REPUBLIC OF KENYA___________________________

THE COUNTY GOVERNMENT OF SIAYATENDER DOCUMENT

FOR

PROVISION OF MOTOR VEHICLES INSURANCEBROKERAGE SERVICES

TENDER NO. CGS/OT/20142015/152

The County Government of SiayaP.O. Box 803-40600

Siaya, Kenya

Website: www. siaya.go.keJune, 2015

CLOSING DATE: - FRIDAY 10TH JULY 2015, 12.00 NOON

Table of Contents

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SECTION I INVITATION FOR TENDERS ............................................................... 2SECTION II INSTRUCTIONS TO TENDERERS ....................................................... 3SECTION IIIGENERAL CONDITIONS OF CONTRACT ........................................ 23SECTION IV SPECIAL CONDITIONS OF CONTRACT ......................................... 27SECTION V SCHEDULE OF REQUIREMENTS ..................................................... 28SECTION VI DESCRIPTION OF SERVICES............................................................ 37SECTION VII STANDARD FORMS .......................................................................... 40

SECTION IINVITATION FOR TENDERSTENDER REF. NO.: CGS/OT/2014-2015/ 152

TENDER NAME: PROVISION OF MOTOR VEHICLE INSURANCEBROKERAGE SERVICES

1.1

1.2

The County Government of Siaya invites sealed tenders from eligible candidates for Provisionof Motor Vehicle Insurance Brokerage Servicesfor a period of twelve (12) months with an optionof renewal annually upto a maximum of three (3) years subject to satisfactory performance.A complete set of tender documents may be obtained by interested candidates from Supply ChainManagement Office, The County Government of Siaya, during normal working hours or can beDownloaded from the CountyWebsite.www.Siaya.go.ke at no cost.

1.31.4

Prices quoted should be net inclusive of all taxes, and delivery costs, must be in Kenya Shillings andshall remain valid for 120 days from the closing date of the tender.Tenders must be accompanied by a tender security of Kenya shillings Two HundredThousand (200,000). in form of a guarantee from a reputable bank or aninsurancecompany approved by the Public Procurement Oversight Authority, payable to the CountySecretary , County Government of Siaya .

1.5 Completed tender documents are to be enclosed in plain sealed envelopes, clearly markedwith the tender number and be deposited in the TENDER BOX provided at ALEGO USONGA OFFICE addressed and posted to:

THE COUNTY SECRETARYCOUNTY GOVERNMENT OF SIAYA

P.O. BOX 803-40600SIAYA

Tenders will be opened immediately thereafter in the presence of the tenderersrepresentatives who choose to attend ALEGO-USONGA SUB COUNTY OFFICES,within Siaya Town

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32.1.1 This Invitation for Tenders is open to all tenderers eligible as described in theAppendix to Instructions to Tenderers. Successful tenderers shall provide theservices for the stipulated duration from the date of commencement (hereinafterreferred to as the term) specified in the tender documents.

2.1.2 The County Government of Siayas employees, committeemembers, board members and theirrelatives (spouse and children) are not eligible to participate in the tender unless wherespecially allowed under section 131 of the Act.

2.1.3 Tenderers shall provide the qualification information statement that the tenderer(including all members of a joint venture and subcontractors) is not associated, orhave been associated in the past, directly or indirectly, with a firm or any of its affiliates whichhave been engaged by the County Government of Siaya to provide consulting services for thepreparation of the design, specifications, and other documents to be used forthe procurement of the services under this Invitation for tenders.

2.1.4 Tenderers involved in the corrupt or fraudulent practices or debarred fromparticipating in public procurement shall not be eligible.

2.2.1 The Tenderer shall bear all costs associated with the preparation and submission ofits tender, and the County Government of Siaya, will in no case be responsible or liable for thosecosts. Regardless of the conduct or outcome of the tendering process

2.2.3 The County Government of Siaya shall allow the tenderer to review the tender document free ofcharge before purchase.

2.3.1 The tender documents comprise the documents listed below and addenda issued inaccordance with clause 2.5 of these instructions to tenderers.

2.2 Cost of Tendering

2.3 Contents of Tender Document

(i)(ii)

Instructions to TenderersGeneral Conditions of ContractSpecial Conditions of ContractSchedule of RequirementsDetails of Insurance CoverForm of Tender

(iii)(iv)(v)(vi)(vii) Price Schedules

SECTION II INSTRUCTIONS TO TENDERERS-

2.1. Eligible Tenderers

(viii) Contract Form(ix)(x)

Confidential Business Questionnaire FormTender security Form

(xi)(xii)

Performance security FormInsurance Companys Authorization Form

(xiii) Declaration Form(xiv) Request for Review Form

2.3.2 The Tenderer is expected to examine all instructions, forms, terms and specificationin the tender documents. Failure to furnish all information required by the tenderdocuments or to submit a tender not substantially responsive to the tenderdocuments in every respect will be at the tenderers risk and may result in therejection of its tender.

2.4 Clarification of Tender Documents

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2.4.2 The County Government of Siaya shall reply to any clarifications sought by the tenderer within 3days of receiving the request to enable the tenderer to make timely submission of its tender.

2.5.3 In order to allow prospective tenderers reasonable time in which to take theamendment into account in preparing their tenders, the County Government of Siaya, at itsdiscretion, may extend the deadline for the submission of tenders.

2.5.2 All prospective tenderers who have obtained the tender documents will be notifiedof the amendment by post, fax or email and such amendment will be binding onthem.

2.5.1 At any time prior to the deadline for submission of tenders, the County Government of Siaya,for any reason, whether at its own initiative or in response to a clarification requested by aprospective tenderer, may modify the tender documents by issuing and addendum.

Amendment of Tender Documents2.5

2.4.1A Candidate making inquiriesof the tender documents may notify the County Government ofSiaya by post, fax or by email at the County Government of Siayas address indicated inthe Invitation for tenders. The County Government of Siaya will respond in writing to anyrequest for clarification of the tender documents, which it receives not later than seven (7)days prior to the deadline for the submission of the tenders, prescribed by the CountyGovernment of Siaya. Written copies of the Procuring entities response (including anexplanation of the query but without identifying the source of inquiry) will be sent to allcandidates who havereceived the tender documents.

2.4.3 Preference where allowed in the evaluation of tenders shall not exceed 15%

2.6 Language of Tenders

2.7. Documents Comprising the Tender2.7.1 The tender prepared by the tenderer shall comprise the following components:

(a) A Tender Form and a Price Schedule completed in accordance withparagraph 2.8, 2.9 and 2.10 below

(b) Documentary evidence established in accordance with paragraph 2.1.2that the tenderer is eligible to tender and is qualified to perform thecontract if its tender is accepted;

(c)(d)

Tender security furnished in accordance with paragraph 2.12 (ifapplicable)Declaration Form.

2.8. Form of Tender2.8.1 The tenderer shall complete the Tender Form and the Price Schedule furnished in

the tender documents, indicating the services to be provided.2.9. Tender Prices2.9.1 The tenderer shall indicate on the form of tender and the appropriate Price

Schedule the unit prices and total tender price of the services it proposes to provideunder the contract.

2.9.2 Prices indicated on the Price Schedule shall be the cost of the services quotedincluding all customs duties and VAT and other taxes payable.

2.9.3 Prices quoted by the tenderer shall remain fixed during the Term of the contractunless otherwise agreed by the parties.A tender submitted with an adjustable pricequotation will be treated as non-responsive and will be rejected, pursuant toparagraph 2.20.5

2.10. Tender Currencies2.10.1 Prices shall be quoted in Kenya Shillings

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2.6.1 The tender prepared by the tenderer, as well as all correspondence and documentsrelating to the tender exchanged by the tenderer and the County Government of Siaya, shallbe written in English language. Any printed literature furnished by the tenderer maybe written in another language provided they are accompanied by an accurate Englishtranslation of the relevant passages in which case, for purposes of interpretation ofthe tender, the English translation shall govern.

2.12.1 The tenderer shall furnish, as part of its tender, a tender security for the amount andform specified in the Appendix to Instructions to Tenderers.2.12.2 The tender security shall not exceed Kshs 200,000 of the tender price.2.12.3 The tender security is required to protect the County Government of Siaya

against the risk of Tenderers conduct which would warrant the securitysforfeiture, pursuant to paragraph 2.12.8

2.12.4 The tender security shall be denominated in Kenya Shillings or in another freelyconvertible currency, and shall be in the form

a) Cash.b) A bank guarantee.c) Such insurance guarantee approved by the Authority.d) Letter of credit.

2.12.6 Unsuccessful Tenderers tender security will be discharged or returned as promptlyas possible but not later than thirty (30) days after the expiration of the period oftender validity

2.12.7 The successful Tenderers tender security will be discharged upon the tenderersigning the contract, pursuant to paragraph 2.28, and furnishing the performancesecurity, pursuant to paragraph 2.29

2.12.8 The tender security may be forfeited:(a) if a tenderer withdraws its tender during the period of tender validity.(b) in the case of a successful tenderer, if the tenderer fails:

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2.11. Tenderers Eligibility and Qualifications2.11.1 Pursuant to paragraph 2.1 the tenderer shall furnish, as part of its tender,

documents establishing the tenderers eligibility to tender and its qualifications toperform the contract if its tender is accepted.

