Ktrs fiduciary liabilty insurance

The Commonwealth of Kentucky Finance and Administration Cabinet, on behalf of the Kentucky Teachers' Retirement System (KTRS), is soliciting bids for fiduciary liability insurance coverage under Request for Bid 758 2400000300. The procurement seeks comprehensive fiduciary liability and defense cost insurance with additional coverage for cyber risk, HIPAA compliance, and civil fines and penalties for KTRS, which administers a defined benefit plan, qualified excess benefit and life insurance plan, health insurance provisions, and an optional savings component with a hybrid plan tier for members employed after January 1, 2022. The required deliverables include a fiduciary liability insurance policy with a $10,000,000 coverage limit and $500,000 per claim deductible, with a policy period running from January 30, 2024, through January 30, 2025, and options for four additional one-year renewal periods by mutual agreement, with a retroactive date of November 30, 1985. Bidders must be authorized insurers holding a Certificate of Authority from the Commonwealth of Kentucky and maintain a minimum A.M. Best Rating of B+ or higher, with bids submitted electronically through the Commonwealth eProcurement system by January 4, 2024, at 1:30 PM ET. Award will be determined on a best value basis with price as the sole measurable criterion on a 100-point scale, with the lowest-priced conforming bid receiving maximum points; all proposed pricing must remain valid for a minimum of 90 calendar days after the bid due date, and no price increases are permitted during the first 12 months of the contract. Written questions regarding the solicitation were due by December 21, 2023, at 12:00 PM ET, and should be directed to Debbie Mathews at Debbie.Mathews@ky.gov or 502-564-8649.

Kentucky resident bidders are eligible for reciprocal preference equal to preferences granted by the bidder's home state, while qualified bidders including Kentucky Correctional Industries and nonprofit organizations serving individuals with severe disabilities may receive additional preference points of up to 20 percent and 15 percent respectively. Bidders must complete and submit required affidavits attesting to compliance with Kentucky campaign finance laws, submit one marked copy and three copies of insuring agreements and sample policies for review, disclose all markets and insurers approached for quotations, and provide the successful vendor's A.M. Best Rating and Certificate of Authority number. The procurement documentation references sample policies from Euclid, including the Euclid Fiduciary Policy and Euclid Vanguard Fiduciary Liability Insurance Policy, which establish baseline coverage standards that bidder proposals must meet or exceed. As of the 2023 annual comprehensive financial report, KTRS assets totaled $27.08 billion with no loss runs reported and no pending regulatory issues or investigations related to the plans. No specific budget range or award value is disclosed in the solicitation documents; however, premium payment is due within 30 days of billing on an annual basis, and bidders must include a Kentucky Premium Surcharge of 1.8% and 3% Surplus Lines Tax if applicable in their total pricing submissions.