Stop Loss Insurance

The City of Frisco, Texas is seeking proposals for Stop Loss Insurance services through RFP No. 2507-106, with coverage effective from January 1, 2026, to December 31, 2026, and potential for up to four optional annual renewals. The procurement targets stop loss insurance for the city's self-funded health plan, covering 3,462 eligible employees with 3,312 participating members. The requested coverage includes specific and aggregate stop loss protection for medical and prescription services on a paid contract basis, with deductible options ranging from $225,000 to $325,000 and a $1,000,000 maximum annual reimbursement for aggregate coverage. Potential bidders must be "A" rated insurance companies with experience serving Texas municipalities. Key evaluation criteria include Overall Pricing (50 points) and Contract Specification Questionnaire Responses (50 points). Interested vendors must submit questions in writing by September 15, 2025, at 4:00 PM CT, with proposals due September 22, 2025, at 2:00 PM CT, either electronically via Bonfire or by submitting a CD/flash drive with one original hard copy.

The solicitation does not explicitly designate specific set-aside requirements for disadvantaged or minority-owned businesses, though the supplemental information document includes forms for minority/woman-owned business participation reporting. The current stop loss insurance provider is not definitively stated, but Cigna is mentioned as the medical administrator/TPA and Rx vendor. The city requires specific contract terms, including a 45% renewal rate cap, no new lasers at renewal, and plan mirroring of SPD definitions. While no specific budget range is provided, the current stop loss coverage includes specific composite rates of $102.48 and aggregate composite rates of $6.05. The procurement covers not only active employees but also retirees under 65 and seven COBRA participants, with no current case management vendor or reference-based pricing programs in place. Bidders must provide comprehensive information about their business entity, ownership structure, and potential subcontractors as part of their proposal.