2.11.2 The documentary evidence of the tenderers qualifications to perform the contractif its tender is accepted shall establish to the County Government of Siayas satisfactionthat the tenderer has the financial and technical capability necessary to perform thecontract.

2.12.5 Any tender not secured in accordance with paragraph 2.12.1. and 2.12.3 shall berejected by the County Government of Siaya as non-responsive, pursuant to paragraph2.20.5

2.12. Tender Security

(i) to sign the contract in accordance with paragraph 2.28 or(ii) to furnish performance security in accordance with paragraph 2.29.

(c) If the tenderer reject correction of an arithmetic error in the tender.2.13. Validity of Tenders2.13.1 Tenders shall remain valid for 120 days after date of tender opening pursuant to

paragraph 2.18. A tender valid for a shorter period shall be rejected by theCounty Government of Siaya as non-responsive.

2.13.2 In exceptional circumstances, the County Government of Siaya may solicit theTenderers consent to an extension of the period of validity. The request and theresponses thereto shall be made in writing. The tender security provided underparagraph 2.12 shall also be suitably extended. A tenderer granting the requestwill not be required nor permitted to modify its tender.

2.14. Format and Signing of Tenders2.14.1 The tenderer shall prepare an original and a copy of the tender, clearly marking each

ORIGINAL TENDER and COPY OF TENDER, as appropriate. In theevent of any discrepancy between them, the original shall govern.

2.14.2 The original and all copies of the tender shall be typed or written in indelible inkand shall be signed by the tenderer or a person or persons duly authorized to bindthe tenderer to the contract. All pages of the tender, except for un-amendedprinted literature, shall be initialed by the person or persons signing the tender.

2.14.3 The tender shall have no interlineations, erasures, or overwriting except asnecessary to correct errors made by the tenderer, in which case such correctionsshall be initialed by the person or persons signing the tender.

2.15 Sealing and Marking of Tenders2.15.1 The tenderer shall seal the original and the copy of the tender in separate

envelopes, duly marking the envelopes as ORIGINAL TENDER and COPYOF TENDER. The envelopes shall then be sealed in an outer envelope.

2.15.2 The inner and outer envelopes shall:(a)(b)

2.15.3 The inner envelopes shall also indicate the name and address of the tenderer toenable the tender to be returned unopened in case it is declared late.

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be addressed to the County Government of Siaya at the address given in the Invitation toTender.bear tender number and name in the invitation to tender and the words, DO NOT OPENBEFORE ,FRIDAY 10TH /JULY/ 2015 at 12.00 PM.

82.16.2 The County Government of Siaya may, at its discretion, extend this deadline for thesubmission of tenders by amending the tender documents in accordance with paragraph2.5.3 in which case all rights and obligations of the County Government of Siaya andcandidates previously subject to the deadline will thereafter be subject to the deadline asextended.

2.16.3 Bulky tenders which will not fit the tender box shall be received by the CountyGovernment of Siaya as provided for in the appendix.

2.18.1 The County Government of Siaya will open all tenders in the presence of tenderersrepresentatives who choose to attend, at 12.00 hours on FRIDAY 10TH /JULY/ 2015and in the location specified in the invitation for tenders. The tenderersrepresentatives who are present shall sign a register evidencing their attendance

2.15.4 If the outer envelope is not sealed and marked as required by paragraph 2.15.2, the CountyGovernment of Siaya will assume no responsibility for the tenders misplacement orpremature opening.

2.16. Deadline for Submission of Tenders2.16.1 Tenders must be received by the County Government of Siaya at the address

specified under paragraph 2.15.2 not later than FRIDAY 10TH /JULY/ 2015 at12.00 PM

2.17. Modification and Withdrawal of Tenders

2.17.1 The tenderer may modify or withdraw its tender after the tenders submission,provided that written notice of the modification, including substitution orwithdrawal of the tenders, is received by the County Government of Siaya priorto the deadline prescribed for submission of tenders.

2.17.2 The tenderers modification or withdrawal notice shall be prepared, sealed,marked and dispatched in accordance with the provisions of paragraph 2.15. awithdrawal notice may also be sent by fax or email but followed by a signedconfirmation copy, postmarked not later than the deadline for submission oftenders.

No tender may be modified after the deadline for submission of tenders.2.17.32.17.4 No tender may be withdrawn in the interval between the deadline for submission

of tenders and the expiration of the period of tender validity. Withdrawal of atender during this interval may result in the Tenderers forfeiture of its tendersecurity, pursuant to paragraph 2.12.7.

2.18. Opening of Tenders

92.18.2 The tenderers names, tender modifications or withdrawals, tender prices,discounts, and the presence or absence of requisite tender security and such otherdetails as the County Government of Siaya, at its discretion, may consider appropriate,will be announced at the opening.

2.18.3 The County Government of Siaya will prepare minutes of the tender opening, which will besubmitted to tenderers that signed the tender opening register and will have made the request.

Clarification of Tenders

2.19.1 To assist in the examination, evaluation and comparison of tenders the County governmentof siaya may, at its discretion, ask the tenderer for a clarification of its tender. The request forclarification and the response shall be in writing, and no change in the prices or substance ofthe tender shall be sought, offered, or permitted.

2.20.1 The County Government of Siaya will examine the tenders to determine whether theyare complete, whether any computational errors have been made, whether requiredsuretieshave been furnished, whether the documents have been properly signed, and whether thetenders are generally in order.

2.20.3 The County Government of Siaya may waive any minor informality or non-conformity orirregularity in a tender which does not constitute a material deviation provided such waiverdoes not prejudice or affect the relative ranking of any tenderer.

2.19

2.19.2 Any effort by the tenderer to influence the County Government of Siaya in the CountyGovernment of Siayas tender evaluation, tender comparison or contract award decisionsmay result in the rejection of the tenderers tender.

2.20 Preliminary Examination and Responsiveness

2.20.2 Arithmetical errors will be rectified on the following basis. If there is a discrepancybetween the unit price and the total price that is obtained by multiplying the unit priceand quantity, the unit price shall prevail, and the total price shall be corrected. If the candidatedoes not accept the correction of the errors, its tender will be rejected, and its tender securityforfeited. If there is a discrepancy between words and figures, the amount in words will prevail

2.20.4 Prior to the detailed evaluation, pursuant to paragraph 2.20, the County Governmentof Siaya will determine the substantial responsiveness of each tender to the tenderdocuments. For purposes of these paragraphs, a substantially responsive tender is onewhich conforms to all the terms and conditions of the tender documents without materialdeviations the County Government of Siayas determination of a tendersresponsiveness is to be based on the contents of the tender itself without recourse toextrinsic evidence.

2.20.5 If a tender is not substantially responsive, it will be rejected by the CountyGovernment of Siaya and may not subsequently be made responsive by the tendererfor non-2.21. Conversion to single currency

2.21.1 Where other currencies are used, the County Government of Siaya will convert thosecurrencies to Kenya Shillings using the selling exchange rate on the date of tender closing

2.22. Evaluation and Comparison of Tenders

2.22.2 The County Government of Siayas evaluation of a tender will take into account, inaddition to the tender price, the following factors, in the manner and to the extent indicatedin paragraph 2.22.3.

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Conformity.

2.22.1 The County Government of Siaya will evaluate and compare the tenders which have beendetermined to be substantially responsive, pursuant to paragraph 2.20

(a)operational plan proposed in the tender;(b) deviations in payment schedule from that specified in the Special Conditionsof Contract

2.22.3 Pursuant to paragraph 2.22.2. the following evaluation methods will be applied.(a) Operational Plan

(i) The County Government of Siaya requires that the services under the Invitation forTenders shall be performed at the time specified in the Schedule ofRequirements. Tenders offering to perform longer than the County Government ofSiayas required delivery time will be treated as non-responsive and rejected.(b) Deviation in payment schedule

(i) Tenderers shall state their tender price for the payment on scheduleoutlined in the special conditions of contract.Tenders will be evaluated on the basisof this base price. Tenderers are, however, permitted to state an alternativepayment schedule and indicate the reduction in tender price they wish to offerfor such alternative payment schedule. The County Government of Siaya mayconsider the alternative payment schedule offered by the selected tenderer.

2.22.4 The tender evaluation committee shall evaluate the tender within 30 days from thedate of opening the tender.

provided by the Central Bank of Kenya.

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2.23. Contacting the County Government of Siaya2.23.1 Subject to paragraph 2.19 no tenderer shall contact the County Government of Siaya onany matter relating to its tender, from the time of the tender opening to the time the contract is awarded.2.23.2 Any effort by a tenderer to influence the County Government of Siaya in its decisions ontender evaluation, tender comparison, or contract award may result in the rejection of the Tendererstender.

