United Kingdom-London: Discretionary Mutual Management Services

Notice Abstract
Hampshire County Council is tendering on behalf of the Fire and Rescue Indemnity Company Limited (FRIC) in order to find a suitable Provider to deliver Management Services for the FRIC's Discretionary Mutual. The suitable provider will manage a discretionary pooling of funds. This process is a recognised alternative to conventional insurance. When the size of each body is not sufficiently large to carry the risk of a large policy deductible or excess these cost saving benefits can be achieved through a discretionary pool. The discretionary element is a legal device to ensure that the arrangement is not treated as an insurance company, thereby requiring significant working capital to be deposited.

Notice Details
Prior information notice
This notice is for prior information only

Directive 2014/24/EU - Public Sector Directive

Directive 2014/24/EU

Section I: Contracting Change entity
I.1) Name and addresses
Fire and Rescue Indemnity Company Limited

7, Maltings Place, 169 Tower Bridge Road

London

SE1 3JB

UK

Contact person: Procurement Support Team

Telephone: +44 1962832323

E-mail: procurement.support@hants.gov.uk

NUTS: UKJ3

Internet address(es)

Main address: http://www.fric.org.uk/

I.3) Communication
Additional information can be obtained from the abovementioned address


I.4) Type of the contracting authority
Body governed by public law

I.5) Main activity
Public order and safety

Section II: Object
II.1) Scope of the procurement
II.1.1) Title
Discretionary Mutual Management Services

Reference number: EX13114

II.1.2) Main CPV code
66510000


II.1.3) Type of contract
Services

II.1.4) Short description
Hampshire County Council is tendering on behalf of the Fire and Rescue Indemnity Company Limited (FRIC) in order to find a suitable Provider to deliver Management Services for the FRIC's Discretionary Mutual. The suitable provider will manage a discretionary pooling of funds. This process is a recognised alternative to conventional insurance. When the size of each body is not sufficiently large to carry the risk of a large policy deductible or excess these cost saving benefits can be achieved through a discretionary pool. The discretionary element is a legal device to ensure that the arrangement is not treated as an insurance company, thereby requiring significant working capital to be deposited.

II.1.5) Estimated total value
Value excluding VAT: 7 000 000.00 GBP

II.1.6) Information about lots
This contract is divided into lots: No

II.2) Description
II.2.2) Additional CPV code(s)
66516500

66514100

66514110

66517300

66518300

II.2.3) Place of performance
NUTS code:

UKI3

II.2.4) Description of the procurement
The FRIC is interested in hearing from Suppliers who would be able to provide Management Services to their Discretionary Mutual.

The FRIC wish to establish a contract for a maximum of 9 years on the following basis: 3 years with the option to extend in increments of 3 years + 3 years.

The mutual would be run on a day to day basis by professional managers appointed by the mutual. They will be required to meet all the necessary professional requirements of the Financial Conduct Authority and would also bring experience and specialist market knowledge as well as providing actuarial services to financial modelling and claims management.

The FRIC is made up of 9 Fire and Rescue authorities. Hampshire, Cambridgeshire, Royal Berkshire, Essex, Kent, Cheshire, Devon and Somerset, Bedfordshire, Leicestershire. Other Fire authorities may join through the proposed 9 year period.

Provision of Discretionary Mutual Management Services to the Fire and Rescue Indemnity Company Ltd.

Including but not limited to:

— executive management,

— programme optimisation,

— underwriting and operations,

— protection programme (excess and aggregate insurances. nb: excludes procurement of insurance),

— claims,

— finance,

— IT (enabling and supporting the other service components),

— governance, legal, regulatory and compliance,

— operational actuarial,

— independent actuarial,

— marketing (mutual membership),

— risk management,

— resilience and business continuity,

— pool risk register.

II.2.14) Additional information
If you are interested in expressing an interest in tendering for this forthcoming procurement, please email procurement.support@hants.gov.uk

II.3) Estimated date of publication of contract notice:
20/12/2018

Section IV: Procedure
IV.1) Description
IV.1.8) Information about Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement: Yes

Section VI: Complementary information
VI.5) Date of dispatch of this notice
14/11/2018