Stop Loss Insurance

The City of McKinney, located in Collin County, Texas, is seeking proposals for Stop Loss Insurance through a Request for Proposal (RFP) No. 26-01RFP for its self-funded medical benefit program. The procurement aims to secure comprehensive stop loss insurance coverage for employees, retirees, and their dependents, with an effective date of January 1, 2026. The contract will initially be awarded for one year with options for four additional one-year renewals. The proposal requires Individual and Aggregate stop loss coverage encompassing both Medical and Pharmacy components. Evaluation criteria include cost (30 points), cost containment and innovative solutions (20 points), population health management programs (20 points), claims processing (10 points), integrated systems/technology (10 points), and communications/reporting (10 points), with a potential additional 25 points from an optional interview. The proposal submission deadline is October 9, 2025, at 2:00 PM CST, with electronic submissions accepted through the City's Bonfire procurement portal or via hard copy.

No specific set-aside designations or restrictions on responding organizations were explicitly mentioned in the documentation. The current vendor is Cigna, and the coverage is noncontributory. The city requires comprehensive reporting capabilities, eligibility tracking, enrollment/customer service, and claims administration as part of the proposed solution. The stop loss coverage will be maintained at a specific deductible of $200,000 with an unlimited aggregate maximum, demonstrating the city's approach to managing potential high-cost medical claims. While precise award values were not specified, the documentation includes detailed rate tables for medical insurance from 2022 to 2025, indicating a substantial and ongoing financial commitment. The city's key objectives include lowering costs, keeping financial uncertainty off financial statements, and minimizing employee anxiety during potential insurance changes. Respondents will need to provide detailed pricing information, including specific and aggregate rates, premiums, and factors for employee and family coverage.