2.24 Post-qualification2.24.1 The County Government of Siaya will verify and determine to its satisfaction whether thetenderer that is selected as having submitted the lowest evaluated responsive tender is qualified toperform the contract satisfactorily.2.24.2 The determination will take into account the tenderer financial and technical capabilities.It will be based upon an examination of the documentary evidence of the tenderers qualificationssubmitted by the tenderer, pursuant to paragraph 2.11.2 , as well as such other information as theCounty Government of Siaya deems necessary and appropriate2.24.3 An affirmative determination will be a prerequisite for award of the contract to the tenderer. Anegative determination will result in rejection of the Tenderers tender, in which event the CountyGovernment of Siaya will proceed to the next lowest evaluated tender to make a similardetermination of that Tendererscapabilities to perform satisfactorily.

2.25 Award Criteria2.25.1 Subject to paragraph 2.29 the County Government of Siaya will award the contract to thesuccessful tenderer whose tender has been determined to be substantially responsive and has beendetermined to be the lowest evaluated tender, provided further that the tenderer is determined tobe qualified to perform the contract satisfactorily.2.25.2 To qualify for contract awards, the tenderer shall have the following:-

(a) Necessary qualifications, capability experience, services, equipment andfacilities to provide what is being procured.(b)(c) Legal capacity to enter into a contract for procurementShall not be insolvent, in receivership, bankrupt or in the process of being

wound up and is not the subject of legal proceedings relating to the foregoing.(d) Shall not be debarred from participating in public procurement.

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2.26. County Government of Siayas Right to accept or Reject any or all Tenders2.26.1 The County Government of Siaya reserves the right to accept or reject any tender, and toannul the tendering process and reject all tenders at any time prior to contract award, without therebyincurring any liability to the affected tenderer or tenderers or any obligation to inform the affectedtenderer or tenderers of the grounds for the County Government of Siayas action. If the CountyGovernment of Siaya determines that non of the tenders is responsive, the County Government ofSiaya shall notify each tenderer who submitted a tender.2.26.2 The County Government of Siaya shall give prompt notice of the termination to the tenderers andon request give its reasons for termination within 14 days of receiving the request from any tenderer.2.26.3 A tenderer who gives false information in the tender document about is qualification or who refuses to enter into a contract after notification of contract award shall be consideredfor debarment from participating in future publicprocurement.

2.27 Notification of Award2.27.1 Prior to the expiration of the period of tender validity, the County Government of Siaya will notifythe successful tenderer in writing that its tender has been accepted.2.27.2 The notification of award will signify the formation of the contract subject to the signing of thecontract between the tenderer and the County Government of Siaya pursuant to clause 2.9.Simultaneously the other tenderers shall be notified that their tenders were not successful.2.27.3 Upon the successful Tenderers furnishing of the performance security pursuant to paragraph 2.29the County Government of Siaya will promptly notify each unsuccessful Tenderer and will discharge itstender security, pursuant to paragraph 2.12

2.28 Signing of Contract2.28.1 At the same time as the County Government of Siaya notifies the successful tenderer that itstender has been accepted, the County Government of Siaya will simultaneously inform the othertenderers that their tenders have not been successful.2.28.2 Within fourteen (14) days of receipt of the Contract Form, the successful tenderer shall sign anddate the contract and return it to the County Government of Siaya.2.28.3The contract will be definitive upon its signature by the two parties.2.28.4 The parties to the contract shall have it signed within 30 days from the date of

notification of contract award unless there is anadministrative review request.

2.29 Performance Security

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2.29.1 The successful tenderer shall furnish the performance security in accordance with the Conditionsof Contract, in a form acceptable to the County Government of Siaya.2.29.2 Failure by the successful tenderer to comply with the requirement of paragraph 2.29 orparagraph 2.30.1 shall constitute sufficient grounds for the annulment of the award and forfeiture of thetender security, in which event the County Government of Siaya may make the award to the next lowestevaluated tender or call for new tenders.

2.30 Corrupt or Fraudulent Practices2.30.1 The County Government of Siaya requires that tenderers observe the highest standard of ethicsduring the procurement process and execution of contracts. A tenderer shall sign a declarationthat he has not and will not be involved in corrupt or fraudulent practices.2.30.2 The County Government of Siaya will reject a proposal for award if it determines that thetenderer recommended for award has engaged in corrupt or fraudulent practices in competingfor the contract in question2.30.3 Further a tenderer who is found to have indulged in corrupt or fraudulent practices risks beingdebarred from participating in public Procurement in Kenya.

Appendix to instructions to Tenderers

The following information for the procurement of insurance services shall complement,supplement, or amend, the provisions on the instructions to tenderers. Wherever there is aconflict between the provisions of the instructions to tenderers and the provisions of theappendix, the provisions of the appendix herein shall prevail over those of the instructionsto tenderers.Instructionsto tenderers Particulars of appendix to instructions to tenderers

Particulars of eligible tenderers: Insurance Brokers Registered in Kenya2.1

2.10 Particulars of other currencies allowed. NoneParticulars of eligibility and qualifications documents of evidence required.Copies of:2.11 i) Certificate of Registrationii) Certificate of valid tax complianceParticulars of tender security if applicable. kshs 200,0002.12Particulars of tender security if applicable. Kshs. 200,000 valid for anadditional thirty (30) days after the expiry of the tender validity period i.e.upto 28TH August, 20152.12.2Form of Tender Security: The Tender Security shall be in the form of aGuarantee from a reputable bank or insurance company approved by ThePublic Procurement Oversight Authority (PPOA)Validity of Tenders: Tenders Shall remain valid for 120 days after date oftender opening i.e. upto 30th OCTOBER 2015

2.12.4

2.132.14.12.16.3

Copies of Tender Documents to be Submitted: An original and one (1) copyBulky tenders which do not fit in the tender box shall be delivered to the Supplychain Management Office.Tenderers are required to submit copies of the following MANDATORYDOCUMENTS which will be used during Preliminary Examination todetermine responsiveness:1)

2)

3)

Copy of certificate of business registration [certificate of incorporationfor the Broker]. Tenderers should have been in existence for at least the lastfive (5) yearsCurrent certificate of registration with the Insurance RegulatoryAuthority for the year 2013 Attached copy must be certified by theissuing office.

2.20.1

Copy of PIN Certificate14

4)

5)

Current membership certificate from Association of Insurance Brokersof Kenya (AIBK) for year 2015 - Attached copy must be certified by theissuing officeMust have a Bank guarantee or a lien from the Central Bank drawn in favourof the Insurance Regulatory Authority of Kshs.3 Million deposited withthe Insurance Regulatory Authority and a copy certified by IRA be submitted.The County Government of Siaya may verify the information with the issuingoffice

6)

7)

8)

Copy of the Current professional indemnity policy with a limit of not lessthan Kenya shillings 50,000,000.00. The insurance cover shall be valid withinthe proposed contract period and obtained from reputable insurance company.Compensation shall be claimed against this cover if the Broker is negligent orfails to perform any of its obligations or provides services falling below thestandard set out herein or is in breach of any of its material obligations underthe contract Attached copy must be certified by IRA

Premium turnover- the Broker shall submit documentary evidenceindicating that the premium underwritten over the last two years (2012-2013, 2013-2014) was at least Kshs. 50,000,000.00 per year i.e. aminimum total of Kshs. 100,000,000.00 for the last two years. Theinformation should include a list of accounts constituting the declaredpremiums underwritten, the contacts and premium paid by each. TheCounty Government of Siaya reserves the right to verify this information with theBrokers clients and or with the Insurance Regulatory Authority.Evidence that the candidate has paid the required taxes. The Broker to submita copy of the current and valid Tax Compliance Certificate from the KenyaRevenue Authority (KRA) for the Broker and the proposed Underwriter(s).

9) Tender Form duly Completed, Signed and Stamped by the Tenderer in theformat provided.10)11)

Price Schedule duly Completed, Signed and Stamped by the Tenderer in theformat provided.Must Submit a Tender Security of Kshs. 200,000 in its original form valid

for an additional thirty (30) days after the expiry of the tender validityperiod i.e. upto 28TH August, 2015 . The tender Security shall be in form of aguarantee from a reputable bank incorporated in Kenya or an insurance companyapproved by the Public Procurement Oversight Authority (PPOA)

12)13)

Must submit a duly completed and signed Confidential BusinessQuestionnaire in format providedMust submit their latest audited financial statements for the last twoyears (i.e. either 2011 and 2012 or 2013 and 2014) for determiningsolvency and liquidity.

14) Must have compliance certificate from NSSF or submit evidence ofremittance for the last three (3)months

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15)16)

Must have Compliance certificate from NHIF or submit evidenceremittance for the last (3) three monthsA disclosure of ALL the public procurement entities that have engaged your

services in the last 3 years. The listing of public procurement entities mustinclude their location, period of service, type of policy and the underwriter, amountinsured, and claims turnaround time based on the experience.

