RFQ-Insurance Broker

REQUEST FOR QUOTE
The South Carolina Department of Health and Human Services (SCDHHS) is seeking to engage an
insurance Broker to obtain excess Public Officials liability coverage. We are not seeking
quotations for coverage at this time. The selected broker will perform all marketing, placement,
and other related services as outlined in this Request for Quotes (RFQ) ("Broker").
AGENCY OVERVIEW
Healthy Connections, the South Carolina Medicaid program, is South Carolina's grant-in-aid
program by which the federal and state governments share the cost of providing medical care
for eligible people. Title XIX of the Social Security Act, signed into law on July 30, 1965,
authorized the Medicaid program; South Carolina began participation in Medicaid in July 1968.
Medicaid is a program of medical assistance for the needy administered by the states using state
appropriated funds and federal matching funds within the provisions of Title XIX and Title XXI of
the Social Security Act as amended. Approximately 1.4 million individuals receive South Carolina
Medicaid benefits.
BACKGROUND INFORMATION
It is anticipated that the Broker will act as an intermediary between the SCDHHS and insurance
companies to obtain Public Officials liability insurance policies to protect those serving in seven
(7) executive level positions from the financial impacts of severe third-party liability suits and
claims.
As required by SC statutes, SCDHHS obtains its primary Tort Liability insurance from the State
Accountability Authority Insurance Reserve Fund (IRF) and maintains a $1,000,000 limit of
coverage. It is the intent of SCDHHS, via this procurement, to obtain $5,000,000 in additional
coverage above this IRF policy.
SCOPE OF WORK
The successful Offeror shall provide Brokerage Insurance Services as described herein for the
placement and servicing of excess Public Officials liability insurance and other related insurance
as determined by SCDHHS. This RFQ contains background information about our primary
coverage and SCDHHS to assist Offerors in determining the inherent complexity, expertise and

resource commitment needed to successfully meet our expectations.
The Broker contract term shall be one (1) year with the option to renew for an additional one
(1) year period. The maximum contract length shall not exceed two (2) years. The total amount
expended under this contract (for brokerage services only) shall not exceed Twenty-Five
Thousand Dollars ($25,000.00) per year.
The selected insurance Broker shall perform at least the following specific services:
Professional Advice and Consultation
1. Coordinate with and provide recommendations to SCDHHS designated representatives in
the continuing development and enhancement of SCDHHS' excess Public Official liability
insurance and risk financing plans, including recommendations on coverage changes,
program adjustments, industry standards, emerging trends and best practices regarding
excess Public Official liability insurance programs appropriate for a state agency of
SCDHHS' size and complexity.
2. Recommend to the SCDHHS Director or designated personnel, changes in retentions,
limits and coverage to address actual or changing market conditions.
3. Prepare and deliver presentations as coordinated by designated SCDHHS representatives
to the SCDHHS administrators.
4. Provide benchmarking data to SCDHHS that compares coverage, limits, retentions and
pricing with similar entities served by the Broker, and, with data from selected resources
mutually agreed to by the Broker and SCDHHS personnel. Benchmarking will be provided
at least annually, and perhaps more often as mutually agreed by the Broker and SCDHHS
personnel.
5. Assign to the SCDHHS account, Broker's staff with at least five (5) years of experience as
a Broker in marketing large State agencies and similar entities.
Marketing
1. The Broker shall identify and make recommendations regarding an array of insurance
market sources that are likely to provide viable offerors of excess Public Official liability
insurance for SCDHHS. The Broker is expected to identify domestic-based insurers who
are long- established and stable insurance exchanges & facilities that typically write
policies or risk financing plans covering larger state agencies like SCDHHS. The Broker
shall seek competitive market coverage from an A-rated insurance carrier on an unbiased
basis and in the best interest of SCDHHS. The Broker shall seek offerors to provide highly

