The proposed bill seeks approval for Contract No. CW124798 with Standard Insurance Company, valued at a maximum of $36,471,579, for the management and administration of life and disability insurance benefits for District employees and retirees. This one-year contract, effective from January 1, 2026, to December 31, 2026, includes provisions for both short-term and long-term disability insurance, as well as life insurance benefits. The District will cover 33% of the basic coverage premiums, while employees will be responsible for the remaining 67% and 100% of any additional optional benefits. The contract will be executed through a cooperative purchasing agreement, leveraging an existing contract held by Standard with Fairfax County, Virginia. The bill also outlines the contractor's responsibilities, including implementing data security measures, maintaining accurate records, and providing customer service.

Additionally, the bill establishes performance guarantees for the insurance program, setting specific targets for the timely processing of claims and accuracy of decisions. It mandates that 95% of short-term disability claims receive a determination within five business days, while long-term disability claims should be decided within an average of 30 calendar days. The bill emphasizes the importance of member satisfaction, with a goal of achieving an average satisfaction score of 3 or higher on a 1 to 5 scale for initial claim decisions. Furthermore, it includes provisions for penalties for failing to meet performance guarantees, which will not exceed 2% of the annual premium for insured products. Overall, the bill aims to enhance the efficiency and reliability of the insurance program while ensuring accountability and customer satisfaction.