17)

18)

19)

The CVs/resumes of the four (4) Key professional staff namedundersection 2.22 below [Step 2 Technical evaluation (b) -Staffqualifications and experience]A written declaration signed by the Firms Principal Officer that allinformation provided is accurate and that any material misrepresentationcould lead to disqualification or policy cancellation.

Mandatory qualifying requirements for the underwriters.The broker must ascertain from the underwriters that they do not have any

unpaid claims with The County Government of Siaya. The broker Must submitthe following Mandatory requirements of the proposed Underwriters withtheir tender for the underwriters to be eligible for evaluation and contractaward. The recommended Underwriter(s) may table the requisiterequirements / documents directly with the County Government of Siaya. It is theresponsibility of the tenderer to ensure that the requirements /documents are received by The County Government of Siaya in sealedenvelopes by the tender closing date. The tenderer should attach in their tenderdocument a letter from the underwriter forwarding documents.

(i) Copy of certificate of Registration under Companies Act.The insurance companies proposed by the Brokers should becompanies registered under the companies Act and must have beeninexistence as Insurance underwriters for the recommended businessfor a minimum period of 5 years. The registered office and physicaladdress of the insurance company must be indicated. A copy of thecertificate of registration /incorporation must be submitted.

(ii)Certified copy of Registration with the Insurance RegulatoryAuthority for the year 2015The proposed insurance companies shall be registered with theInsurance Regulatory Authority for the year 2013 and a copy of thelicense submitted. The copy must be certified by the office of theInsurance Regulatory Authority.

(iii) Certified copy of Registration as member of Association ofKenya Insurers (AKI) for year 2015The proposed insurance companies shall be registered members withAKI for the year 2015. A copy of the membership certificate mustbe attached in the Brokers tender document. The copy must becertified, by the Office of AKI.

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(iv) Certified copies of Latest audited financial statements.The Brokers shall submit proposed Underwriters audited financial accounts forthe latest two (2) years i.e. 2013 and 2014 or 2014 and 2015. The Broker shallapply all reasonable means to ascertain the solvency and financial securityof the relevant Underwriters proposed to be appointed to The CountyGovernment of Siaya insurance portfolio for Motor Vehicles Insurance Covers.The recommended underwriter(s) may table the requisite statements directly withthe County Government of Siaya. It is the responsibility of the tenderer toensure that the statements are received by The County Government of Siaya insealed envelopes by the tender closing date. The tenderer should attach intheir tender document a letter from the underwriter forwarding the financialstatements.(v) Premium turnoverThe Underwriter proposed by the Broker shall have underwritten premiumsin excess of Kshs. 1 billion for all businesses with motor vehicle portfolio inexcess of Kshs. 100 million in each of the two years.(vi) Financial Ratios

The Underwriters proposed by the Broker must meet the followingminimum acceptable ratios: -

a) Claims coverage ratio= minimum acceptable ratio is one (1) without factoringreinsurance arrangements.

Claims coverage ratio = Net liquid assetsOutstanding claims

b) Current ratio= minimum acceptable ratio is one (1) without factoringreinsurance arrangements.

Current ratio = Current AssetsCurrent liabilities

[The Brokers should indicate the ratios and thecalculations therein, for all the proposed Underwriter(s)].(vii) Paid Up CapitalThe recommended Underwriter shall have paid - up capital of at least

Kshs.100million or as required by the Insurance regulatory authority at the timeof tender submission.

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(viii) Other requirementsThe Brokers shall provide statement/documentary evidence (whereappropriate) from the proposed underwriters for the following:-Their experience in provision of services of similar nature & magnitudein each of the last five years. The information should include details ofservices underway or contractually committed; and names and addressesof clients who may be contacted for further information on thosecontracts.

Information regarding litigation, in which the insurer is involved in,the parties concerned and the disputed amounts.Qualifications and experience in insurance matters of the keymembers of staff and diversity of their skills to cover relevant risksof interest to The County Government of Siaya

The underwriter must provide a list of at least 5 major clients and indicate theclients premium for the year 2013 and 2014 together with their references andcontacts.

AT THIS STAGE, THE TENDERERS SUBMISSION WILL EITHERBE RESPONSIVE OR NON RESPONSIVE. THE NON RESPONSIVESUBMISSIONS WILL BE ELIMINATED FROM THE ENTIREEVALUATION PROCESS AND WILL NOT BE CONSIDEREDFURTHER.

Evaluation and Comparison of TendersThe following evaluation criteria shall be applied not withstanding any otherrequirement in the tender documents.

SELECTION PROCESS

Below is a description of the evaluation steps that will be adopted.STEP 1: PRELIMINARY EVALUATION2.22 This will be an elimination stage where each vendors submission will bechecked for completeness and compliance to the stated tender submissionrequirements which include documents specified in paragraph 2.20.1 above.At this stage, the vendor submission will either be compliant ornon-compliant. The non-compliant submissions will be eliminated from theentire evaluation process and will not be considered further.

STEP 2: TECHNICAL EVALUATIONIn order to be technically evaluated, tenderers should submit technicalproposals comprising the following information:-(a) Firms Past experience:

18

A brief description of the firms organization and an outline of experience onprovision of insurance services of a similar nature for the last 5 years.

(b) Staff qualifications and experience:The Broker should have a minimum total number of four (4) professional/technical staff(minimum qualification being University degree or associateshipfrom reputable insurance institute).However the team shall possess the academic and professional qualificationsset out below: -i. The team proposed for the assignment shall comprise of at least four (4)experienced personnel. This shall include the team leader, one (1) seniormanagement staff and two (2) other management staff.ii. The team leader shall have at least ten (10) years experience as seniormanager, in general management in the insurance industry and a minimumacademic /technical qualification of a university degree or an associate of thechartered insurance institute. Added advantage will be given to teams wherePrincipal Officer/Managing Director is the team leader.iii. The senior manager shall have at least seven (7) years experience as a seniormanager, in general management in the insurance industry and a minimumacademic/technical qualification of a University degree or an associate of thechartered insurance institute.iv. The two (2) other technical staff shall have at least five (5) years managerialexperience in the insurance industry.The team as a whole must comprise of at least (2) associates of the chartered

insurance institute or equivalent (such as the Insurance Institute of Kenya).The Broker shall submit recent curriculum vitae (CV) signed by the proposedprofessional staff and the authorized representative submitting the proposal.Key information should include number of years worked for broking firm andthe degree of responsibility held in various assignments in the insuranceindustry. The Broker shall not submit a name of a professional staff that is notin the Brokers permanent employment and shall inform The County governmentof siaya of changes, if any, in proposed technical staff during the tender validityperiod.(c) Proposed cover:

A demonstration of the candidates capability to arrange the Motor VehicleInsurance covers. The County Government of Siaya will attach highest value inimportance to Policy enhancements that add value to the standard market coverand should include(i) The full Terms and conditions of providing the insurance Brokerage service;exclusion clauses, if any; excess clauses if any; and evacuation plans andarrangements. The tenderers shall sign an undertaking that the proposed coverswill at a minimum cover all the details provided in Section VI - Description ofservices. The Broker must provide detailed Risk notes/Cover summaries for eachpolicy in the technical proposal

19

(ii) Any additional information requested in the specifications.

(d) Methodology and Work plan for claims settlement:The Broker must illustrate the methodology and work plan (with appropriatetiming) that will be used to carry out the assignments and indicate the proposedclaims turn around period as more particularly described in the scope of serviceunder schedule of Requirements (Section V of this tender document).(e) Risk management capacity:The Broker shall indicate their risk management capacity. The Broker shall alsoillustrate the methodology to be used to carry out loss control surveys andrecommendations noting the viability of the recommendations with regard totime and cost.

(f) Information management and technology systems in place.The Brokers should have fully in place, suitable information managementtechnology. Provide details(g) Proposed contract terms and conditionsAll the contract terms and conditions and any other underwriting requirementsMUST be clearly disclosed in the technical proposal.The Technical Evaluation will be undertaken as stipulated in SECTION VII(7.7) TECHNICAL EVALUATION RESPONSE FORM TO ARRIVE ATTHE TECHNICAL SCORE (St).THE TECHNICAL PROPOSALS WILL BE MARKED OUT OF 100 ANDTHE MINIMUM TECHNICAL SCORE REQUIRED TO PROCEED TOFINANCIAL EVALUATION IS 75%. TENDERERS WHO FAIL TOSECURE THE MINIMUM TECHNICAL SCORE WILL BE ELIMINATEDFROM THE ENTIRE EVALUATION PROCESS AND WILL NOT BECONSIDERED FURTHER.STEP 3: FINANCIAL EVALUATIONIn order to be financially evaluated, tenderers should submit financialproposals comprising the following information:-1) The tenderer shall provide in its financial proposal the particulars required, thepercentage rate of of the services it proposes to provide under the contract. Inpreparing the Financial Proposal, Brokers are expected to take into account therequirements and conditions outlined in the tender document.2) The Financial Proposal should include all, the local Taxes, duties, fees, leviesand other charges imposed under the law. Prices quoted by the tenderer shall befixed during the Tenders performance of the contract and not subject to variation.