competitive risk financing options (coverage, service and costs) for excess Public Official
liability insurance from market sources after consultation with, and approval by, SCDHHS
regarding sources to be approached to provide the excess Public Official liability
insurance policies. Broker shall be a fiduciary of SCDHHS for the life of the Contract.
Broker is expressly prohibited from working in a dual agency capacity (i.e., working for
SCDHHS and an insurer/prospective insurer).
2. The Broker shall assist SCDHHS in identifying appropriate marketing and underwriting
information to be submitted to potential insurers and related service companies. The
SCDHHS and Broker will develop underwriting information, and the Broker will submit
the information to, and obtain proposals from, excess liability insurers.
3. The Broker shall assist SCDHHS in negotiating the most favorable rates and terms and
conditions for insurance coverage and/ or service contracts. The Broker shall seek to
identify/minimize exclusions and or seek endorsements to exclusions for the benefit of
SCDHHS.
4. The Broker shall collaborate with SCDHHS to evaluate and implement insurers' offers to
provide the Public Officials liability insurance/risk financing structures.
5. The Broker shall obtain and review all insurance policies for accuracy and obtain
necessary corrections prior to delivery of the policies to SCDHHS.
6. The Broker shall provide SCDHHS with a review of insurer's periodic renewal offerings,
including anticipated cost, coverage and policy conditions. The Broker shall endeavor to
provide such estimates at least 120 days prior to the effective changes, and final
proposals provided no later than 60 days prior to the effective changes. The projected
offerings shall include the market and underwriting basis of the offerings, as well as
potential alternatives and options to facilitate potential improvements and mitigate
adverse impacts to the insurance/risk transfer plan.
7. The Broker shall arrange meetings/conversations between appropriate insurance/risk
financing underwriters and representatives with the SCDHHS, or other persons
designated by SCDHHS, to facilitate meaningful exploration and discussions of insurance
options and practices to provide an optimum combination of risk transfer/retention,
coverage, price and service. Such meetings shall occur at least annually.
8. The Broker shall provide a comparison of all proposals received, including multi-year
coverage options, premiums, coverage conditions and liability/peril exclusions. The
Broker shall also recommend its choice of the most competitive proposal that meets
SCDHHS needs and includes the basis of that recommendation.

Claims Service
The Broker shall assist SCDHHS as advisor, advocate and administrative coordinator regarding
actual and potential claims submitted to insurers providing policies for which the Broker has
placed on behalf of SCDHHS. All claims are to be reported to insurers or any other applicable
entity within two (2) business days of complete notices from SCDHHS.
Customer Services
The Broker shall provide the following on-going customer services to SCDHHS during the term
of the contract:
1. Following authorization by SCDHHS, bind, cancel and administer all placements, binders,
policies, and endorsements as requested by SCDHHS. Broker shall provide binders within
five (5) days of receipt from the underwriter and the conclusion of finalized insurance
policy terms and conditions. Final policies shall be delivered within thirty (30) days after
the policy is received by the Broker from the carrier.
2. Meet at least annually with the SCDHHS staff. The purpose of these meetings will be to
review the entities' current operations, liability and coverage changes and other
marketing and administrative issues that may affect the coverage, costs and marketing
planning services provided by the Broker.
3. Establish a primary point of contact and provide SCDHHS with an account team list,
including appropriate back-up contacts for all services offered under this proposal. This
includes a contingency plan for service continuity in the event of an emergency that
negates or seriously impedes the operation of the Broker's offices from which SCDHHS
services are administered.
4. Upon request, coordinate with the excess Public Official liability insurer to provide
certificates of insurance (COI) to various parties as needed by SCDHHS. Accurate COIs shall
be provided to SCDHHS within two (2) working days after being requested by SCDHHS.
5. Broker shall provide SCDHHS with digital and non-digital copies of all policies, extensions
and endorsements, and COIs. The Broker shall maintain copies of all such documents for
at least seven (7) years following the publication of the document.
TERMS AND CONDITIONS
AMENDMENTS
This RFQ may be amended at any time prior to the opening date and time listed below.
Prospective offerors will be notified of any Amendments via email.

