State Business Auto Coverage and Excess Liability Insurance

The State of Arkansas, through the Department of Transformation and Shared Services, Office of State Procurement, is soliciting bids for a comprehensive State Business Auto Coverage and Excess Liability Insurance contract serving two primary trust funds: the Arkansas Multi-Agency Insurance Trust (AMAIT) and the Arkansas Public School Insurance Trust (APSIT). The procurement covers insurance coverage for approximately 5,946 AMAIT and 5,313 APSIT auto units across 109 state agencies and 95 public school districts and educational cooperatives. The contract will provide business auto coverage with multiple liability limit options, including $250,000 and $1,000,000 combined single limit (CSL) in-state, with additional out-of-state coverage up to $5,000,000. Specific coverage requirements include liability protection, medical payments, uninsured/underinsured motorist coverage, and optional auto physical damage coverage. The bid is scheduled to be opened on May 27, 2025, at 10:00 a.m. Central Time, with an anticipated contract start date of July 1, 2025. The initial contract term will be three years, with potential renewals for up to four additional one-year terms, not exceeding seven consecutive years. Bidders must meet specific qualifications, including an A.M. Best Company rating of A (Excellent), Class FSC VIII or better, and demonstrate the ability to provide dedicated claims intake and account management.

The procurement appears to have no specific set-aside designations for disadvantaged enterprises. The incumbent vendor is Cincinnati Insurance Company, which currently provides insurance policies for both AMAIT and APSIT with varying premium structures. The current annual premiums for the existing policies are $1,499,386 for the $250,000 CSL AMAIT policy, $627,603 for the $1,000,000 CSL AMAIT policy, and $3,367,545 for the APSIT policy. Participation is mandatory for state agencies in the AMAIT program, while participation by public school districts in the APSIT program remains voluntary. The bid response packet includes several certification requirements, notably that prospective contractors cannot boycott Israel, knowingly employ illegal immigrants, boycott certain industries, or employ scrutinized companies. The successful bidder will need to integrate with existing state vehicle safety protocols, including the Arkansas State Vehicle Safety Program, and provide comprehensive insurance coverage across a diverse fleet of vehicles ranging from passenger cars and pickup trucks to specialized equipment like buses, tractors, and trailers.