20

STEP 3: SELECTING THE LOWEST BIDDERThe County Government of Siaya recognizes that the best placed broker to providethe brokerage services is the one that best understands the insurance industry andthe requirements of the client as represented in quality of the technical proposal.Therefore the weight allocated to the technical vis--vis the price is 80:20. Thelowest evaluated bid will be selected on the basis of those weights by combiningthe processed technical and financial score as follows:-

Step 1Calculate the weighted technical scores of each bidder as follows:-Marks achieved by a particular bidder divided by highest mark achieved in theevaluation, multiplied by the technical weighting (.8).Step 2Calculate the weighted financial scores of each bidder as follows:-Lowest quoted price (inclusive of taxes and levies) for the policy divided byprice(inclusive of taxes and levies) quoted by particular bidder, multiplied bythe financial weighting (.2).Step 3Add the weighted technical and financial scores (step1 plus step2) for eachbidder and obtain the sum.Step 4Rank the bidders and select bidder with the highest points as the lowestevaluated bidder.Step 5Make recommendations in accordance with the findings of step 4.

Particulars of post qualification if applicable.

The County Government of Siaya may carry out post vendor Evaluation ofthe recommended bidder to validate the Information provided in the tenderl prior to signing of a contract pursuant to the provisions of the PublicProcurement and Disposal Regulations.

2.24 (a)

2.24.4 Award Criteria: Recommendation of the Lowest Evaluated BidderThe Lowest evaluated bid will be the one that obtains the highest combinedtechnical and financial scores.

21

2.27Others asnecessary

Particulars of performance security if applicable. N/AComplete as necessary. None

23

GENERAL CONDITIONS OF CONTRACT3.1. Definitions

3.1.1 In this Contract, the following terms shall be interpreted as indicated:(a) The Contract means the agreement entered into between the County Government of

Siaya and the tenderer, as recorded in the Contract Form signed by the parties,including all attachments and appendices thereto and all documents incorporated byreference therein.(b)

(c)

The Contract Price means the price payable to the tenderer under the Contractfor the full and proper performance of its contractual obligationsThe Services means services to be provided by the tenderer including anydocuments, which the tenderer is required to provide to the County Government ofSiaya under the Contract.

(d)

(e)

(f)

The County Government of Siaya means the organization procuring the servicesunder this ContractThe Contractor means the organization or firm providing the services under thisContract.GCC means the General Conditions of Contract contained in this section.(g)

(h)SCC means the Special Conditions of ContractDay means calendar day

3.2. Application3.2.1 These General Conditions shall apply to the extent that they are not superceded by provisions of

other part of the contract3.3. Standards

3.3.1 The services provided under this Contract shall conform to the standards mentionedin the schedule of requirements.3.4. Use of Contract Documents and Information

3.4.1 The Contractor shall not, without the County Government of Siayas prior written consent,disclose the Contract, or any provision thereof, or any specification, plan, drawing,pattern, sample

or information furnished by or on behalf of the County Government of Siaya in connectiontherewith, to any person other than a person employed by the contractor in the performanceof the Contract.

SECTION III

3.4.2 The Contractor shall not, without the County Government of Siayas prior written consent,make use of any document or information enumerated in paragraph 2.4.1 above.

3.4.3 Any document, other than the Contract itself, enumerated in paragraph 2.4.1 shall remain theproperty of the County Government of Siaya and shall be returned (all copies) to theCounty Government of Siaya on completion of the contracts or performance under the Contractif so required by the County Government of Siaya.

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3.5. Patent Rights3.5.1 The Contractor shall indemnify the County Government of Siaya against all third-party

claims of infringement of patent, trademark, or industrial design rights arising from use of theservices under the contract or any part thereof.3.6 Performance Security

3.6.1 Within twenty eight (28) days of receipt of the notification of Contract award, the successfultenderer shall furnish to the County Government of Siaya the performance security whereapplicable in the amount specified in SCC

3.6.2 The proceeds of the performance security shall be payable to the County governmentof siaya as compensation for any loss resulting from the Tenderers failure to complete itsobligations under the Contract.

3.6.3 The performance security shall be denominated in the currency of the Contract,Or in a freely convertible currency acceptable to the County Government of Siaya and shall bein the form of:

a) Cash.b) A bank guarantee.c) Such insurance guarantee approved by the Authority.d) Letter of credit.

3.6.4 The performance security will be discharged by the County Government of Siaya and returnedto the Candidate not later than thirty (30) days following the date of completion of theContractors performance of obligations under the Contract, including any warrantyobligations, under the Contract.3.7. Delivery of services and Documents

3.7.1 Delivery of the services shall be made by the Contractor in accordance with the termsspecified by the County Government of Siaya in the schedule of requirements and thespecial conditions of contract3.8. Payment

3.81. The method and conditions of payment to be made to the contractor under this Contractshall be specified in SCC

3.82. Payment shall be made promptly by the County Government of Siaya, but in no case later thansixty (60) days after submission of an invoice or claim by the contractor

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3.9. Prices3.9.1 Prices charges by the contractor for Services performed under the Contract shall not, with the

exception of any price adjustments authorized in SCC vary from the prices quoted by the tendererin its tender or in the County Government of Siayas request for tender validity extension the casemay be. No variation in or modification to the terms of the contract shall be made except bywritten amendments signed by the parties.

3.9.2 Contract price variations shall not be allowed for contracts not exceeding one year (12 months)3.9.3 Where contract price variation is allowed the variation shall not exceed 10% of the original

contract price3.9.4 Price variation requests shall be processed by the County Government of Siaya within 30

days of receiving the request.3.10. Assignment

3.10.1 The Contractor shall not assign, in whole or in part, its obligations to perform under this Contract,except with the County Government of Siayas prior written consent.3.11. Termination for Default

3.11.1 The County Government of Siaya may, without prejudice to any other remedy for breach ofContract, by written notice of default sent to the Contractor terminate this Contract in whole or inpart:(a) if the Contractor fails to provide any or all of the services within the period(s) specified in

the Contract, or within any extension thereof granted by the County Government ofSiaya.

(b)(c)

If the Contractor fails to perform any other obligation(s) under the ContractIf the Contract in the judgment of the County Government of Siaya has engaged incorrupt or fraudulent practices in competing for or in executing the contract

3.11.2 In the event the County Government of Siaya terminates the contract in whole or in part,it may procure, upon such terms and in such manner as it deems appropriate, servicessimilar to those un-delivered, and the Contractor shall be liable to the County Government ofSiaya for any excess costs for such similar services. However the contractor shall continueperformance of the contract to extent not terminated.

3.12. Termination for Insolvency3.12.1 The County Government of Siaya may at any time terminate the contract by giving written

notice to the Contractor if the contractor becomes bankrupt or otherwise insolvent. In this event,termination will be without compensation to the contractor, provided that such termination willnot prejudice or affect any right of action or remedy, which has accrued or will accrue thereafterto the County Government of Siaya.

3.13. Termination for Convenience

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3.13.1 The County Government of Siaya by written notice sent to the contractor, may terminate thecontract in whole or in part, at any time for its convenience. The notice of termination shallspecify that the termination is for the procuring entities convenience, the extent to whichperformance of the contractor of the contract is terminated and the date on which suchtermination becomes effective.

3.13.2 For the remaining part of the contract after termination the County Government of Siaya mayelect to cancel the services and pay to the contractor an agreed amount for partiallycompleted services.

3.14 Resolution of Disputes3.14.1 The County Government of Siaya and the contractor shall make every effort to resolve

amicably by direct informal negotiations and disagreement or disputes arising between themunder or in connection with the contract

3.14.2 If after thirty (30) days from the commencement of such informal negotiations both partieshave been unable to resolve amicably a contract dispute either party may require that thedispute be referred for resolution to the formal mechanisms specified in the SCC.

3.15. Governing Language3.15.1. The contract shall be written in the English language. All correspondence and other documents

pertaining to the contract, which are exchanged by the parties shall be written in the samelanguage.

3.16. Applicable Law3.16.1 The contract shall be interpreted in accordance with the laws of Kenya unless otherwise

expressly specified in the SCC.3.17 Force Majeure

3.17.1 The Contractor shall not be liable for forfeiture of its performance security, ortermination for default if and to the extent that its delay in performance or other failureto perform its obligations under the Contract is the result of an event of Force Majeure.

3.18 Notices3.1.1 Any notices given by one party to the other pursuant to this contract shall be sent to

the other party by post or by Fax or Email and confirmed in writing to the otherpartys address specified in the SCC.