APPLICABLE LAWS AND REGULATIONS (SCDHHS)
Broker agrees to comply with all applicable federal laws and regulations including constitutional
provisions regarding due process and equal protection of the laws and including, but not limited to:
(i) All applicable standards, orders, or regulations issued pursuant to the Clean Air Act of 1970, as
amended (42 U.S.C. 7401, et seq.) and the Federal Water Pollution Control Act, as amended (33
U.S.C. 1251, et seq.).
(ii) Title VI of the Civil Rights Act of 1964 as amended (42 U.S.C. 2000d et seq.) and regulations issued
pursuant thereto, (45 CFR Part 80, 2024 as amended), which provide that Broker must take adequate
steps to ensure that persons with limited English skills receive free of charge the language assistance
necessary to afford them meaningful and equal access to the benefits and services provided under
this Contract.
(iii) Title VII of the Civil Rights Act of 1964, as amended (42 U.S.C. 2000e) in regard to
employees or applicants for employment.
(iv) Section 504 of the Rehabilitation Act of 1973, as amended, (29 U.S.C. 794), which
prohibits discrimination on the basis of disability in programs and activities receiving or
benefiting from federal financial assistance, and regulations issued pursuant thereto (45
CFR Part 84, 2024, as amended).
(v) The Age Discrimination Act of 1975, as amended, (42 U.S.C. 6101 et seq.), which
prohibits discrimination on the basis of age in programs or activities receiving or
benefiting from federal financial assistance.
(vi) The Omnibus Budget Reconciliation Act of 1981, as amended P.L. 97-35, 1908(a)(2), 95
Stat. 483, 542 (1981), which prohibits discrimination on the basis of sex and religion in
programs and activities receiving or benefiting from federal financial assistance.
(vii) The Americans with Disabilities Act, (42 U.S.C. 12101 et. seq.), and regulations issued
pursuant thereto.
(viii) Title IX of the Education Amendments of 1972, (20 U.S.C. 1681 et seq.).
(ix) The Hatch Act, as amended, (5 U.S.C. 1501-1508), and regulations issued pursuant
thereto.
(x) Section 6002 of the Solid Waste Disposal Act of 1965 as amended by the Resource
Conservation and Recovery Act of 1976 (42 U.S.C. 6962).
SCDHHS is currently subject to the information security requirements defined by both state and
federal statutes. All systems maintained by Broker that transport, maintain, and/or store data are

also subject to some or all of these information security requirements, as determined by the scope
of the contracted services.
These include but are not limited to:
Centers for Medicaid and Medicare Services (CMS) Guidance and Standards
https://www.cms.gov/CCIIO/Resources/Regulations-and-Guidance/Downloads/3-MARS-E-v2-0-
o
Catalog-of-Security-and-Privacy-Controls-11102015.pdf
https://www.cms.gov/CCIIO/Resources/Regulations-and-
o
Guidance/#MinimumAcceptableRiskStandards
https://www.cms.gov/CCIIO/Resources/Regulations-and-Guidance/Downloads/Harmonized-
o
Security-and-Privacy-Framework-ERA-Supp-v-1-0-08012012-a.pdf
FIPS 140-2 Level 2
https://csrc.nist.gov/csrc/media/publications/fips/140/2/final/documents/fips1402.pdf
o
SP NIST 800-53 Rev 4
https://nvlpubs.nist.gov/nistpubs/SpecialPublications/NIST.SP.800-53r4.pdf
o
FISMA
http://csrc.nist.gov/drivers/documents/FISMA-final.pdf
o
HIPAA
http://www.hhs.gov/ocr/privacy/hipaa/administrative/combined/index.html
o
HITECH OMNIBUS
http://www.hhs.gov/ocr/privacy/hipaa/administrative/omnibus
o
IRS Publication 1075
http://www.irs.gov/pub/irs-pdf/p1075.pdf
o
Patient Protection and Affordable Care Act (PPACA) or (ACA)
http://www.gpo.gov/fdsys/pkg/PLAW-111publ148/pdf/PLAW-111publ148.pdf
o
Social Security Administration - Technical System Security Requirements
http://mn.gov/commerce-stat/pdfs/2018-ssa-info-exchange-req-pro.pdf
o
AWARD
Award will be made to one Offeror.
AWARD CRITERIA
Award will be made to the lowest responsible and responsive offeror whose offer is determined
to be most advantageous to SCDHHS.
COMPLIANCE WITH LAWS

