6. 21. 2016
Broker Services
For Colleges of the Fenway
Request for Proposal
Broker Services Request For Proposal for Colleges of the Fenway Inc.
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Table of Contents .............................................................................................................................. i
Preface ............................................................................................................................................. 1
Confidentiality ................................................................................................................................... 1
Purpose ............................................................................................................................................ 1
Introduction and Description of Operations/ Corporate Overview ................................................... 1
Overview of Broker Selection Process............................................................................................. 2
Deadline ........................................................................................................................................... 2
No insurance markets are to be formally contacted at this time. ..................................................... 2
Broker Services ................................................................................................................................ 3
Policy and Administrative Services .................................................................................................. 3
Claims Services ............................................................................................................................... 4
Special Provisions and Other Reports ............................................................................................. 5
Personnel and Experience ............................................................................................................... 5
Identify resources available for legal/risk/claims problems that the assigned rep can’t answer...... 6
Compensation Introduction .............................................................................................................. 7
Broker Questionnaire ....................................................................................................................... 8
Evaluation Criteria ............................................................................................................................ 9
Weighing of Components ................................................................................................................. 9
Appendix ........................................................................................................................................ 10
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Broker Services Request For Proposal for Colleges of the Fenway Inc.
Preface
Confidentiality
This process is confidential and is not to be disclosed outside of your organization unless and until Colleges of the
Fenway Inc. (“COF”) or its designee gives written permission to do so.
Purpose
The purpose of this Request for Proposal is to select a qualified broker as our main resource for COF’s ongoing insurance
program. The selected broker will be licensed with the capability to: (1) obtain broad insurance coverages cost-effectively,
(2) provide claims oversight and management services for COF and its various affiliated companies, (3) coordinate the
provision of insurer and other loss prevention services, and (4) work effectively with COF’s personnel and its risk
management consultants. 5) work to streamline and alleviate the administrative burden from the participating colleges.
Please note that the required broker services encompass all insurance claims, billing and related issues, not only those
associated with coverages written during the tenure of the selected broker.
The primary casualty and property components have a renewal date of 10/15/2016. COF wishes to establish a long-term,
mutually beneficial relationship with the selected broker. To that end, major marketing efforts are expected every 3-5
years.
Introduction, Description of Operations and Corporate Overview
Colleges of the Fenway (“COF”), is a consortium of 6 colleges in the Boston area: Emmanuel College, Massachusetts
College of Art and Design, Massachusetts College of Pharmacy and Health Sciences University, Simmons College,
Wheelock College, and Wentworth Institute of Technology. The four colleges currently participating in the joint purchasing
of insurance are Emmanuel College, Simmons College, Wentworth Institute of Technology, and Wheelock College.
COF is designated as a 501c3 organization. The colleges of the Fenway are in a densely populated 210 acre campus
adjacent to the neighborhoods of the Fenway and Mission Hill and to the Town of Brookline. The Colleges of the Fenway
are home to approximately 20,000 undergraduate and graduate students. The Colleges of the Fenway account for 13%
of the employees in Boston’s higher education field. COF was created to add value to students’ academic and cocurricular activities while seeking innovative methods of investing in new services and containing costs.
Core programs include joint student programs such as Intramural Sports, Performing Arts, a host of annual student
activities and other collaborative initiatives such as cross registration, faculty development workshops, joint purchasing
and shared positions. Colleges of the Fenway functions as a; coordinating agency which identifies new opportunities for
collaboration, provides organizational support and leadership to agreed-upon initiatives, enhances communication
between the members, and monitors and evaluates programs.
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Broker Services Request For Proposal for Colleges of the Fenway Inc.
Overview of Broker Selection Process
COF is embarking upon a competitive broker selection process for its operational insurance program. The process is
expected to be rapid and requires your timely response. As part of the evaluation process, finalists will be invited for an
oral presentation with COF and KFDA to be scheduled the week of July 18th. While COF is reasonably satisfied with its
current risk financing program, it is open to suggestions for different approaches.
COF is inviting brokers to submit their qualifications and annual service fee proposal to meet COF’s broker service needs.
COF’s insurance program consists of the coverages listed on the schedule of insurance included in the Appendix. The
relationship between the individuals representing the selected broker and those representing COF is of utmost
importance. The selected broker will be expected to provide a broad range of services to COF, including claims, loss
prevention advice, administration and marketing as necessary, as detailed herein.
COF’s preference is to develop a long-term relationship with its broker. Therefore, your proposal must include the basis
for any changes in compensation over a 3-year period. The broker services program contract will be an annually
renewable contract at the sole discretion of COF.
