19GE5021R0014_00002_Q and A_ set one.pdf

LES Health & Life Insurance 19GE5021R0014_00002

US Embassy Port Moresby, Papua New Guinea

Questions and Answers (Q&A)

RPSO has received the following nine (9) questions (Q), and is hereby providing the following answers (A).

1. Q: Please provide annual salary details of employees.

A: Salary Statistic has been provided as Exhibit B with amendment 00001.

2. Q: Recheck to either correct/ provide details of Date of Birth and Gender in cells colored in yellow in attachment

A: Please see attached updated Exhibit A.

3. Q: Is the accidental death benefit of 12 times the monthly basic salary in addition (or exclusive) to the natural death benefit of 12 times the monthly basic salary?

A: Exclusive, not additional. For accidental death, 12 times the monthly basic salary is the total benefit amount. In the case of natural death, 12 times the monthly basic salary is the total benefit amount.

4. Q: The annual maximum limit for health is in PGK and SBD, but some of the benefit limits like hearing aid, optical care, etc are in US Dollars. What exchange rate would apply?

A: The official Department of State exchange rate in effect on the day the proposals are due (the same ROE that will be used when proposals are received in different currencies). It will be noted in the contract.

5. Q: Please provide a claims history for health Insurance for the current year and EACH of the last 5 years - 2021 (till now), 2020, 2019, 2018, 2017, and 2016.

It is standard practice in the insurance industry (and in other Department of State insurance solicitations) to provide this information to ensure equal/fair opportunity for all offerors in an open solicitation.

See attached PDF document

6. Q: Do the claim numbers provided for Question # 5include claims from ORE employees?

A: See attached PDF document

7. Q: Please provide a claims history for life Insurance for the current year and EACH of the last 5 years - 2021 (till now), 2020, 2019, 2018, 2017, and 2016.

It is standard practice in the insurance industry (and in other Department of State insurance solicitations) to provide this information to ensure equal/fair opportunity for all offerors in an open solicitation.

A: See attached PDF document

8. Q: Please provide the average insured member counts for health insurance for the current year and EACH of the last 5 years - 2021 (till now), 2020, 2019, 2018, 2017, and 2016.

It is standard practice in the insurance industry (and in other Department of State insurance solicitations) to provide this information to ensure equal/fair opportunity for all offerors in an open solicitation.

A: 2020 – 100

B: 2019 – 94

C: 2018 - 86

D: 2017 - 81

E: 2016 - 77

9. Q: Advise if 2020 benefit schedule for life and health insurance are the same as the benefit schedule currently being requested under 19GE5021R0014; and if not advise us on the differences. Alternatively, you can simply provide the previous solicitation document.

A: This is a new requirement with an entirely different Statement of Work (including different Benefit levels) and different clauses and provisions. It can therefore not be compared to any previous contracts for similar (but not same) requirements.

10. Q: When is this plan likely to commence?

A: Contract performance is estimated to start in March 2021.

11. Q: Premium Payments for Insurance need to be in Advance either annually or quarterly.

Insurance Premiums, in principal, is not a arrears payment. Risk Premium is always due in Advance anywhere in the world. We will accept Monthly Advance premiums if necessary must be that way; however we request that the Embassy strongly reconsider this to at least quarterly in advance (refer page 23, V.9.3, V.9.4). We will accept your decision here regardless and will set up the Price-sheet accordingly.

A: Advance payment is not possible for either part of the contract (Health and Life Insurance).

We have contracts for Health and Life insurance in place for other Embassies and none of them are paid for in advance.

Usually payments are made after services have been fully received.

We understand that for insurance premiums the coverage starts at the beginning of the month, so invoices can be paid as soon as services are being received (i.e. the beginning of the month).

If the contractor submits their monthly invoice for January on the first of January, Port Moresby can start the process the invoice as they are in the process of receiving the services.

If the contractor submits the January invoice in December, the invoice cannot be processed yet, as the services are not being received yet and that would be an advance payment, which is not authorized.

US Embassy - LES Staff Claim History As of Janaury 2021 Direct Billed to Service Provider Life Insurance Corporation (PNG) Ltd

Consolidated Medical Claim History

Claimed Amounts (K) Claim Type Pending Calims (K) Totals

2016-2017 (Approx) 190,988 80% Direct Billed 0

2017-2018 (Approx) 180,100 80% Direct Billed 0

2018-2019 207,696 80% Direct Billed 0

2019-2020 220,725 80% Direct Billed 0

2020 (3 Months to Dec 20) 60,225 80% Direct Billed 0

Life/Death Claim History

Number of Claims Claimed Amounts (K) 2015-2016 1 Death (Member) 12,500 2016-2017 1 Death (Member) 12,500 2017-2018 Nil 2018-2019 Nil - 2019-2020 1 Death (Member) 13,000 2020-2021 Nil -

Total 526,646.41

US Embassy - Medical Details

2020-21 2019-20 2018-19 Oct 19,401 9,999 12,987 Nov 24,037 12,159 9,790 Dec 16,788 14,808 11,089 Jan 15,808 45,464 Feb 16,137 13,606 Mar 10,898 19,374 Apr 11,953 16,631 May 15,306 15,895 Jun 31,440 16,831 Jul 16,946 18,290 Aug 37,039 16,403 Sep 28,233 11,337 Total claims 60,225 220,725 207,696

Prior Years Monthly Details Unavalaible