Recommend approval for the renewal of an annual contract for Third Party Administrator (TPA) adjusting services for workers' compensation and auto liability claims with Gallagher Bassett^(D) for up to $228,384. 

The estimated amount includes a 3% increase annually per the approval of the original contract award on December 20, 2018, in the amount of $262,191. However, even with the 3% fee per claim increase the estimated cost of the contract was reduced by $ 34,000.00 due to recent years with lower claim counts and higher closure rates.

Gallagher Bassett Services has produced great results regarding claims handling and closure rates.  The City of Savannah has its highest claim closure rate in a 10 years span.  Gallagher Bassett’s services are continuously needed to control workers’ compensation costs for employees injured on the job and auto liability costs associated with City vehicles involved in collisions.

This is the third of four possible renewals.

The method used for this procurement was the request for proposal, which evaluates criteria in addition to the cost. Proposals were evaluated based on experience and technical competence, program management, coordination and quality assurance, capacity and functionality of claims management information systems, local participation, and fees. Proposals were originally received on October 2nd, 2018.
 

Gallagher Bassett^(D)            Tampa, FL           $228,384

(D) Indicates non-local, non-DBE owned business.

Approval