COF reserves the right to contract with any, or none, of the proposers and all expenses and resources expended in
developing a proposal are the sole responsibility of the proposer and will not be reimbursed.
Deadline
Your response and fee proposal are to be delivered via email by 3PM on Wednesday, July 6th to the distribution on the
email transmitted with this document.
No insurance markets are to be formally contacted at this time.
Do not approach any markets on behalf of COF.
Additional information request
If you have any additional requests for information you may contact
Liam K. Donoghue
Partner
KFDA
190 High St
Boston, MA 02110
P. 617-482-7015
F. 617-556-4030
Ldonoghue@kfda.com
www.kfda.com
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Broker Services Request For Proposal for Colleges of the Fenway Inc.
Broker Services
The following services should be included and contemplated in your compensation. Your proposal will be judged based
upon your specific responses/answers/comments to each indicated metric. Your responses to contract metrics are
important (in addition to your responses to the Questionnaire section) since the successful firm’s performance will
ultimately be measured, in large part, by the contract metrics shown.
Policy and Administrative Services
1. As requested, develop underwriting and marketing strategies to competitively secure the best coverages at the
most reasonable cost using retention, contractual transfer, or other risk financing techniques consistent with
COF’s instructions.
2. Identify viable insurance markets for COF’s program and present specifications. As part of your proposal, in a
brief sentence or two please explain how you would present COF and its risk financing program to the
underwriters and the schedule you would follow. Include your philosophy on underwriter site visits and meetings
with underwriters.
Contract Metrics:
a. Review planning reports and marketing plans with COF prior to approaching insurers, by July 15th of each
year in preparation for the October 15th renewal date. Market COF’s insurance program after consultation
with COF and if applicable, its advisor.
3. Request quotations for specified program, respond to the underwriters’ questions, and provide additional data as
requested.
4. Receive and analyze the underwriters’ quotations. Review new and renewal insurance proposals for accuracy
and conformity to specifications and negotiated coverages. Compare to prior year’s policies and advise COF and
if applicable, its Advisor of changes in policy form or coverage. Recommend policy coverage or language
changes as needed. Request modifications from the insurer upon COF’s or Advisors concurrence.
Contract Metrics:
a. Forward insurance policies to COF and Advisor within 15 business days of receipt.
b. Insurance policies reviewed and issue requests for correction to insurer within 30 days of receipt.
c. Process endorsement requests immediately and verify to COF.
d. Follow-up requests on policy corrections and endorsement processing at least monthly.
5. Work with Advisor and COF to negotiate changes and refinements in the quotations for the benefit of COF.
Present all alternatives to COF in a timely manner and provide COF and Advisor with copies of correspondence
(i.e., e-mails, faxes and binders) from the detailed negotiations between underwriters and the broker.
6. Following authorization by COF, bind, cancel, and administer all placements, binders, policies, and endorsements
as requested in the timetable specified by COF.
7. Monitor published financial information on COF’s insurers and alert COF when the status of one or more of such
insurers falls below your firm’s minimum financial guidelines.
8. Advise COF of any market trends and industry conditions that may impact the insurance program.
9. Provide payment schedules and policy summaries within 10 days of each policy inception or renewal.
10. Provide audits, rating adjustments, dividend calculation and loss data to COF and Advisor within 7 days of receipt.
11. In parallel with Advisor, review audits, rating adjustments, dividend calculation and loss data for accuracy and
manage the corrections process.
12. Prepare all premium invoices/requests for payment and submit to COF within 5 business days of policy inception,
endorsement change, or renewal. Premium invoices shall include a due date which will be no more than 5
working days prior to the underwriters due date. The broker shall ensure timely payment is made to the
underwriting insurer.
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Broker Services Request For Proposal for Colleges of the Fenway Inc.
13. Set up and conduct quarterly open-items telephone conferences with COF and Advisor to track outstanding
insurance program issues and to-dos.
Contract Metrics:
a. Open-items telephone conferences held
14. Meet with COF and if applicable Advisor for periodic, systematic, relevant, concise updates: may be quarterly or
less frequently to review service levels and to advise COF of any market trends and industry conditions that would
impact COF’s insurance program. Participate in other meetings and presentations on insurance-related issues as
needed by COF and committee members. Help COF develop its Risk Management programs
Contract Metrics:
a. Regular meetings held
.
15. As needed, advise COF on specific insurance/risk management issues based on broker’s expertise and
knowledge of the issue.
16. Issue certificates of insurance as needed
Contract Metrics:
a. Deliver copies of all certificates as requested that were issued to COF and Advisor if applicable.
b. For non-rush request of certificates of insurance, issue within 48 hours of request.