3.1.2 A notice shall be effective when delivered or on the notices effective date, whicheveris later.

SECTION IV SPECIAL CONDITIONS OF CONTRACT

General conditionsof contract reference Special conditions of contract

3.53.7

Specify performance security if applicable: N/ASpecify method Payments. Premiums will be paid within30 days of receipt of Invoice / Demand NoteSpecify price adjustments allowed. None3.8

3.14 Specify resolution of disputes. Disputes to be settled asper the Arbitration Laws of Kenya

3.163.18

Specify applicable law. Laws of KenyaIndicate addresses of both parties.Client:The County Government of Siaya

P.O.BOX 803-40600SIAYA

Others as Complete as necessarynecessary

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SECTION V - SCHEDULE OF REQUIREMENTS

(1) GENERALThe County Government of Siaya seeks to engage an Insurance Broker to provide insurance brokerageservices for motor vehicle insurance as per the details provided in section VI Description ofservices:-The contract will be for an initial period of one year from the date of renewable annuallyupto to maximum of three (3) years subject to satisfactory performance. During this period,the insurer will be required to maintain all the required licenses.

28

Annex Attached at the Back of the Document ,gives the location of theMotor Vehicles to be insured and Prospective underwriters are expected tovisit the Locations and ascertain the Exact values of the Vehicles beforegiving their Quotations. The number will however fluctuate during thecontract period.

29

The vehicles will be valued by reputable motor vehicle valuers agreed on by both parties and thepremiums payable will be based on the current values calculated using the percentages (% es)given by the tenderers.

(2) OTHERS DETAILSThe scope of services for the Broker will include and not limited to the following: -i) Structuring and obtaining optimum policy covers from the Underwriters in accordance with thetenders submitted.ii) Analyze, Review, Scrutinize the policy documents and any endorsements therein. The cover provided by

the underwriter should be as in the tender document and should not berestricted, by way of warranties,endorsements or special conditions subject to award. If theentire policy document is found to besatisfactory, such document to be deposited with The County Government of Siaya not later than fifteen(15) days from the inception of cover.

iii)

iv)

Remit to the Underwriters all premiums paid by The County Government of Siaya or CountyGovernment of Siaya appointed agent in accordance with the provisions and requirements of theInsurance Act.Ensure proper claims administration by fully coordinating prudent requirements between The CountyGovernment of Siaya and the selected Underwriter.

v) Ensure all fully documented claims are settled within twenty-one (21) days.vi) Ensure preparation of monthly claims bordereaux reports, which must be submitted to The CountyGovernment of Siaya by the 15 of the following month.vii) Negotiate amicably with the qualified Underwriter on any other pertinent aspects of the policy that

may arise during the term of policy.viii)ix)

Ensure motor certificates are received in County Government of Siaya offices, within 12 hoursUpon request.Arrange quarterly meetings to review performance of the policy by 15th of the following quarter.

x) Carry out loss control surveys and make appropriate risk improvement recommendation.xi) Ensure that the sums insured under the policy will be adjustable accordingly by suitablemeans at thediscretion of The County Government of Siaya from time to time.xii) Assign a messenger to collect/deliver insurance mail on daily basis or as need arises.xiii) Such other service as may be related or ancillary to the due performance of the above work.

30

REQUIREMENTS FOR THE INSURANCE COMPANY WHERE THE RISK ISPROPOSED TO BE PLACED:-(3)

The Insurance Broker will be required to provide the following detailsi) Name of the Underwriterii) Evidence of legal capacity to enter into insurance contracts, including: -

--RegistrationAppropriate licensing

iii)

iv)

(4)

List of directors, auditors, bankers and principal shareholders as at end of last financial year.

Names, qualification and relevant experience of the technical staff of the company

UNDERTAKINGS BY THE UNDERWRITERThe underwrite will be required to provide the following undertaking

i) Statement confirming that all information supplied is accurate and that any materialmisrepresentation could lead to policy cancellation.

ii)

iii)

Statement confirming that processing of any claims during the duration of the policy shallnot exceed the latest average claims processing period given above.Statement confirming that the Companys ability to settle shall not be compromised duringpolicy duration and further that any erosion of such ability could lead to the cancellation ofthe policy.All statements, to be signed by an authorized official of the company.

(5) FACILITIES TO BE PROVIDED BY THE COUNTY GOVERNMENT OF SIAYA(i) Provide information required for the Assignment within reasonable time of request.

Provide timely comments and or documents prepared for the Assignment.(ii)(iii) Provide any such details as may be requested by tenderer/underwriter from time to time.(iv)(v)

Provide premises and facilitate meetings.Facilitate and co-ordinate Loss Control Surveys.

SECTION VI-DESCRIPTION OF SERVICES

(1) MOTOR PRIVATE COMPREHENSIVE COVER-SALOON CARS

POLICYPERIOD

Motor Private Comprehensive InsuranceOne Year from Date of Commencement, Renewable annually subject tosatisfactory performance upto a maximum of three yearsComprehensiveProvides Indemnity to the insured for loss or damage to motor vehiclesand its accessories and spare parts whilst thereon as well as third partyliability occasioned by use of the vehicle.

SCOPE OFCOVER

INTEREST ANDSUM INSUREDLIMITS OF

As per schedule annexed hereofThird Party Persons - Unlimited

LIABILITYThird Party Property - Kshs.10 millionPassenger Liability Claims - Kshs.4 million per person,Towing Charges - Kshs.50,000/=Repair Authority - Kshs.50,000/=Medical Expenses - Kshs.50,000/=

Kshs.12 million per event

Radio Cassette Replacement ValueWindscreen - Kshs. Replacement ValueProvide a replacement vehicle in case of unavailability of insuredvehicles and indicate conditions therein

EXCESS 2.5% of claim amount maximum Kshs.10,000CANCELLATIONNOTICE Sixty (60) DaysEXTENSIVECLAUSES

1. Including Passenger Legal Liability2. Including Liability of passengers acts of negligence3. Including Strike, riot and civil commotion4. Including Windscreen/window glass damage clause5. Including Unspecified radio/cassette damage clause6. Including earthquakes, floods and all special perils7. Including Use by motor trader8. Including unobtainable parts clause9. Including Personal effects Kshs.100,00010. No fault No Excess

Geographical Area East Africa

(2) MOTOR COMMERCIAL COMPREHENSIVE COVERPOLICY Motor Commercial ComprehensivePERIOD One Year from Date of Commencement, Renewable annually subject tosatisfactory performance upto a maximum of three years Comprehensive

SCOPE OF COVERProvides Indemnity to the insured for loss or damage to motor vehiclesand its accessories and spare parts whilst thereon as well as third partyliability occasioned by use of the vehicle.

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INTEREST AND SUMINSURED As per schedule annexed hereof

LIMITS OF LIABILITY Third Party Persons - UnlimitedThird Party Property - Kshs.10 millionPassenger Liability Claims - Kshs.4 million per person,-

Towing Charges - Kshs.50,000/=Repair Authority - Kshs.50,000/=Medical Expenses - Kshs.50,000/=

Kshs.12 million per event

Radio Cassette Replacement ValueWindscreen - Kshs. Replacement ValueProvide a replacement vehicle in case of unavailability of insured vehiclesand indicate conditions therein

EXCESS 2.5% of claim amount maximum Kshs.50,000CANCELLATION NOTICE

EXTENSIVE CLAUSES

Sixty (60) Days1. Including Passenger Legal Liability2. Including Liability of passengers acts of negligence3. Including Strike, riot and civil commotion4. Including Windscreen/window glass damage clause5. Including Unspecified radio/cassette damage clause6. Including earthquakes, floods and all special perils7. Including Use by motor trader8. Including unobtainable parts clause9. Including Personal effects Kshs.100,00010. No fault no excess

Geographical Area East Africa(3) MOTOR PRIVATE THIRD PARTY COVER-SALOON CARS

POLICY Motor Private Third Party InsurancePERIOD One Year from Date of Commencement,, Renewable annually subject tosatisfactory performance upto a maximum of three years

Legal liability to third parties arising out of use of motor vehicle ownedand/or operated by the insured

SCOPE OFCOVER

INTEREST ANDSUM INSUREDLIMITS OF

As per schedule annexed hereofThird Party Persons - Unlimited

LIABILITY Third Party Property - Kshs.10 millionPassenger Liability Claims - Kshs.4 million per person,- Kshs.12 million per event

EXCESS 2.5% of claim amount maximum Kshs.10,000Sixty (60) DaysCANCELLATION

NOTICEEXTENSIVECLAUSES

1. Including Liability of passengers acts of negligence2. Including Use by motor trader3. Including Motor Contingent liability4. No fault, No Excess

Geographical Area East Africa

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(4) MOTOR COMMERCIAL THIRD PARTYCOVERPOLICY Motor Commercial Third Party InsurancePERIOD One Year from Date of Commencement, Renewable annually subject tosatisfactory performance upto a maximum of three years

Legal liability to third parties arising out of use of motor vehicle ownedand/or operated by the insuredSCOPE OFCOVER

INTEREST ANDSUM INSUREDLIMITS OF

As per schedule annexed hereofThird Party Persons - UnlimitedLIABILITY Third Party Property - Kshs.10 millionPassenger Liability Claims - Kshs.4 million per person,- Kshs.12 million per event

EXCESS 2.5% of claim amount maximum Kshs.50,000Sixty (60) Days

EXTENSIVECLAUSES

1. Including Liability of passengers acts of negligence2. Including Use by motor trader3. Including Motor Contingent liability4. No fault, No Excess

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CANCELLATIONNOTICE

GeographicalArea East Africa

Note: The County Government of Siaya is at liberty to select either a comprehensive insurancepolicy or a third party insurance policy for all or part of the motor vehicles listed in the priceschedule.

