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Notice of Request for Proposals for Actuarial, Examination and CPA Services

Responses due no later than May 31, 2013, at 3:00 PM CT

Contact: Reyn Norman, General Counsel

(___) ___-____

5/1/2013

[Notice issued May 1, 2013; Revised May 20, 2013]

 

The Alabama Department of Insurance (DOI) hereby gives notice of the issuance of Requests for Proposals (RFP) for qualified respondents to provide the DOI with the following professional services:

  • Property and Casualty Insurance Actuarial Services
  • Life and Disability Insurance Actuarial Services
  • Certified Public Accountant Services
  • Insurer Examination Services
  • Insurer Market Conduct Examination Services
  • Insurer Investments Examination Services
  • Insurer Automated Examination Services

Contracts are contemplated to be awarded for the one-year of term October 1, 2013, through September 30, 2014. Responses to the RFP must be received not later than May 31, 2013, at 3:00 PM CDT. Each response must contain an original and three identical copies of the proposal.

Additional information is set forth in the attached files, each accessible in Adobe format:

  • RFP for Professional Actuarial Services for Property and Casualty Insurance: Adobe
  • RFP for Professional Actuarial Services for Life and Disability Insurance: Adobe
  • RFP for Professional CPA Services: Adobe
  • RFP for Professional Insurer Examination Services: Adobe
  • RFP for Professional Insurer Market Conduct Examination Services: Adobe
  • RFP for Professional Insurer Investments Examination Services: Adobe
  • RFP for Professional Computer Audit Services: Adobe

Exhibit B, the TeamMate® Confidentiality Agreement, must be submitted with every proposal except for CPA. A PDF copy is included above with each RFP. An additional copy in Word format is accessible here: Word

State law requires a Disclosure Statement to be submitted with every proposal. The form can be accessed from the Attorney General’s Web site at the following address:

http://www.ago.state.al.us/Page-Vendor-Disclosure-Statement-Information-and-Instructions> http://www.ago.state.al.us/Page-Vendor-Disclosure-Statement-Information-and-Instructions

For the procedures and forms for foreign corporations to qualify to do business in the State of Alabama, please visit the web page for the Alabama Secretary of State at http://www.sos.state.al.us/.

For additional information, please send an E-Mail request to Reyn.Norman@insurance.alabama.gov

REVISIONS TO THIS NEWS RELEASE AND RESPONSES TO QUESTIONS WILL BE POSTED BELOW.

 

General Questions applicable to multiple RFPs:

 

Question 1: Section 1.3.2 – Is the use of TeamMate® software absolutely required with this project? Are other methods to share data and report an option?

 

Answer 1:  For those RFPs requiring a demonstrated knowledge and experience in using the TeamMate® software, this is a requirement.  Additionally, in paragraph 2.3.6, a copy of the TeamMate® license must be included with any proposal.  No other method of work paper preparation and maintenance will be accepted.

 

Question 2:  Are you able/willing to share who is currently providing your actuarial services for both the P&C side and the Life and Disability side?  Also, are last year’s bids available for our review?

 

Answer 2:  The current actuarial contractors are Latta, Langston & Dyer (life only), Merlinos & Associates, Inc. (P&C only) and Taylor-Walker & Associates, Inc. (life and P&C).  We respectfully decline to make the bids available from last year and even if disclosed may not be indicative of bids for the next fiscal year; however, here are the total amounts paid for Actuarial services and expenses in the fiscal years indicated:

 

FY2010 (10/1/09 – 9/30/10)                   $451,746

FY2011 (10/1/10 – 9/30/11)                   $734,011

FY2012 (10/1/11 – 9/30/12)                   $497,710

FY2013 (10/1/12 – 4/30/13)                   $230,055

 

 

Question 3:  Can a vendor submit a proposal for only one employee classification service such as Computer Audit Specialist, or does the vendor need to submit on every employee classification?

 

Answer 3:  For RFPs requesting multiple employees, such as RFP#ALDOI-2013-04 for Insurer Examination Services, a proposal for less than all the employee positions contemplated will likely hurt the scoring for the proposal  However, there are specific proposals for positions also listed here, such as RFP#ALDOI-2013-05 for Insurer Market Conduct Examination Services, RFP#ALDOI-2013-06 for Insurer Investments Examination Services, and RFP#ALDOI-2013-07 for Insurer Automated Examination Services.

 

Questions applicable only to the P&C Actuary RFP:

 

Question 4: We have a question regarding the above referenced RFPs pertaining to paragraph 2.3.8. Pricing - Format.  Under Employee Classification, the Life & Disability RFP states that an Actuary - Level I can be an FSA, ASA, MAAA with 10 or more years relevant experience.  However, the Property & Casualty RFP states that an Actuary - Level I must be an FCAS with 10 or more years relevant experience.  Would the Department be willing to also accept an ACAS with 10 or more years relevant experience as a Level I Actuary under the Property and Casualty RFP?

 

Answer 4: No.  As indicated in Paragraph 1.3.1. of RFP#ALDOI-2013-01, FCAS is preferred.  Other accredited actuaries are to file under Level II.

 

 

Questions applicable only to the Insurer Examiner RFP:

 

Question 5:  How many examinations were conducted by vendors on average over the last three years?

 

Answer 5:  The requested information is not readily available and even if available would not be indicative of use in the next fiscal year; however, here are the total amounts paid for Insurer Examination services and expenses in the fiscal years indicated:

 

FY2010 (10/1/09 – 9/30/10)                   $447,746

FY2011 (10/1/10 – 9/30/11)                   $752,806

FY2012 (10/1/11 – 9/30/12)                   $564,787

FY2013 (10/1/12 – 4/30/13)                   $273,965

 

Question 6:  Does the ALDOI intend to award contracts to multiple vendors, or just one vendor?

 

Answer 6:  The Department typically selects two or three contractors for each service, but may select only one or may not select any at all.

 

Question 7: Who is/are the incumbent vendor(s)?

Answer 7:  Insurance Logic, Inc., and INS Regulatory Insurance Services, Inc.

 

Question 8: How many examinations does the ALDOI anticipate awarding to vendors during the contract period?

 

Answer 8:  We average about two examinations each year by contracted examiners.  Some years there are more, some years there may be none at all.