During the term of the contract, Broker shall comply with all applicable provisions of laws, codes,
ordinances, rules, regulations, and tariffs.
CONFERENCE - PRE-PERFORMANCE
Unless waived by the Procurement Officer, a pre-performance conference between the Broker,
state and Procurement Officer shall be held at a location selected by the state within five (5) days
after final award, and prior to commencement of work under the contract. The responsibilities of
all parties involved will be discussed to ensure a meeting of the minds of all concerned. The
successful Broker or his duly authorized representative shall be required to attend at Broker's
expense.
CONTRACT DOCUMENTS & ORDER OF PRECEDENCE
(a) Any contract resulting from this solicitation shall consist of the following documents: (1) a
Record of Negotiations, if any, executed by you and the Procurement Officer, (2) the RFQ, as
amended, (3) documentation of clarifications [11-35-1520(8)] or discussions [11-35-1530(6)] of
an offer, if applicable, (4) your offer, (5) any statement reflecting the State's final acceptance
(a/k/a "award"), and (6) purchase orders. These documents shall be read to be consistent and
complementary. Any conflict among these documents shall be resolved by giving priority to these
documents in the order listed above.
(b) The terms and conditions of documents (1) through (5) above shall apply notwithstanding any
additional or different terms and conditions in any other document, including without limitation,
(i) a purchase order or other instrument submitted by the State, (ii) any invoice or other
document submitted by Contractor, or (iii) any privacy policy, terms of use, or end user
agreement. Except as otherwise allowed herein, the terms and conditions of all such documents
shall be void and of no effect.
(c) Any document signed or otherwise agreed to by persons other than the Procurement Officer
or the Agency Executive Director (or designee) shall be void and of no effect.
CONTRACT MODIFICATION
By a written order, at any time, and without notice to any surety, the Procurement Officer may,
subject to all appropriate adjustments, make changes within the general scope of this contract.
BROKER PERSONNEL
The Broker shall enforce strict discipline and good order among the Broker's employees and other
persons carrying out the Contract. The Broker shall not permit employment of unfit persons or
persons not skilled in tasks assigned to them.
BROKER'S OBLIGATION
The Broker shall provide and pay for all materials, tools, equipment, labor and professional and
non-professional services, and shall perform all other acts and supply all other things necessary

to fully and properly perform and complete the work. The Broker must act as the prime Broker
and assume full responsibility for any subcontractor's performance. The Broker will be considered
the sole point of contact regarding all situations, including payment of all charges and the meeting
of all other requirements.
DEBARMENT NON-PROCUREMENT/SCREENING REQUIREMENTS
Contractor agrees to comply with all applicable provisions of 2 CFR Part 180 (2017, as amended)
as supplemented by 2 CFR Part 376 (2017, as amended), pertaining to debarment and/or
suspension and to require its Subcontractors to comply with these same provisions to ensure that
no party receiving funds from this Contract are listed on the government-wide exclusions in the
System for Award Management (SAM).
DEFAULT
The state may terminate this contract, or any part hereof, for cause in the event of any default
by the Broker, or if the Broker fails to comply with any material contract terms and conditions, or
fails to provide the SCDHHS, upon request, with adequate assurances of future performance. In
the event of termination for cause, the SCDHHS shall not be liable to the Broker for any amount
for supplies or services not accepted, and the Broker shall be liable to the SCDHHS for any and all
rights and remedies provided by law. If it is determined that the SCDHHS improperly terminated
this contract for default, such termination shall be deemed a termination for convenience.
DRUG FREE WORKPLACE CERTIFICATION
By submitting an Offer, Broker certifies that, if awarded a contract, Broker will comply with all
applicable provisions of The Drug-free Workplace Act, Title 44, Chapter 107 of the South Carolina
Code of Laws, as amended.
LICENSES AND PERMITS
During the term of the Contract, the Broker shall be responsible for obtaining, and maintaining in
good standing, all licenses (including professional licenses, if any), permits, inspections and
related fees for each or any such licenses, permits and /or inspections required by the State,
county, city or other government entity or unit to accomplish the work specified in this solicitation
and the Contract.
NON-DISCLOSURE (SCDHHS)
All materials and information provided to Broker in performance of the Contract, whether verbal,
written, digital, recorded magnetic media, cards or otherwise shall be regarded as Confidential
Information, and Broker agrees to take all necessary steps to safeguard the confidentiality of such
materials or information in conformance with Federal and State statutes and regulations, and in
particular, in accordance with 42 CFR Part 431, Subpart F (2024, as amended), and SCDHHS'
regulations, S.C. Code Ann. Regs. 126-170 (2011, as amended), as amended. Broker agrees not to
release any information provided by SCDHHS or any information generated by the Broker without

