Attachment A Scope of Work.pdf

ITB No. 25-84131503-ITB Page 1 of 8

ATTACHMENT A

SCOPE OF WORK

1. DEPARTMENT INSURANCE PROGRAM

The State of Florida has statutorily established the following two methods for state agencies and other governmental entities to obtain insurance coverage: (1) from the State Risk Management Trust Fund (SRMTF) administered by the Department of Financial Services, Division of Risk Management, for property, general liability, automotive liability, federal civil rights, court-awarded attorney’s fees in certain other proceedings against the state, and workers compensation, as established by Chapter 284, Florida Statutes; and (2) from commercial insurance purchased by the Division of State Purchasing pursuant to sections 287.022 and 287.042, Florida Statutes, as further specified in Rule 60A-1.015, Florida Administrative Code, for risks not eligible for coverage through the SRMTF.

Section 287.022(1), Florida Statutes, provides:

Insurance, while not a commodity, nevertheless shall be purchased for all agencies by the department, except that agencies may purchase title insurance for land acquisition and may make emergency purchases of insurance pursuant to s. 287.057(3)(a), Florida Statutes. The procedures for purchasing insurance, whether the purchase is made by the department or by the agencies, shall be the same as those set forth herein for the purchase of commodities.

State Purchasing operates the Department’s Insurance Program, which is responsible for the purchase and management of insurance for state agencies and Eligible Users, at their own choosing and based upon funding allocations.

The purpose and goal of the Department’s Insurance Program is to provide coverage at the best premium rates possible for Florida’s State Agencies.

2. PURPOSE

The Contractor shall market and secure an Insurance Policy on behalf of the State of Florida and the current Named Insureds that shall, at a minimum, include coverage that is the same or better coverage set forth in ITB Attachment L, Expiring Policy, as endorsed, incorporated herein by reference, and the coverage set forth in section 5, Coverage Requirements.

The Insurance Policy secured on behalf of the State of Florida and the Named Insureds shall be provided at the pricing specified in the Bid, provided in accordance with Florida Statutes, and conform with the terms and conditions specified in the Contract. The insurance policy shall have an effective date October 1, 2025, or such other date as shall prevent a lapse in the insurance coverage.

3. DEFINITIONS

Definitions contained in section 287.012, Florida Statutes (F.S.); Rule 60A-1.001, Florida Administrative Code (F.A.C.); and Attachment E, Enterprise Standard Terms and Conditions; are incorporated by reference. In the event of a conflict, the definitions listed in this section supersede the incorporated definitions for the purposes of this Scope of Work. All definitions apply in both their singular and plural sense.

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Agency – as defined in section 287.012(1), F.S.

Bid – The document(s) submitted by a Bidder in response to this ITB.

Bidder – A vendor who submits a bid to this ITB.

Broker or Vendor - An insurance intermediary that holds current and valid Florida resident or non-resident insurance license(s) in the appropriate line of business described in this ITB.

Business Day – Monday through Friday, inclusive, except for those holidays specified in section 110.117, F.S., from 8:00 a.m. to 5:00 p.m. at the Customer’s location.

Claim – A demand for recovery for loss or damages.

Contract Manager – The representative designated by the Department who will oversee all aspects of the Term Contract, monitor performance expectations, and serve as the primary point of contact for the Contractor.

Customer – A State Agency or Eligible User included on the insurance policy.

Department – The Department of Management Services (DMS), a state agency.

Eligible User –As defined in Rule 60A-1.001(4)(h), for purposes of insurance contracts procured pursuant to Section 287.022, F.S., only non-Agency state entities with a Department of Financial Services State Risk Management Trust Fund Certificate are eligible users.

Insurance Policy or Policy – As defined in section 627.402(3), F.S. The parties to the Insurance Policy will be the Department, the Named Insured, the Broker, and the Insurer.

Insurer – As defined in section 624.80(1), F.S. The insurance company selected by the Broker to provide insurance coverage as described in this ITB. The term ‘Underwriter’ is synonymous with ‘Insurer’ in this procurement.

Named Insured – Entities listed in this Scope of Work and those added during the Policy Period.

Policy Inception - The effective date of the Insurance Policy.

Policy Period – The time between the exact hour and date of Policy Inception and the hour and date of Policy expiration.

Premium – As defined in section 627.403, F.S.

Reciprocal Insurer – As defined in s. 629.021, F.S.

Risk Management Program – As defined in section 768.28(16), F.S.

Term Contract – The legally enforceable State Term Contract, as defined in section 287.012, F.S., between the Department and the Contractor.

