Request for Committee Action
A briefing memo explaining the purpose, background, and impact of the requested action.
Contract amendment with Standard Insurance Company for employee life, disability insurance, and leave management services (RCA-2021-00180)
ORIGINATING DEPARTMENT
To Committee(s)
| # | Committee Name | Meeting Date |
|---|---|---|
| 1 | Policy & Government Oversight Committee | February 10, 2021 |
Action Item(s)
| # | File Type | Subcategory | Item Description |
|---|---|---|---|
| 1 | Action | Contract/Agreement | Authorizing an increase to Contract No. C-43267 with Standard Insurance Company, in the amount of $3,000,000 for a total amount not to exceed $13,099,776 for the contract terms of Jan. 1, 2021 to Dec. 31, 2021 and Jan. 1, 2022 to Dec. 31, 2022, for employee life and disability insurance and leave management services. |
Ward / Neighborhood / Address
| # | Ward | Neighborhood | Address |
|---|---|---|---|
| 1. | Not Applicable |
Background Analysis
The City has contracted with Standard Insurance Company to offer employee life insurance, disability insurance coverage and leave management administration. The contract covers services for administration, billing and customer service to City employees. The original professional services contract (C-43267) was for $2,366,592 annually, starting from 01/01/2018 through 12/31/2020, with the option to renew for two (2) additional one-year terms. The duration of the contract shall not exceed five years. Although the rates previously established are guaranteed; due to COVID the number of employee claims utilizing the services grew in 2020, therefore the associated administrative costs have also increased. An increased contract amount is requested to ensure continuity in the services provided by the provider. Additional funds are needed to complete the work for the two (2) additional one- year terms due to the uncertainty of COVID and the number of employee claims.
Enterprise Review
- Meets the City’s Equity and Inclusion goals for contracts over $100,000.
- Meets Small and Underutilized Business Program goals.