Recommend approval to renew an annual sole source contract for medical and pharmacy stop loss insurance with International Assurance of Tennessee, Inc. in the estimated amount of $671,107.00.

This contract is used by the City of Savannah to provide for catastrophic claims reinsurance coverage for the City’s self-funded medical and pharmacy plans. The premium coverage is calculated based on member enrollment in the City’s self-funded medical and pharmacy plans. Member enrollment is estimated to be 1,168 members with single coverage and 1,163 members with family coverage. This contract reflects an increase of approximately 14% from the prior year. 

The reason this is a sole source contract is because the City’s current benefits consultant, USI Insurance Services, conducted a market assessment and determined this is the most cost effective plan.  

The contract term will be from January 1, 2019 through December 31, 2019.

Approval