SECTION VII- STANDARD FORMSNotes on the standard Forms7.1 Form of Tender - The form of Tender must be completed by the

tenderer and submitted with the tender documents. It must also be duly signed byduly authorized representatives of the tenderer.

7.2

7.3

Price Schedule Form -completed and submitted with the tender.

The price schedule form must similarly be

Contract Form - The contract form shall not be completed by the tenderer atthe time of submitting the tender. The contract form shall be completed aftercontract award and should incorporate the accepted contract price.

7.4

7.5

Confidential Business Questionnaire Form -by the tenderer and submitted with the tender documents.

This form must be completed

Tender Security Form - When required by the tender document thetenderer shall provide the tender security either in the form included hereinafter orin another format acceptable to the County Government of Siaya.

7.6 Performance security Form - The performance security form should notbe completed by the tenderer at the time of tender preparation. Only thesuccessful tenderer will be required to provide performance security in the formprovided herein or in another form acceptable to the County Government of Siaya.

7.7

7.8

Evaluation Response Form -tenderer and submitted with the tender documents as it will be used for technicalevaluation.

This form should be completed by the

Tenderers Experience Requirement Form - This form should becompleted by the tenderer and submitted with the tender documents as it will beused for evaluation.

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TABLE OF CONTENTS Page

7.17.27.37.47.57.67.77.8

Form of tender 3637383940414250

Price schedules Contract form Confidential Questionnaire form

Evaluation Response Form ..Tenderers Experience Requirement Form

35

Tender Security Form .... ..Performance Security Form . .

7.1 Form of Tender Date____________________________Tender No.CGS/MVIBS/2015-2016/

To: The County Government of SiayaP. O. Box 803-40600SIAYASir/Madam:

Having examined the Tender documents including Addenda Nos.[..], the receipt ofwhich is hereby duly acknowledged, we, the undersigned, offer to Provide Motor VehicleInsurance Brokerages Services in conformity with the said Tender documents in thepercentages indicated here below or such other sums as may be ascertained in accordancewith the Schedule of Prices attached herewith and made part of this Tender.No.1

Cover % Rate PremiumMotor Private Comprehensive Cover saloon CarsMotor Commercial Comprehensive CoverMotor Private Third Party Cover-Saloon CarsMotor Commercial Third Party cover

234

We undertake, if our Tender is accepted, to deliver the Services in accordance with thedelivery schedule specified in the Schedule of Requirements.We agree to abide by this Tender for the Tender validity period specified in Clause 2.13of the Appendix to Instructions to Tenderers, and it shall remain binding upon us andmay be accepted at any time before the expiration of that period.We are not participating, as Tenderers, in more than one Tender in this Tenderingprocess.Our firm, its affiliates or subsidiaries including any subcontractors or suppliers for anypart of the contract has not been declared ineligible by the Government of Kenya underKenyan laws.Until a formal Contract is prepared and executed, this Tender, together with your writtenacceptance thereof and your notification of award, shall constitute a binding Contractbetween us.We understand that you are not bound to accept the lowest or any Tender you mayreceive.

36

We certify/confirm that we comply with the eligibility requirements as per ITT Clause2.11 of the Tender documents

Dated this ________________ day of ________________ 20______.(Name)

[signature] [in the capacity of]Duly authorized to sign Tender for and on behalf of ______________________________

_________________ __________________________

7.2 Price Schedule FormPlease give the percentage rate of premiums for each of the categories

% RateRecommendedUnderwriterNo. Cover

Premium1

2

3

4

Motor Private ComprehensiveCover saloon CarsMotor CommercialComprehensive CoverMotor PrivateThird Party

Cover-Saloon CarsMotor Commercial Third Partycover

Note:(1) The County Government of Siaya is at liberty to select either a comprehensiveinsurance policy or a third party insurance policy for all or part of its fleet of motorvehicles.(2) The vehicles will be valued and the percentages used to calculate the premiums.

(3) The successful bidders and the County Government of Siaya will agree on whoto carry out valuation among reputable firms / Government Institutions.

37

7.3 Contract Form (To be filled after contract award)THIS AGREEMENT made the

[name of Procurement entity] ofday of

[country of Procurement entity]20 between

(hereinafter called the County Government of Siaya) of theone part and

[name oftenderer] of

[city and country of tenderer] (hereinafter called theTenderer of the other part:

WHEREAS the County Government of Siaya invited tenders for the GPA cover and has accepted atender bythe tenderer for the supply of the services in the sum of

[contract price in words in figures](hereinafter called the Contract Price).NOW THIS AGREEMENT WITNESSTH AS FOLLOWS:-1. In this Agreement words and expressions shall have the same meanings as arerespectively assigned to them in the Conditions of Contract referred to.2. The following documents shall be deemed to form and be read and construed aspart of this Agreement, viz:

(a)(b)(c)(d)(e)(f)

the Tender Form and the Price Schedule submitted by the tenderer;the Schedule of Requirementsthe Details of coverthe General Conditions of Contractthe Special Conditions of Contract; andthe County Government of Siayas Notification of Award

3.In consideration of the payments to be made by the County Government of Siaya to thetenderer as

Herein after mentioned, the tenderer hereby covenants with the County Government of Siaya toprovide the GPA cover and to remedy defects therein in conformity in all respects with the provisionsof the Contract.

4.The County Government of Siaya hereby covenants to pay the tenderer in consideration of theproision of services and the remedying of defects therein, the Contract Price or such other sum as maybecome payable under the provisions of the contract at the times and in the manner prescribed by thecontract.IN WITNESS whereof the parties hereto have caused this Agreement to be executed inaccordance with their respective laws the day and year first above written

Signed, sealed, delivered bySigned, sealed, delivered by

thethe

(for the CountyGovernment of Siaya)(for the tenderer) in the presence of

38

7.4 CONFIDENTIAL BUSINESS QUESTIONNAIREPart 2 (a), 2(b) or 2(c) whichever applied to your type of business.You are advised that it is a serious offence to give false information on this form.

Part 1 GeneralBusiness Name ..........................................................................................................................................Location of Business Premises .................................................................................................................Plot No,.................................................................... Street/Road ..............................................................Postal address .............................. ..Tel No. .....Fax No. . Email ............... ......................................................Nature of Business ....................................................................................................................................Registration Certificate No. .......................................................................................................................Maximum value of business which you can handle at any one time Kshs. ............................................Name of your bankers ...............................................................................................................................Branch .......................................................................................................................................................

Part 2 (a) Sole ProprietorYour name in full...Age...Nationality..Country of Origin....Citizenship details ...

Part 2 (b) PartnershipGiven details of partners as follows

Name Nationality Citizenship details Shares1.2.3.4.

...

Part 2 (c) Registered CompanyPrivate or PublicState the nominal and issued capital of companyNominal Kshs.Issued Kshs.Given details of all directors as followsName Nationality Citizenship details Shares1.2.3.4.

Date.Signature of Candidate..

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7.5 TENDER SECURITY FORM

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Bank/insurance co letterhead

Whereas . [name of the tenderer](hereinafter called the tenderer) has submitted its tender dated . [date ofsubmission of tender] for the supply, installation and commissioning of[name and/or description of the equipment] (hereinafter called theTender) .. KNOW ALL PEOPLE by these presentsthat WE of . having our registered office at

(hereinafter called the Bank/Insurance Company), are boundunto .. [name of County Government of Siaya} (hereinafter called the CountyGovernment of Siaya) in the sum of.. for which payment well and truly to be made to the said County Government ofSiaya,the Bank/Insurance Company binds itself, its successors, and assigns by these presents.

Sealed with the Common Seal of the said Bank/Insurance Company this ____day of20.THE CONDITIONS of this obligation are:-

1. If the tenderer withdraws its Tender during the period of tender validityspecified by the tenderer on the Tender Form; or

2. If the tenderer, having been notified of the acceptance of its Tender by theCounty Government of Siaya during the period of tender validity:fails or refuses to execute the Contract Form, if required; orfails or refuses to furnish the performance security in accordance with theInstructions to tenderers;

We undertake to pay to the County Government of Siaya up to the above amount upon receipt ofits firstwritten demand, without the County Government of Siaya having to substantiate its demand, providedthat inits demand the County Government of Siaya will note that the amount claimed by it is due to it, owingto theoccurrence of one or both of the two conditions, specifying the occurred condition orconditions.This tender guarantee will remain in force up to and including thirty (30) days after theperiod of tender validity, and any demand in respect thereof should reach theBank/Insurance Company not later than the above date.[signature of the Bank/Insurance Company]____________________________[seal]

7.6 PERFORMANCE SECURITY FORM

To:.[Name of GCounty overnmentof Siaya]

WHEREAS . [name of tenderer](Hereinafter called the tenderer) has undertaken, in pursuance of Contract No.