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4. NAMED INSURED

The master policyholder is the State of Florida, c/o the Department of Management Services, Division of State Purchasing, 4050 Esplanade Way, Suite 360, Tallahassee, FL 32399-0950.

The following entities are the current Named Insureds for whom coverage is being sought:

DACS Department of Agriculture and Consumer Services DCF Department of Children and Families DFS Department of Financial Services DOH Department of Health FSDB Florida School for the Deaf and Blind HSMV Department of Highway Safety and Motor Vehicles VF-EOG Volunteer Florida (Executive Office of the Governor)

NOTE: Named Insured may be requested to be added or removed during the Policy Period as outlined in this SOW.

5. SCOPE OF WORK

5.1 Coverage Requirements

The State’s current program provides business automobile insurance for certain state agencies and eligible users. Insurance Policy coverage procured through this solicitation shall be the same or better policy form and coverage, including deductibles, as provided in Attachment L, Expiring Policy, as endorsed, and as set forth in this Scope of Work.

Key coverage requirements are provided in the sections below; however, other Policy requirements are located in Attachment L, Expiring Policy, as endorsed.

The Department reserves the right to request additions to or deletions from existing coverages or exposures stated in the Insurance Policy on behalf of the Named Insureds when deemed to be in the State's best interest in accordance with Section 5.15, Additions/Deletions.

5.2 Locations of Covered Property

The locations of covered automobiles operated by Named Insured vary throughout the State of Florida.

Coverage may be modified by the State throughout the Policy Period as required by each Named Insured throughout the Policy term, but the Named Insureds will remain responsible for any Premium payment assessed while participating in the Policy coverage.

5.3 Current Limits and Deductibles

Coverage will include combined single limit liability, personal injury property (PIP), medical payments, Collision and Other than Collision, as indicated in Attachment C, Price Sheet, and as provided by Attachment L, Expiring Policy, auto coverage declarations page, and as endorsed.

No Uninsured Motorist coverage is required.

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5.4 Valuation

Policy valuation is the actual cash value of the vehicle, except if otherwise noted on policy for those vehicles.

5.5 Named Insured Vehicle Usage

Each Named Insured has provided a summary of their automobile usage in Attachment N, Named Insured Auto Usage, which includes information regarding policies and procedures for usage of a scheduled vehicle.

Each Named Insured approves its own drivers. If a Bidder requires additional information for the approved drivers, the Bidder must:

1. Have selected the “Intends to Participate” for the solicitation in VIP and in the Business Network, and

2. Email the Procurement Officer identified in section 1.7 of the ITB. The subject line should reference solicitation number 25-84131503-ITB and request the approved driver list of the Named Insured. Any request for approved drivers’ information received by the

Procurement Officer after 2:00 P.M., September 8, 2024, will not be fulfilled before the deadline to submit bid and all required documents in MFMP Sourcing as set forth in the

Timeline of Events.

5.6 Historical Loss Information

The historical loss experience report dated July 2, 2025, for the current policy period is provided as Attachment M, Historical Loss Experience Report.

5.7 Premium Pricing

The Contractor shall adhere to the rates listed in the Price Sheet as submitted, which are incorporated by reference into the Contract. All coverage premiums assessed at Policy inception are fixed for the full Policy Period and shall not change.

5.8 Premium and Deductible Adjustments

Notwithstanding anything to the contrary herein, Premium, and deductible decreases issued by the Contractor are permissible at any time during the Policy Period.

Notwithstanding Paragraph II of the Contract and Section 2.1 of the Enterprise Terms and Conditions, adjustments in premiums and/or deductibles do not constitute a change to the Contract requiring an amendment executed by both Parties. After the Department provides written approval of any premium and/or deductible adjustments, the Department will incorporate such changes directly into the Contract documents.

5.9 Broker/Underwriter Responsibilities

The Broker will market and secure an business automobile insurance policy on behalf of the State of Florida and the Named Insureds, c/o the Department of Management Services, Division of State Purchasing, 4050 Esplanade Way, Suite 360, Tallahassee, FL 32399-0950.

Coverage can be provided through any available market accessible to the State for this risk.

Admitted, non-admitted, Reciprocal Insurers, and Risk Management Programs are acceptable coverage options.

If an admitted or non-admitted Insurer is selected by the Broker in response to this ITB, that Insurer must have an AM Best Key Financial Rating of at least A – or a Financial Performance Rating of V from the current AM Best’s Key Rating Guide.

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5.10 Customer Service and Administration

The Contractor shall provide Customers all services during Business Days. State agencies observe holidays in accordance with section 110.117, Florida Statutes.

