Item 06 - Provision of Insurance Services (including Claims Handling) for WDC and WDLT
West Dunbartonshire Council · 21 September 2022
Back to Tendering Committee — 21 September 2022 and its agenda
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WEST DUNBARTONSHIRE COUNCIL Report by Chief Officer – Supply, Distribution and Property Tendering Committee: 21 September 2022 ___________________________________________________________________ Subject: Provision of Insurance Services (including Claims Handling) for West Dunbartonshire Council and West Dunbartonshire Leisure Trust 1. Purpose 1.1 The purpose of this report is to advise Members of the Provision of Insurance Services (including Claims Handling) contracts that were approved on the 25 July 2022 by the Chief Officer – Resources and the Chief Officer - Regulatory and Regeneration in consultation with the Convener of Tendering Committee for the Provision of Insurance Services (including Claims Handling) for the Council and the Leisure Trust and the awarding of contracts as detailed. 2. Recommendations 2.1 It is recommended that Members note the appointment of insurance providers as listed in Appendix 1 for the Provision of Insurance Services (including Claims Handling) for the Council and West Dunbartonshire Leisure Trust (WDLT). 2.2 Members are to further note that award of these contracts shall be for a period of three years and at a value of £3,549,281 ex VAT with the option of two 12 month extensions and at a value £5,915,468.74 ex VAT over five years based on year one premiums inclusive of insurance premium tax. The commencement date of the contracts is 1 August 2022. 3. Background 3.1 The Council and the Leisure Trust require a number of insurance policies to ensure sound business practice as well as meeting any statutory requirements where necessary. 3.2 The procurement exercise for the insurance requirements was conducted in accordance with the Public Procurement Regulations, the Council’s Standing Orders and Financial Regulations. A Contract Strategy document was also approved on 10 March 2022. 3.3 A report on Contracts to be Awarded During the Summer Recess was approved at the Tendering Committee on 8 June. A further report detailing the outcome of the contracts for Provision of Insurance Services (including Claims Handling) for the Council and the Leisure Trust was to be submitted to the next appropriate Tendering Committee for noting, in accordance with Standing Orders 35(b) iv. ITEM 6
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4. Main Issues 4.1 Two procurement routes were considered, an open tender or a mini competition utilising a Crown Commercial Services collaborative dynamic purchasing system. Due to the time constraints the only viable option was to procure through a mini competition. 4.2 A mini competition invite was issued to the 22 insurance providers on the dynamic purchasing system on 4 May 2022. Six potential bidders expressed an interest, with three bidders submitting a response by the deadline of 2 June 2022. 4.3 The three tender submissions were evaluated by representatives from the Insurance Team, the Leisure Trust, Arthur J Gallagher Insurance Brokers and the Corporate Procurement Unit against a set of award criteria which is based on Commercial / Quality ratio of 60% / 40% for each of the 13 Insurance Lots 4.4 The scores relative to the award criteria of each tenderer and the Award of the contracts are detailed within Appendix 1. 4.5 Both Maven Public Sector and Risk Management Partners have committed to paying all staff as a minimum the real Living Wage (£9.90 per hour) and promotes Fair Working Practices across their respective organisations. Both organisations indicated the difficulty in offering social benefits although Maven Public Sector has committed to the delivery of the following social benefits under contract Lot 6: • Measurable and committed support for local community benefits as part of the contract. The social benefits will be discussed at the implementation meeting with Maven Public Sector and actions to take these forward will be agreed. 5. People Implications 5.1 There are no people implications. 6. Financial and Procurement Implications 6.1 Financial costs in respect of these contracts will be met from the approved budget of Resources. 6.2 A comparison with last year insurances premiums indicates an overall saving to the Council of 20% and 18% for the Leisure Trust. 6.3 This procurement exercise was conducted in accordance with the agreed Contract Strategy produced by the Corporate Procurement Unit in close consultation with the Insurance Team, the Leisure Trust, and Arthur J Gallagher Insurance Brokers officers and the provisions of Contract Standing Orders, the Financial Regulations and Public Procurement Regulations.