20to supply . [description of insurance services]

(Hereinafter called the Contract)AND WHEREAS it has been stipulated by you in the said Contract that the tenderer shallfurnish you with a bank guarantee by a reputable bank for a sum specified therein assecurity for compliance with the Tenderers performance obligations in accordance withthe ContractAND WHEREAS we have agreed to give the tenderer a guarantee:THERFEFORE WE hereby affirm that we are Guarantors and responsible to you, onbehalf of the tenderer, up to a total of [amount of the guarantee in words and figures ], and we undertake to pay you, upon yourfirst written demand declaring the tenderer to be in default under the Contract and withoutcavil or argument, any sum of money within the limits of [Amount of guarantee] as aforesaid,without your needing to prove or to show grounds or reasons for your demand or the sumspecified therein.This guarantee is valid until the day of 20Signature and seal of the Guarantors

[Name of bank of financial institution][Address][Date]

(Amend accordingly if provided by Insurance Company)

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[reference number of the contract] dated

7.7 EVALUATION CRITERIA7.7.1 EVALUATION RESPONSE FORMS7.7.1.1 Preliminary Evaluation Checklist

Tenderers are advised that at this stage, the tenderers submission will either beresponsive or non-responsive. The non-responsive submissions will be eliminated fromthe entire evaluation process and will not be considered further.No. Parameters / Requirements Submitted /Not Submitted1 Copy of certificate of business registration [certificate ofincorporation for the Broker]. Tenderers should have been in

existence for at least the last five (5) years2 Current certificate of registration with the Insurance RegulatoryAuthority for the year 2013 Attached copy must be certified by the

issuing office.34

Copy of PIN CertificateCurrent membership certificate from Association of InsuranceBrokers of Kenya (AIBK) for year 2013 - Attached copy must becertified by the issuing office

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Must have a Bank guarantee or a lien from the Central Bank drawnin favour of the Insurance Regulatory Authority of Kshs.3 Milliondeposited with the Insurance Regulatory Authority and a copycertified by IRA be submitted. The County Government of Siayamay verify the information with the issuing officeCopy of the Current professional indemnity policy with a limit ofnot less than Kenya shillings 50,000,000.00. The insurance covershall be valid within the proposed contract period and obtained fromreputable insurance company. Compensation shall be claimedagainst this cover if the Broker is negligent or fails to perform any ofits obligations or provides services falling below the standard set outherein or is in breach of any of its material obligations under thecontract Attached copy must be certified by IRA

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Premium turnover- the Broker shall submit documentary evidenceindicating that the premium underwritten over the last two years(2012-2013, 2013-2014) was at least Kshs. 50,000,000.00 per yeari.e. a minimum total of Kshs. 100,000,000.00 for the last two years.The information should include a list of accounts constituting thedeclared premiums underwritten, the contacts and premium paid byeach. The County reserves the right to verify this information with theBrokers clients and or with the Insurance Regulatory Authority.Evidence that the candidate has paid the required taxes. The Brokerto submit a copy of the current and valid Tax Compliance Certificate

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No. Parameters / Requirements Submitted /Not Submittedfrom the Kenya Revenue Authority (KRA) for the Broker and theproposed Underwriter(s).

9 Tender Form duly Completed, Signed and Stamped by the Tendererin the format provided.1011

Price Schedule duly Completed, Signed and Stamped by theTenderer in the format provided.Must Submit a Tender Security of Kshs. 200,000in its original formvalid for an additional thirty (30) days after the expiry of the tendervalidity period i.e. upto 28th August, 2015. The Tender Security shall bein form of a guarantee from a reputable bank incorporated in Kenyaor an insurance company approved by the Public ProcurementOversight Authority (PPOA)

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Must submit a duly completed and signed Confidential BusinessQuestionnaire in format providedMust submit their latest audited financial statements for the last twoyears (i.e. either 2012 and 2013 or 2013 and 2014) for determiningsolvency and liquidity.14

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Must have compliance certificate from NSSF or submit evidence ofremittance for the last three (3) Months.Must have Compliance certificate from NHIF or submit evidence ofremittance for the last three (3) Months.A disclosure of ALL the public procurement entities that haveengaged your services in the last 3 years. The listing of publicprocurement entities must include their location, period of service,type of policy and the underwriter, amount insured, and claimsturnaround time based on the experience.

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The CVs/resumes of the four (4) Key professional staff namedunder section 2.22 of Appendix to Instructions to Tenderers [Step 2Technical evaluation (b) -Staff qualifications and experience]A written declaration signed by the Firms Principal Officer that allinformation provided is accurate and that any materialmisrepresentation could lead to disqualification or policycancellation.

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No. Parameters / Requirements Submitted /Not Submitted19 Mandatory qualifying requirements for the underwriters.The broker must ascertain from the underwriters that they do not

have any unpaid claims with The County Government of Siaya. Thebroker Must submit the following Mandatory requirements of theproposed Underwriters with their tender for the underwriters to beeligible for evaluation and contract award. The recommendedUnderwriter(s) may table the requisite requirements / documentsdirectly with the County Government of Siaya. It is the responsibility ofthe tenderer to ensure that the requirements /documents are receivedby The County Government of Siaya in sealed envelopes by thetender closing date. The tenderer should attach in their tenderdocument a letter from the underwriter forwarding documents.

iCopy of certificate of Registration under Companies Act.The insurance companies proposed by the Brokers should becompanies registered under the companies Act and must havebeen inexistence as Insurance underwriters for therecommended business for a minimum period of 5 years. Theregistered office and physical address of the insurancecompany must be indicated. A copy of the certificate ofregistration /incorporation must be submitted

iiCertified copy of Registration with the InsuranceRegulatory Authority for the year 2015The proposed insurance companies shall be registered withthe Insurance Regulatory Authority for the year 2013 and acopy of the license submitted. The copy must be certified bythe office of the Insurance Regulatory Authority.

iiiCertified copy of Registration as member of Association ofKenya Insurers (AKI) for year 2013The proposed insurance companies shall be registeredmembers with AKI for the year 2013. A copy of themembership certificate must be attached in the Brokerstender document. The copy must be certified, by the Office ofAKI.

iv Certified copies of Latest audited financial statements.The Brokers shall submit proposed Underwriters auditedfinancial accounts forthe latest two (2) years i.e. 2012 and2011 or 2011 and 2010. The Broker shall apply all reasonablemeans to ascertain the solvency and financial security of therelevant Underwriters proposed to be appointed to TheCounty Government of Siaya insurance portfolio for MotorVehicles Insurance Covers. The recommended underwriter(s)may table the requisite statements directly with the CountyGovernment of Siaya. It is the responsibility of the tenderer to

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No. Parameters / Requirements Submitted /Not Submittedensure that the statements are received by The County in sealedenvelopes by the tender closing date. The tenderer shouldattach in their tender document a letter from theunderwriter forwarding the financial statements.

v Premium turnoverThe Underwriter proposed by the Broker shall haveunderwritten premiums in excess of Kshs. 1 billion for allbusinesses with motor vehicle portfolio in excess of Kshs.100 million in each of the two years.

vi Financial RatiosThe Underwriters proposed by the Broker must meet thefollowing minimum acceptable ratios: -

a) Claims coverage ratio= minimum acceptable ratio is one(1) without factoring reinsurance arrangements.

Claims coverage ratio = Net liquid assetsOutstanding claims

b) Current ratio= minimum acceptable ratio is one (1) withoutfactoring reinsurance arrangements.

Current ratio = Current AssetsCurrent liabilities

The Brokers should indicate the ratios and the calculationstherein, for all the proposed Underwriter(s).Paid Up CapitalThe recommended Underwriter shall have paid -up capital ofat least Kshs.100million or as required by the Insuranceregulatory authority at the time of tender submission.Other requirements

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The Brokers shall provide statement/documentary evidence(where appropriate) from the proposed underwriters for thefollowing:-

Their experience in provision of services of similarnature and magnitude in each of the last five years. Theinformation should include details of services underway orcontractually committed;

Information regarding litigation, in which theinsurer is involved in, the parties concerned and the disputedamounts

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and names and addresses of clientswho may be of clients who

may be contacted for further information on thosecontacts

7.1.1.2 Technical Evaluation Response Form/Criteria

Technical capability checklist

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Submitted /Parameters / RequirementsNo. Not Submitted

Qualifications and experience in insurance matters ofthe key members of s