007 to present. This information will not be provided. See attached RFP experience files. b. Please provide the last 3 to 5 years of experience data. This needs to include: - paid claims by experience period by coverage (if they can breakout active from retired - even better) - PW claims by experience period by coverage - premium by experience period by coverage - lives by experience period by coverage (if available) See attached RFP experience files. c. You ask for separate experience rated analysis of the basic and supplemental life plans- does this mean you will allow no cross application? That is correct. d. Can you provide a copy of the most recent renewal package? This information will not be provided. See attached RFP experience files. 63. Life Census - a. There are two retiree census - unfortunately we can not determine easily and in some cases at all what the basic benefit is. We will need the census to include a column as they did on the active census with the Basic benefit amount. b. The active census has tabs identified as FSCLife and SkLife -- who do these tabs identify? FSCLife corresponds to 1X salary in supplemental coverage. 5kLife identifies those with $5k in supplemental coverage. c. If there are lives with and without a Premium Waiver provision, we will need

8 those lives identified on the census. Please assume a premium waiver on all covered participants. 64. Your bid mentions that an LTD bid will be forthcoming soon. Has it been released, and if not, when should we look for it? The Disability RFP has been posted on Bidsync.com as of Monday, June 27 th.