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7. Risk Analysis 7.1 Maven Public Sector and Risk Management Partners Ltd have no known links to Serious and Organised Crime which would have significant political and reputational ramifications for the Council and the Leisure Trust. 8. Equalities Impact Assessment (EIA) 8.1 An equalities screening was undertaken for this report to determine if there is an equalities impact. The results where there is no equalities impact 9. Consultation 9.1 The Insurance Team, the Leisure Trust, Finance Services and Legal Services along with the Council’s insurance broker have been consulted on the contents of this report 10. Strategic Assessment 12.1 The Provision of Insurance Services (including Claims Handling) for the Council and the Leisure Trust will contribute to the delivery of the Council's strategic priorities. Name: Angela Wilson Designation: Chief Officer – Supply, Distribution and Property Date: 27 July 2022 Person to Contact: Alex Grace, Senior Procurement Officer, Corporate Procurement Unit Telephone 01389 737828 Email: alex.grace@west-dunbarton.gov.uk . Appendices: Appendix 1. Background Papers: Contract Strategy EIA Screening Delegated Authority Report - Tendering Committee: 8 June 2022 Wards Affected: All Council Wards
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Appendix 1 Weighting Maven Public Sector Risk Managem ent Partners Ltd Protector Insurance Commentary Technical (40%) Service Delivery and Methodology 24% 18.30% 24.00% 15.60% The technical scores were carried over to each Lot, and added to the commercial scores to provide a total score for each Lot. Implementation Plan and Contract Transfer 8% 5.90% 7.70% 4.50% Contract Management and Performance 6% 4.20% 4.80% 1.80% Social Benefits in Procurement 0% 0.00% 0.00% 0.00% Commitment to Fair Working Practices 1.0% 0.75% 0.75% 0.75% Sustainability 1.0% 0.50% 0.75% 0.25% Technical Sub-Total %: 40% 29.65% 38.00% 22.90% Lot 1 Property Damage & Business Interruption, including Money and Special All Risks Property Insured 60% £ £ £ Not awarded - Lot 12 Package was the best option for the Council Price Sub Total £ - £409,910 £663,856 - Price Sub Total % 60% 60.00% 37.05% - Total Score 100% 89.65% 75.05% -
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Lot 2 Casualty, including Employer’s Liability, Public & Products Liability, Officials’ Indemnity, Libel & Slander 60% £ £ £ Not awarded - Lot 12 Package was the best option for the Council Price Sub Total £ - £199,890 £226,237 £369,952 Price Sub Total % 60% 60.00% 53.01% 35.59% Total Score 100% 89.65% 91.01% 58.49% Lot 3 Lot 3 Motor Fleet 60% £ £ £ Not awarded - Lot 12 Package was the best option for the Council Price Sub Total £ - £330,444 £286,688 £336,405 Price Sub Total % 60% 52.05% 60.00% 54.11% Total Score 100% 81.70% 98.00% 77.01% Lot 4 Contractor’s All Risks/Own Plant/Hired-in-Plant 60% £ £ £ Contract award to Mavin Public Sector Price Sub Total £ - £10,000 £33,930 - Price Sub Total % 60% 60.00% 17.68% - Total Score 100% 89.65% 55.68% - Lot 5 Computer 60% £ £ £ Contract award to Risk Management Partners Ltd Price Sub Total £ - £10,000 £11,145 - Price Sub Total % 60% 60.00% 53.83% - Total Score 100% 89.65% 91.83% -
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Lot 6 Fidelity Guarantee 60% £ £ £ Contract award to Mavin Public Sector. Noted: Risk Management Partners Ltd offer was conditional with award of Lot 2 or Lot 3 Price Sub Total £ - £16,587 £17,141 - Price Sub Total % 60% 60.00% 58.06% - Total Score 100% 89.65% 96.06% - Lot 7 Group Personal Accident/Travel – Corporate and Off Site Visits 60% £ £ £ Contract award to Risk Management Partners Ltd Price Sub Total £ - - £11,436 - Price Sub Total % 60% - 60.00% - Total Score 100% - 98.00% - Lot 8 Engineering Inspection and Insurance 60% £ £ £ Contract award to Risk Management Partners Ltd Price Sub Total £ - - £50,578 - Price Sub Total % 60% - 60.00% - Total Score 100% - 98.00% - Lot 9 Fine Art including Exhibitions 60% £ £ £ No contract award Price Sub Total £ - - - - Price Sub Total % 60% - - - Total Score 100% - - -
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Lot 10 Medical Malpractice 60% £ £ £ Not awarded - Lot 12 Package which includes lot 2 was the best option for the Council which has adequate cover included by Maven Public Sector Price Sub Total £ - - £6,500 - Price Sub Total % 60% - 60.00% - Total Score 100% - 98.00% - Lot 11 WDLT 60% £ £ £ Contract award to Mavin Public Sector Price Sub Total £ - £63,226 £107,651 - Price Sub Total % 60% 60.00% 35.24% - Total Score 100% 89.65% 73.24% - Lot 12 Package Combining Lots 1, 2 and 3 60% £ £ £ Contract award to Mavin Public Sector Price Sub Total £ - £898,464 - - Price Sub Total % 60% 60.00% - - Total Score 100% 89.65% - - Lot 13 Package Combining Lots 2 and 3 60% £ £ £ Not awarded - Lot 12 Package was the best option for the Council. Price Sub Total £ - £498,802 - £694,433 Price Sub Total % 60% 60.00% - 43.10% Total Score 100% 89.65% - 66.00%
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