Introduction and Background
A. Introduction and General Information
The City of Marshall invites written proposals from insurance agencies or brokers to act as the agent of record starting October 1, 2022. The City of Marshall expects to select a firm that will serve the City for a three (3) year period with the City’s option to extend to up to five (5) years. The ideal firm should have extensive experience working with municipalities. The agent of record will be selected based on the insurance agency or broker’s qualifications, experience, services provided, references and costs proposed to the City.
The City of Marshall’s insurance coverage for property, liability, automobile, and workers’ compensation is provided by the League of Minnesota Cities Insurance Trust (LMCIT). LMCIT requires cities to use the services of an agent to assist and advise a city on their insurance coverage. The policy coverage period is an annual term, with property, liability and automotive coverage effective October 1 each year and workers’ compensation coverage effective January 1 each year.
B. Scope of Work
The insurance agency or broker will be responsible for the following:
- Advise and assist the City in assembling and accurately reporting underwriting data, including updating property values, for rating purposes.
- Advise and assist the City in evaluating and selecting among coverage alternatives such as deductibles, limits, optional coverages, alternative coverage forms, etc.
- Assist with the gathering of information needed to complete the renewal application, and with application submission.
- Review of the LMCIT insurance policies for completeness and accuracy. Confirm that the schedules have been updated for the new data supplied during the renewal process. Review coverage documents and invoices to assure coverage has been correctly issued and billed. Provide the City with a recap of insurance costs and an explanation of premium increases for each renewal.
- Monitor the LMCIT policy and coverage options. Advise the City on potential gaps or overlaps in coverages. Provide explanations and recommendations of insurance coverage, deductibles, limits and other options as needed or requested.
- Review loss reports for accurate reporting, appropriateness of reserves, loss trends, etc.
- Assist in submitting claims and interpreting coverage as applied to particular claims.
- Assist as requested with safety and loss control activities.
- Perform risk assessment analysis as Assist the City in identifying risk exposures and developing appropriate strategies to address those exposures.
The insurance agency shall demonstrate their experience and qualifications by including in their proposal the following information:
C. Qualifications
- List the number of years the agency has been in business.
- List experience of working with municipalities insured by the LMCIT during the last five years.
- Detail the name(s), title(s), qualifications, experience, and professional designations of the agency’s staff proposed to service the City’s account.
- Detail the agency premium volume excluding personal lines of coverage (health, life, etc).
- Present limit of errors and omissions coverage in place for the agency and furnish information concerning your professional liability insurance.
- Describe any other agency resources or special qualifications that would be advantageous to the City.
- Provide a list of three references for municipal clients with entity name, coverage/service and contact information (name, title, email address and telephone number).
D. Agency Services
- Describe the services your organization would provide, throughout the year, to our account.
- Describe the service capabilities that set your Agency apart from its competitors.
- Explain the claims process. Describe your firm’s communication philosophy for keeping City Management informed on open claims to ensure that all claims are being managed appropriately.
- In no more than 100 words, offer any additional information related to why your firm should be the City of Marshall’s selected broker.
E. Transition
Describe your plan to assure a smooth transition if you were to assume responsibility for us as a client.
F. Fees
The fee proposed can be a commission based on percentage of premium or a dollar amount in lieu of a LMCIT commission. It is anticipated that the Agent will be appointed for a three (3) year period, with the City’s option to extend to five (5) years. An annual review process will be required and the City or Agent reserves the right to cancel the contract with a 60-day written notice. The insurance agency shall indicate in its proposal the fee required to service the City’s LMCIT insurance coverage for the policy periods starting October 1, 2022.
The proposed fees should cover all services requested in this request for proposal.
G. Rights of Review and Financial Liability Limitations
The City of Marshall reserves the right to reject any or all proposals, to request additional information from any or all applicants, to waive any submission deficiencies or procedural irregularities, and to negotiate the terms of any or all proposals as determined to be in the best interest of the City.
The City shall not be liable for any expenses incurred by the proposer including, but not limited to, expenses associated with the preparation and submission of the proposal, attendance at interviews, or final contract negotiations.
II. Instructions
A. Proposal Submission
Proposal submissions should contain the required elements in the following order:
- Title page which shows the proposal subject, name of the proposer’s agency address, telephone number, name of contact person and date.
- Proposing agency’s overview and qualifications
- References
- Agency Services
- Transition Plan
- Proposed fees
At least one (1) hard copy or one (1) electronic copy of the proposal must be received by 4:00 PM on July 29, 2022. Proposals should be emailed or delivered to:
Karla Drown, Finance Director City of Marshall
344 W Main Street Marshall, MN 56258
karla.drown@ci.marshall.mn.us 507-537-6764
All questions, correspondence and responses shall be directed to Finance Director Karla Drown. In the interest of fairness, do not contact other staff or elected/appointed officials with respect to this RFP.
B. Schedule
- City issues Request for Proposals: June 29, 2022
- Proposal due date: July 29, 2022
- Review of RFP’s completed/finalist interviews scheduled: August 5, 2022
- Interview and presentations (if needed): August 15-18, 2022
- Final decision/contract negotiation: August 24-26, 2022
- Agreement consideration by the City Council: September 13, 2022