25520001 - Third Party Adjusting Services

The California Department of Veterans Affairs is soliciting Third Party Adjusting Services through Invitation for Bid (IFB) No. 25520001, with proposals due on September 5, 2025. The contract seeks a claims management provider to handle approximately 325 new claims annually, including field adjuster referrals, multimedia reviews, and large loss or DIC claims processing. Successful bidders must demonstrate at least 10 years of Third Party Administrator (TPA) service experience and maintain a dedicated claims unit in California with staff including Account Executives, Desk Adjusters, Claims Managers, and Field Adjusters across Northern, Central, and Southern California regions. The procurement requires comprehensive claims handling services, which include processing claims from initial report through payment, conducting field inspections, managing reserves, negotiating settlements, and maintaining detailed documentation. Key evaluation criteria include pricing submitted on the Bid Rate Sheet, compliance with state requirements, and the ability to perform claims management tasks efficiently across various claim sizes ranging from $2,500 to over $30,000. The proposed contract term runs from October 1, 2025, through September 30, 2028, with questions from potential bidders accepted until August 29, 2025.

The solicitation includes significant provisions for Disabled Veteran Business Enterprise (DVBE) participation, offering bid incentives ranging from 1% to 5% for DVBE involvement, though there is no mandatory participation goal. Small businesses and micro businesses may also receive a 5% preference, with potential additional preferences for non-small businesses demonstrating substantial small business subcontractor participation. Bidders must complete multiple compliance certifications, including Civil Rights Laws Certification, Iran Contracting Act Verification, and Darfur Contracting Act Certification. The contract requires strict documentation matching, with all submitted documents needing identical company names corresponding to the Payee Data Record. While specific total contract value is not explicitly stated, the bid rate sheet suggests an estimated annual workload of 1,750 hours for large loss claims, indicating a potentially significant contract value. Prospective contractors must also disclose any intended use of Generative Artificial Intelligence (GenAI) in their proposal or deliverables, reflecting the state's evolving technology procurement standards.