17. Coordinate registration issuance and renewals in MA, and any other state where insurer stamps may be needed.
18. Issue automobile identification cards as required and as changes occur.
19. Assist in obtaining MVRs annually, as well as for new hires.
20. Assist in compiling, maintaining and updating the data listed in the metrics below and provide electronic reports of
same to COF upon request:
Contract Metrics:
a. Driver Lists, including assistance with Motor Vehicle Records.
b. Payroll Information by Class.
21. Assist COF in strengthening relationships with insurance companies’ underwriting and loss prevention specialists.
Contract Metrics:
a. Schedule insurer liability loss prevention inspections—depending upon the capability of the insurer to
offer such services.
b. Arrange for in-person meetings with insurer underwriters responsible for COF’s account.
22. The broker shall provide designated safety and loss prevention services to review exposures and strengthen the
safety program at the system level and covered members. Examples of services requested are:
a. Assist in the evaluation of the safety program by performing workplace assessments, issuing and
reviewing perception/ evaluation surveys, conducting on-site observations, and examining industrial
engineering data.
b. Recommend or institute safety training programs as requested.
c. Attend safety meetings when requested or required.
d. Coordinate special loss control projects.
e. Assist in the development of an operational safety incentive/award program. Provide information and
successful models from client base and industry peers. Provide benchmarking data and tools to compare
loss prevention incidents and claims data.
f. Assist in the development or revision of safety manuals and directives. Help develop system claims
committee to foster best practices.
Claims Services
23. Provide claims management services to close existing claims. Examples of services that may be requested are:
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Broker Services Request For Proposal for Colleges of the Fenway Inc.
a. Claim assistance/monitoring/adjuster follow-up as needed to drive cost-effective closure of outstanding
claims.
b. Assist in defining application of coverage for a claim.
c. Intercede in claims disputes.
d. Become a resource for handling special claim issues.
e. Perform a Claims Audit when necessary.
f. Prepare statistical reports or actuarial projections on COF claims activity.
24. Gather claims and loss data from all previous insurers and COF.
25. Using above loss information, present semi-annual loss analysis report at two of the quarterly risk management
review meetings. This report should include for each coverage type, as applicable, a chart of claims by
type/cause, medical vs. indemnity claims, etc.
Special Provisions and Other Reports
26. Provide reports to COF, including but not limited to:
Contract Metrics:
a. A schedule of insurance provided by July 15th of each year and updated whenever there is a change in
limit, retention or premium.
b. Insurance renewal report(s) identifying expiring exposures, limits, retentions and premiums and
comparing them to the renewal proposals prior to policy expiration and renewal. Retain pertinent
information from year to year to auto-fill and avoid duplication of effort and administrative burden.
c. Semi-annual loss reports for all lines complete with a status report of all open claims.
27. Provide timely responses to COF’s requests.
Contract Metrics:
a. Provide confirmation of receipt of requests for assistance within 2 business days of receipt.
b. Provide an estimated time frame for completion of requests within 5 business days of the confirmation of
receipt.
28. Provide any annual risk training that your firm will provide to the COF and how it will be provided.
Personnel and Experience
Answers/responses are expected for each of the following questions (please number your answers to match these
questions and answer them in the order that they appear):
29. Provide a brief description of the specific office that would be designated to service the COF account Include
specific information, such as premiums written in that office, number of employees, geographical service area,
and areas of specialization of the local servicing office. If your firm intends to use other offices, please describe
the location and services to be provided
30. Provide a list of geographically separated service clients your firm has represented (identifying which lines of
coverage you worked on).
31. Provide three current clients willing to discuss the services provided by your firm, preferably using the same
account team.
a. Provide a contact name, telephone number and e-mail address.
32. Who will be on your COF service team?
a. Provide an organizational chart of the team. (Include primary and secondary contacts and their office
location)
b. Identify who will handle day-to-day requests as included herein. Identify who will be their backup.
c. Describe how each individual’s expertise applies to COF’s needs.
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Broker Services Request For Proposal for Colleges of the Fenway Inc.
d. Attach résumés including years of experience and professional designations.
33. Will services of outside, third parties, be used?
a. If so, who will provide these services?
34. Will the cost of such services be included in your proposed compensation? If not, please specify.
35. Indicate if your firm has experience with insured and claims in the Higher Education field and/or with consortiums.
Identify resources available for legal/risk/claims problems that the assigned rep can’t answer.
36. What is the level of service that we will receive from your firm based on your resources.
37. Do you consider your firm a full service firm? If so, please elaborate.
38. Outline strategy to influence insurer to address “stale” claims or claims which are in a runoff situation.
39. Provide a list of your current minimum financial guidelines for insurers with your proposal and explain why each is
used.