The Contractor shall have a single point of contact to serve as Contract Manager as provided on Attachment K, Broker Information. The Contract Manager may support multiple Customers and must respond to Customer calls and/or emails within one (1) Business Day. The Contract Manager must be able to provide or arrange for all aspects of Customer support and problem resolutions. Back-up coverage must be provided by an equally knowledgeable person.

In addition to a dedicated Contract Manager, the Contractor shall provide toll-free Customer service phone support from 8:00 a.m. Eastern Time to 5:00 p.m. Eastern Time, Monday through Friday, except for National and State-recognized holidays. TDD (Telecommunication Device for the Deaf) access must be made available during the above-named Customer service operating hours.

5.11 Policy Administration

The Broker must aid in the fulfillment of all obligations to the Department and its Named Insureds as provided for under the Insurance Policy. Any failure by the Broker to provide Policy administration to the Department will constitute a breach of Contract. The Broker will, at a minimum:

5.11.1 Communicate with the Insurer on all changes to the Policy requested by the Department.

5.11.2 Provide endorsements for changes to the Policy schedule.

5.11.3 Forward premium payments to the Insurer, as appropriate.

5.11.4 Assist in the filing of claims and claim settlement payments.

5.12 Routine Communications

All routine communications and reports related to the Contract shall be sent to the Department’s Contract Manager. If any information listed on the ITB Attachment K, Broker Information Form changes during the life of the Contract, then the Contractor shall update the attachments and submit to the Department’s Contract Manager. Routine communications may be made by e-mail, regular mail, or telephone.

5.13 Broker License

The Broker, for the duration of the Contract term, must hold current and valid Florida resident or non-resident insurance license in the appropriate line of business for the insurance coverage provided under the Contract.

5.14 Insurance Policy Conditions

The resulting insurance policy must conform to the following coverage conditions:

5.14.1 The entire coverage is to be written under one insurance policy and represented by one insurer.

5.14.2 Coverage will be provided for the listed locations of the Named Insured.

5.14.3 The Broker and Insurer shall provide an Insurance Policy that conforms to Florida

Statutes 627.401 through to 627.443 as applicable, and with all other relevant and applicable statutes and regulations governing property and liability insurance.

5.14.4 Policy endorsements and invoices will be provided to the Named Insured and the Department as soon as coverage is bound.

5.14.5 Unless prohibited by underwriting guidelines, whenever possible, all claims

ITB No. 25-84131503-ITB Page 6 of 8 originated in foreign countries are to be filed and settled in the United States.

After Contract award, the Contractor must provide the Department an original and complete copy of the Insurance Policy, including declarations, insuring agreements, conditions, exclusions, schedule of coverage, and all necessary endorsements at Policy inception, or an insurance binder until such Insurance Policy is received. The Insurance Policy must include a manuscript endorsement, must conform to the requirements stated in the SOW and may not take exception to terms in the SOW. Failure to submit a complete. Insurance Policy will constitute sufficient grounds for termination.

5.15 Invoices for Insurance Premiums

In addition to the terms in Enterprise Standard Terms and Conditions subsection 6.1, Pricing, the following applies to Contractor invoicing:

5.15.1 Premiums will be invoiced annually at Policy Inception for the Named Insured.

5.15.2 Invoices are to contain enough detail for pre-and post-audit. Invoices must include an invoice number, the insurance company name, Federal Employer Identification Number, the Policy number, effective dates of coverage, a description of the coverage, payment due date, and a remittance address.

5.15.3 Invoices are to be issued in the name of the respective Named Insured and must be provided in writing to the respective Named Insured and to the Department's Contract Manager.

5.15.4 The Department’s Contract Manager may, but is not obligated to, assist the Broker in securing these payments to the best of its ability.

5.16 Additions/Deletions

The Department reserves the right to request additions to or deletions from existing coverages or exposures stated in the Insurance Policy on behalf of the Named Insured when deemed to be in the State's best interest. All requests for additions to or deletions from coverage will be made by the Department.

Additions in coverage or exposure must be consistent with current Contract Insurance Policy terms and conditions. However, the Insurer is not required to accept the State’s addition if it can document that such addition results in an exposure change warranting a change in the Insurance Policy conditions or terms.

The Broker and Underwriter have 30 days from receipt of the Department’s request to add coverage to the State Policy and receipt of all applicable previous and current coverage information to accept or reject the addition of coverage under the Policy.

