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Fund issues RFP for health insurance
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Posted on Dec 28 2004
The NMI Retirement Fund’s board of trustees has finally finished drafting its Request for Proposal for the privatization of its health insurance program, prompting it to open the solicitation process last week.
“We issued it last week so interested health insurance providers can submit their proposals to us now,” said Fund administrator Karl T. Reyes in an interview.
He said the RFP would be closed by late January.
By February, he said, the Fund aims to have made a list of winning bidders.
“When everything is done, we’ll go ahead immediately with the implementation of the program [privatization],” he said.
He said the privatization can hopefully take place upon the termination of the Fund’s extended contract with its health insurance third party administrator, Hawaii Pacific Medical Referral.
The Fund initially extended HPMR’s contract up to December 2004. This was later moved to February 2005 and then to June 2005, admitting that the government is unprepared to implement the privatization by February.
The Fund board had decided not to renew HPMR’s contract, which expired last July, in anticipation of the full privatization of GHLI this year.
The Babauta administration favors the full privatization of the Fund’s Group Health and Life Insurance Program. Right now, only the life insurance component is privatized.
The administration wants a private, cafeteria-style health insurance program to allow government employees and retirees a choice of their providers.
Reyes said the Fund is inclined to award contracts to three health insurance companies.
