Life Insurance Services - Technical Proposal Only

The Illinois Department of Central Management Services is seeking a vendor to provide a group life and accidental death & dismemberment (AD&D) insurance program for its employees and annuitants. This bid is only for the submission of technical proposals, and pricing information must be submitted separately under Bid Number B-14561. The contract will cover a basic life insurance program paid for by the state, as well as a supplemental program with optional employee, spouse, dependent, and AD&D coverages paid for by participating employees and annuitants. Proposals will be evaluated on technical criteria (600 points) and price (400 points). The current program covers over 200,000 members and 102,000 dependents, with premiums of $87.9 million in the last fiscal year. The Basic Life program operates on a participating basis, while the Supplemental program will transition to a retrospective premium arrangement with a target loss ratio of 87.5%. The technical proposal is due on June 2, 2020, and no paper responses will be accepted.

The solicitation includes a 5% Business Enterprise Program goal for the utilization of certified Minority, Women, and Persons with Disabilities Business Enterprises (BEP) as subcontractors. Vendors must submit a completed Utilization Plan demonstrating how they will meet this goal or provide documentation of their good faith efforts. The current incumbent vendor is Minnesota Life Insurance Company (Securian Financial), and the estimated initial contract term cost is $415,452,000. MetLife had previously protested the award to Securian, but the Chief Procurement Officer determined that the award must either be made to MetLife or the RFP must be cancelled and reissued.