40. Please provide any additional information you believe will be useful in assessing your firm’s abilities/performance.
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Broker Services Request For Proposal for Colleges of the Fenway Inc.
Compensation Introduction
As stated previously, COF prefers to develop a long-term relationship with its broker. Your proposal must identify a flat
annual fee, or a commission base. It is desired that the annual fee specified will be the total compensation for the
services identified herein. Should any insurers or policies require commission; any commission amount will be credited
against the annual fee. The annual fee shall be payable quarterly. Please include any changes in compensation over the
proposed period and include the basis for such changes. Therefore, your proposal must include the basis for any
changes in compensation over a 3-year period. The broker services program contract will be an annually renewable
contract at the sole discretion of COF.
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Broker Services Request For Proposal for Colleges of the Fenway Inc.
Broker Questionnaire
An in-depth answer is expected for each of the following questions (please number your answers to match these
questions):
1. Explain your interpretation of Colleges of the Fenway’s needs.
2. Will all minimum services required be included?
If no, please explain in detail?
3. Is your detailed statement of services attached?
4. What additional services are included in your compensation?
5. What additional services are available and at what additional cost?
6. Will services of outside, third parties, be used?
If so, who will provide these services?
At what cost if not included in your proposed compensation?
7. What is the form of communication that will be used for different information exchanges? Current policies, how
policies are transferred? How are renewals communicated? How are claims reports communicated?
8. Give details of your proposed marketing strategies for Colleges of the Fenway’s insurance program.
9. What specific insurance carrier(s) do you feel will provide the best program for Colleges of the Fenway’s, by coverage
if applicable?
What is your premium volume and loss ratio with these carriers?
Do you have any special programs with these carriers?
10. Detail the loss control program you will provide for Colleges of the Fenway’s.
11. What strategies will you use to deal with analyzing exposures and gaps in coverage?
12. What non-insurance, risk management techniques do you recommend for Colleges of the Fenway’s?
13. What is your proposed agenda for the first 12 months handling Colleges of the Fenway’s program?
Include specific meetings, activities and dates.
14. Is your firm active in the field of athletic insurance and special athletic coverages including Intercollegiate and
Intramural?
What educational institutions do you provide this coverage for?
What wholesaler do you use if any?
What insurers do you represent?
15. Please identify any minority-owned, woman-owned or small business enterprises’ qualifications and expected
involvement.
Please provide any additional information you believe will be useful in assessing your abilities/performance
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Broker Services Request For Proposal for Colleges of the Fenway Inc.
Evaluation Criteria
1. Qualification and experience of the firm and the account staff assigned to service the COF
a. Perceived expertise of team
b. Experience
2.
3.
4.
5.
6.
7.
Broker’s ability to market and administer the account.
General perception of Colleges of the Fenway’s needs
Familiarity with a Higher Educations loss exposures
Record of performance of specific account assigned individuals with other Higher Education clients
Demonstrated ability to explore and develop innovative and creative programs
Cost for services
a. Compensation method
b. Overall Cost
8. Clear, concise presentation and organization of proposal
9. References that will be checked by the COF committee members
a. At least 3 different Higher Education Clients
Weighing of Components
Statement of Service
Personnel
Compensation / Fee
References
Total
30%
30%
20%
20%
100%
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Broker Services Request For Proposal for Colleges of the Fenway Inc.
Appendix
Schedule of Insurance
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College of The Fenway Inc., et. al
Schedule of Insurance
Coverage
Expiration
Date
Limits
Deductible
Automobile
10/15/2016
$1,000 Collision/Comprehensive
(symbol 2)
$
$
$
1,000,000
8,000
5,000
$100,000/$300,000
$100,000/$300,000
ACV
$100/Day
$
100
$100/Day
Included
Combined Single Limit (symbol 1)
Personal Injury Protection (symbol 5)
Medical Payments - Each Person (symbol 2)
Uninsured Motorists (symbol 2)
Underinsured Motorists (symbol 2)
Hired Automobile Physical Damage
Hired Automobile Loss of Use ($1,000 maximum)
Towing and Labor
Rental Reimbursement (Broadening Endorsement - $3,000 maximum)
Drive Other Car (3 individuals)
Colleges of the Fenway, Inc.
