Fully Insured Vision Benefits

The City of Phoenix is requesting sealed proposals for fully insured vision benefits covering approximately 32,000 eligible participants (active employees, retirees, dependents, and survivors) under a five-year contract commencing January 1, 2028, with proposals due August 26, 2026, at 12:00 PM.

Offerors must meet minimum qualifications: a minimum of five consecutive years of operation providing fully insured vision benefits and five consecutive years of comparable experience serving private and public entities of similar size to the City of Phoenix. The incumbent contractor is Davis Vision by MetLife, administering the plan since January 1, 2021. All pricing must be firm and fixed for the entire five-year contract period; the City retains the right to terminate without penalty if terms are not deemed industry competitive and will apply a Most Favored Nations clause requiring contractors to provide any more favorable fee schedules established with similarly sized employee pools within thirty days of execution.

The contract scope includes two-tier coverage for active participants and three-tier options for retirees, with voluntary enrollment and payroll/pension-deduction premium collection. Key service requirements are 24/7 IVR support with live representatives Monday–Friday, 7 a.m. to 6 p.m. Arizona time; secure participant and employer portals with mobile app functionality; weekly electronic eligibility file processing within one business day; comprehensive monthly, quarterly, and annual reporting; and performance guarantees with annual fees placed at risk. Implementation must commence no later than May 2027 with full systems testing completed before January 1, 2028, at no additional cost. The contractor must maintain a large, stable national vision provider network, conduct annual satisfaction surveys, update provider directories every 72 hours, and establish dedicated account management teams. All communication materials, plan documents, and system implementations are included in premium costs with no additional fees.

Evaluation criteria are method of approach (425 points, 42.5%), qualifications and experience (300 points, 30%), and price (275 points, 27.5%). A non-mandatory pre-offer conference is scheduled for August 4, 2026, at 10:30 AM via WebEx. Written inquiries are due August 7, 2026, at 12:00 PM, with responses by August 19, 2026, at 5:00 PM. A 10% performance surety is required immediately upon award, and certificates of insurance must be submitted within 14 calendar days. Proposals must include a completed Financial Worksheet for pricing. Access to census data requires execution of a confidentiality agreement with The Segal Group, the City's benefits consultant.