5.17 Claims Settlement

The Contractor shall coordinate with the Named Insured and work with the appropriate Insurer to ensure proper settlement on any claims filed by the Named Insured.

5.17.1 Unless prohibited by underwriting guidelines, whenever possible, all claims originated in foreign countries are to be filed and settled in the United States.

5.17.2 Contractor shall act as the Division of State Purchasing’s advocate and intermediary amongst the Named Insured and Insurer(s) to facilitate communications and the full handling and settlement of claims.

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The Broker will comply with section 287.022, Florida Statutes, which requires an insurer or agent that pays a commission or any portion thereof to any person, on insurance purchased by the Department, to report such payment to the Department in writing and under oath within 30 days thereafter.

5.18 Independent Broker

The Broker and its employees, agents, representatives, and subcontractors are not employees or agents of the Department and are not entitled to the benefits of State employees. The Department will not be bound by any acts or conduct of the Broker or its employees, agents, representatives, or subcontractors. The Broker agrees to include this provision in all of its subcontracts under the Contract.

5.19 Insurer Serviceability

The Broker will notify the Department's Contract Manager of any concerns regarding the ability to provide ongoing services, claims settlement, or any diminished actions including, but not limited to, the reduction in the financial rating of the Insurer providing coverage subsequent to Contract award. Failure to notify the Department of concerns may, at the Department's option result in termination of the Insurance Policy.

5.20 Insurance Policy Cancellation

All cancellations must be calculated on a pro-rata basis and must adhere to the requirements of Florida law. For the purpose of this clause, pro-rata means, in the case of cancellation of an Insurance Policy, the return of the Premium for the unexpired term of the Policy, without penalty for interim cancellation. The Department reserves the right to cancel the Insurance Policy at any time by providing written notice to the Broker. Such cancellation request will be mailed to the Broker's Contract Manager. Cancellation notices from the Insurer will be as provided for in the Insurance Policy and must be mailed to the Department's Contract Manager.

5.21 Ad-Hoc Reports

The Department reserves the right to require additional information pertaining to the Contract.

5.22 Other Fee and Charges

The State may require additional assessments to be levied for specific insurance coverage types including, but not limited to, property and casualty insurance premiums except for those exempted by statute (workers’ compensation, medical malpractice, and national flood insurance).

Brokers and/or Insurers shall not include surplus line tax fees in the cost of this coverage, in accordance with section 626.932(4), Florida Statutes.

Fees or charges not indicated on Attachment C, Price Sheet, unless expressly required by law, are prohibited.

5.23 Contract Transition

Upon Contract expiration or termination, the Contractor shall ensure a seamless transfer of Contract responsibilities with any subsequent broker/insurer necessary to transition the products and services of the Contract. The Contractor and subsequent broker/insurer assume all expenses related to the Contract transition.

5.24 Payments

Payments by Named Insured shall be made in accordance with sections 215.422 and 287.0585, F.S.

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5.25 Financial Consequences

Failure to comply with the requirements of the Term Contract will result in the imposition of financial consequences. The following financial consequences will apply for the Contractor’s failure to meet the performance metric standard and due date corresponding with the deliverables under the Term Contract. The Customer may impose additional Financial Consequences beyond those stated herein to apply to that Customer’s purchase. The State of Florida reserves the right to withhold payment or implement other appropriate remedies, such as Term Contract termination, or nonrenewal, when the Contractor has failed to comply with the provisions of the Term Contract.

The financial consequences below will be paid and received by the Department of Management Services within 30 calendar days from the due date specified by the Department. These financial consequences below are individually assessed for failures over each target period beginning with the first full month or quarter of the Term Contract performance and every month or quarter, respectively, thereafter.

Financial Consequences Chart

Deliverable Performance Metric Performance Due

Date

Financial Consequence for Non-Performance

Contractor will provide binding documents timely to avoid policy lapse if multiple policy periods are contracted for.

All binding documents will be submitted timely with the required information.

Binding documents are due at least 5 calendar days prior to expiry unless otherwise agreed.

$250 per day late

Contractor will timely provide policy endorsements and invoices for added , modified or deleted coverage.

All endorsements and invoices will be submitted timely with the required information.

Certificates are due within 90 calendar day after receipt of request.

$100 per day late

Contractor will timely provide requested Certificates of Coverage for Named Insured.

All Certificates of Coverage will be submitted timely with the required information.

Certificates are due within 10 calendar day after receipt of request.

$100 per day late

No favorable action will be considered when Contractor has outstanding MFMP Transaction Fee Reports, or any other documentation owed to the Department or Customer, to include fees / monies, that are required under this Term Contract.