Emmanuel College
Simmons College
Wentworth Institute of Technology
Wheelock College
Crime
10/15/2016
$50,000
$10,000
$10,000
N/A
$10,000
$50,000
$50,000
$0
$0
$
$
$
$
$
$
$
$
5,000,000
1,000,000
1,000,000
Excluded
1,000,000
5,000,000
5,000,000
50,000
25,000
Employee Dishonesty
Forgery or Alteration
Theft of Money and Securities
Inside the Premises - Robbery and Safe Burglary
Outside the Premises
Computer Fraud
Funds Transfer Fraud
Money Orders and Counterfeit Money
Investigative Expense
Colleges of the Fenway, Inc.
Emmanuel College
Simmons College
Wentworth Institute of Technology
Wheelock College
Information Security & Privacy Liability
Regulatory Defense & Penalties - Sublimit
Website Media Content Liability
Crisis Management & Public Relations - Sublimit
Simmons College
Cyber Liability (Security & Privacy)
10/15/2016
$50,000
$5,000 Crisis Management
$
$
$
$
1,000,000
1,000,000
1,000,000
250,000
Educator's Legal Liability
10/15/2016
$1,000 Directors, Trustees or Officers
$25,000 Wrongful Employment Practices
$25,000 Each Other Claim
$
$
1,000,000 Each Claim
1,000,000 Aggregate
Colleges of the Fenway, Inc.
Emmanuel College
Simmons College
Wentworth Institute of Technology
Wheelock College
Fiduciary Liability
10/15/2016
$2,500
$
$
1,000,000 Each Claim
1,000,000 Aggregate
Colleges of the Fenway, Inc.
Emmanuel College
Simmons College
Wentworth Institute of Technology
Foreign Package
10/15/2018 $0
$
$
1,000,000 Per Occurrence
2,000,000 Aggregate
Wheelock College
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College of The Fenway Inc., et. al
Schedule of Insurance
Coverage
Expiration
Date
Limits
Deductible
General Liability
10/15/2016
Kidnap and Extortion
10/15/2017
Professional Liability
10/15/2016 $0
$
$
Property
10/15/2016 $50,000
$
$
$
$
$
$
$
$
Umbrella
10/15/2016 $1,000,000 SIR
$
$
$
25,000,000 Each Occurrence
25,000,000 Aggregate
25,000,000 Sexual Molestation
Colleges of the Fenway, Inc.
Emmanuel College
Simmons College
Wentworth Institute of Technology
Wheelock College
Umbrella (Excess)
10/15/2016
$
$
25,000,000 Each Occurrence Excess $25,000,000
25,000,000 Aggregate
Colleges of the Fenway, Inc.
Emmanuel College
Simmons College
Wentworth Institute of Technology
Wheelock College
$
$
$
$
$
$
$
$0
1,000,000
3,000,000
3,000,000
1,000,000
1,000,000
5,000
1,000,000
$
$
$
5,000,000
5,000,000
5,000,000
Unlimited
$
5,000,000
$250,000/1,250,000
$100,000/$100,000
$500,000/$500,000
$
250,000
Per Occurrence
Aggregate
Products-Completed Operations Aggregate
Bodily Injury and Property Damage Liability
Personal and Advertising Injury
Medical Expense
Fire Legal Liability - Any One Fire
Colleges of the Fenway, Inc.
Emmanuel College
Simmons College
Wentworth Institute of Technology
Wheelock College
Ransom, each insured event
In-Transit/Delivery, each insured event
Expenses, each insured event
Consultants Expenses, each insured event
Judgments, Settlements, and Defense Costs, each insured event
Death or Dismemberment, each insured event
Disappearance, each insured person/each insured event
Hostage Crisis, each insured person/each insured event
Threat, each insured event
Colleges of the Fenway, Inc.
1,000,000 Per Occurrence
3,000,000 Aggregate
900,000,000
900,000,000
200,000,000
200,000,000
10,000,000
2,500,000
200,000,000
10,000,000
Policy Limit
Named Storm
Earth Movement
Flood
Flood Locations Outside of 100 Year Floodplain
Flood Locations in Designated 100 Year Floodplain
Equipment Breakdown
Newly Acquired or Constructed Property (All Coverages Combined)
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Simmons College
Wentworth Institute of Technology
Wheelock College
Colleges of the Fenway, Inc.
Emmanuel College
Simmons College
Wentworth Institute of Technology
Wheelock College
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College of The Fenway Inc., et. al
Schedule of Insurance
Coverage
Workers Compensation and Employers' Liability
Expiration
Date
Limits
Deductible
10/15/2016
$
$
$
Statutory
500,000
500,000
500,000
Workers' Compansation
Bodily Injury by Accident - Each Accident
Bodily Injury by Disease - Policy Limit
Bodily Injury by Disease - Each Employee
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Colleges of the Fenway, Inc.
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