the express written consent of SCDHHS and further agrees not to use the data or materials for
any other purpose other than its performance for SCDHHS under this Contract.
Broker further agrees to have any of its employees, agents, or representatives who may be
required to work with such data in the performance of Broker's work for SCDHHS individually
educated about and responsible for compliance with the confidentiality standards, including any
personal screening of its personnel by the SCDHHS for security purposes and to execute upon
request a non-disclosure agreement in favor of the State and/or the United States Department
of Health and Human Services.
PRICE ADJUSTMENTS
(1) Method of Adjustment. Any adjustment in the contract price made pursuant to a clause in this
contract shall be consistent with this Contract and shall be arrived at through whichever one of
the following ways is the most valid approximation of the actual cost to the Broker (including
profit, if otherwise allowed):
(a) by agreement on a fixed price adjustment before commencement of the pertinent
performance or as soon thereafter as practicable;
(b) by unit prices specified in the Contract or subsequently agreed upon;
(c) by the costs attributable to the event or situation covered by the relevant clause, including
profit if otherwise allowed all as specified in the Contract; or subsequently agreed upon;
(d) in such other manner as the parties may mutually agree; or,
(e) in the absence of agreement by the parties, through a unilateral initial written determination
by the Procurement Officer of the costs attributable to the event or situation covered by the
clause, including profit if otherwise allowed all as computed by the Procurement Officer in
accordance with generally accepted accounting principles, subject to the provisions of Title 11,
Chapter 35, Article 17 of the S.C. Code of Laws.
(2) Submission of Price or Cost Data. Upon request of the Procurement Officer, the Broker shall
provide reasonably available factual information to substantiate that the price or cost offered for
any price adjustments is reasonable, consistent with the provisions of Section 11-35-1830.
PURCHASE ORDERS
Broker shall not perform any work prior to the receipt of a purchase order from the using
governmental unit. The using governmental unit shall order any supplies or Services to be
furnished under this Contract by issuing a purchase order. Purchase orders may be used to elect
any options available under this Contract, e.g., quantity, item, delivery date, payment method,
but are subject to all terms and conditions of this Contract. Purchase orders may be electronic.
No particular form is required. An order placed pursuant to the purchasing card provision qualifies
as a purchase order.
PAYMENT & INTEREST
(a) SCDHHS shall pay the Broker, after the submission of proper invoices or vouchers, the prices
stipulated in this contract for supplies delivered and accepted or services rendered and accepted,

less any deductions provided in this contract. Unless otherwise specified herein, including the
purchase order, payment shall not be made on partial deliveries accepted by the Government.
(b) Unless otherwise provided herein, including the purchase order, payment will be made by
check mailed to the payment address on "Cover Letter." (c) Notwithstanding any other provision,
payment shall be made in accordance with S.C. Code Section 11-35-45, or Chapter 6 of Title 29
(real property improvements) when applicable, which provides the Broker's exclusive means of
recovering any type of interest from the Owner. Broker waives imposition of an interest penalty
unless the invoice submitted specifies that the late penalty is applicable. Except as set forth in
this paragraph, the SCDHHS shall not be liable for the payment of interest on any debt or claim
arising out of or related to this contract for any reason. (d) Amounts due to the State shall bear
interest at the rate of interest established by the South Carolina Comptroller General pursuant to
Section 11-35-45 ("an amount not to exceed fifteen percent each year"), as amended, unless
otherwise required by Section 29-6-30. (e) Any other basis for interest, including but not limited
to general (pre- and post-judgment) or specific interest statutes, including S.C. Code Ann. Section
34-31-20, are expressly waived by both parties. If a court, despite this agreement and waiver,
requires that interest be paid on any debt by either party other than as provided by items (c) and
(d) above, the parties further agree that the applicable interest rate for any given calendar year
shall be the lowest prime rate as listed in the first edition of the Wall Street Journal published for
each year, applied as simple interest without compounding. (f) SCDHHS shall have all of its
common law, equitable and statutory rights of set-off.
QUESTIONS FROM OFFERORS
Any prospective offeror desiring an explanation or interpretation of the solicitation, drawings,
specifications, etc., must request it in writing. Questions regarding the original RFQ or any
amendment must be received no later than five (5) days prior to opening. Questions shall be
emailed to the Procurement Officer listed below. Label any communication regarding your
questions with "Questions - Insurance Broker RFQ". Oral explanations or instructions will not be
binding.
RELATIONSHIP OF THE PARTIES
Neither party is an employee, agent, partner, or joint venturer of the other. Neither party has the
right or ability to bind the other to any agreement with a third party or to incur any obligation or
liability on behalf of the other party.
TERM OF CONTRACT - OPTION TO RENEW
At the end of the initial term, or at the end of a renewal term, SCDHHS may elect to renew this
contract for a period of one (1) year. The total amount expended under this contract for Broker
services shall not exceed Twenty-Five Thousand Dollars ($25,000.00).
TERMINATION FOR BREACH OF CONTRACT
This Contract may be canceled or terminated by either party at any time within the contract
period whenever it is determined by such party that the other party has materially breached or