Request for Proposal for:
City of Laurel, Mississippi
Submitted by:
Contact: Jeanella Rahming, Unit Manager
310 North Magnolia Street, Suite 101
Laurel, MS 39440
601-325-4357 cell phone
601-649-7373 office phone
601-425-4013 fax
Statement of Qualifications
Liberty National Life Insurance Company is authorized to sell and market all products and provide administration of the Section 125 Insurance Plan outlined in this request for proposal. Our company, and all agents working to enroll the case, is licensed in the state of Mississippi. We have the ability to commence full operations within 30 days after notification of award.
Who we are
More than a century ago, a fraternal organization known as the Heralds of Liberty was formed and became the forerunner of our company. In 1929, we were incorporated as a stock company called Liberty National Life Insurance Company and launched into the stormy sea of the Great Depression, which only buoyed our determination to succeed. Liberty National is a wholly owned subsidiary of Torchmark Corporation (NYSE: TMK). TMK is one of the largest publicly held holding companies in the nation, specializing in life and health insurance.
Principal location and primary office address
Liberty National Life Insurance Company’s administrative, marketing, customer service and IT operations are headquartered in McKinney, Texas. The primary contacts for this request for proposal are Ms. Jeanella Rahming, Unit Manager and Ms. Mary Milner, Branch Manager from our Laurel, MS branch office. The branch office phone number is 601-649-7373. The branch office address is 310 North Magnolia Street, Suite 101, Laurel, MS.
Product Experience
Liberty National has been in the worksite arena for the past four decades providing voluntary benefits and Section 125 products. Our most popular products offered include a Group Term Life product and our Cancer coverage. We are highly ranked among major insurance companies in the country and primarily provide life and supplemental health insurance to individuals, families and working Americans across the country. We continue to operate and be known as a low cost provider because of our efficiency. After 100 years, success hasn't spoiled the business proposition we offered at the very beginning: Value. What makes Liberty National Life unique is our longevity in the marketplace. We are not all things to all people. Rather, we focus on providing quality individual and worksite life/health products at an affordable price to individuals, couples and families.
Financial Stability/Industry Performance Ratings
Stability is an absolute essential in insurance. When selecting an insurance provider, customers want a company upon which they can depend to pay claims. Clients invest in a policy and expect that policy to perform when needed. For more than a century, Liberty National Life has been meeting the insurance needs of its customers. Proof of our stability is reflected in our industry ratings. Liberty National Life Insurance Company is rated by several financial rating agencies as shown below:
A.M. Best – A+ (Superior) as of 6/09 – Financial Size – Class X
Standard & Poor’s – AA- “Very Strong” as of 12/08
Moody’s – A1 as of 1/09
Fitch – AA (Very Strong) as of 6/08
Additionally, every year since 1995, Liberty National Life has been recognized as one of the Ward’s 50 Benchmark Group of Life and Health Insurers based on safety, consistency and performance.
Service Philosophy
Liberty National believes in one-on-one, local Agent service. Liberty National does not use an outside sub-contractor – we use licensed Liberty National Agents to explain the insurance coverage being purchased. Our Agents call on Liberty National customers regularly at home and at their place of employment to discuss their existing coverage and personal insurance needs.
Customer Service
Service is often the distinction between a good and a great company. A great company goes the extra mile not just to sell a product, but also to establish a relationship with the customer. At Liberty National, we believe we are a great company, and we continuously strive to deliver superior service and customer convenience. We don’t just preach service – we practice it, as evidenced by our Performance Record below.
2008 Performance Record*
Total policies in force 4,154,825
Total Claims Transactions 180,568
Policies Issued 192,583
Customer Calls Serviced 469,283
Customer Calls Answered within 20 seconds 90%
Turnaround Times in Calendar Days
Life 10.43
Health 8.33
All policies 6.5
* Based on company statistics
Liberty National’s Customer Service department has 27 experienced representatives that handle incoming calls and assist our policyholders. Our policyholders will experience a live interaction with our customer service representatives. The policyholder will not have to experience an automated system when calling our customer service group. We provide answers to general policy inquiries, billing and claim information. Our business hours are Monday – Friday 7:30AM to 5:00PM Central Standard Time. Our toll free number is 1-800-333-0637.
Billing Process
Our Liberty National representative handling your account will go over the billing process with the bookkeeper prior to the billing date to ensure a smooth billing cycle. One of the biggest advantages Liberty offers is that payroll deductions start the first pay period of the next month following the enrollment period. This means immediately following the enrollment, the bookkeeper will receive Payroll Deduction Authorization forms to begin the deduction process. The bookkeeper will have a month to gather the deductions before Liberty National sends the first bill. We will resolve any billing issues within 30 days of notification of any variances.
Liberty National’s billing process is on the 1st of each month for companies that pay their premiums monthly. If the client chooses to have a payment other than monthly, we would send a billing after each payment is received and applied. When the billing is received, any deletion of terminated employees or other corrections can be noted on our billing and returned with the check for payment.
Electronic funds transfer
Liberty National provides the convenience of electronic funds transfer. The bookkeeper simply follows these two easy steps:
Step 1: When making a Direct Deposit (ACH) for your company to Liberty National, simply wire
the payment to the financial institution we provide to you upon awarding of the bid to us.
Step 2: Notify the following people prior to sending the ACH deposit through so they
can track payment to insure proper payment.
Payroll Deduction Schedule
We want to make paying premiums as convenient for you and your employees as possible. Payroll
deductions payment can be any of these methods: Weekly, Bi-Weekly, Semi-Monthly, 4 Weeks, Monthly
Voluntary Supplemental Benefits Offered
For the Lexington County proposal, Liberty National Life would like to offer the following products: Cancer Care/Cancer Care Plus, Critical Illness, Group Term Life, Career Life Plus, Modified Life Plan, Hospital Intensive Care, and Hospital Income. In the event the employee does not qualify for our Group Term Life product, we guarantee he/she can be issued a whole life policy with our Career Life Plus product. See product brochures for a review of benefits.
While we believe these policies are highly competitive, and more affordable than our competitors are offering in the marketplace, Liberty National is willing to enhance our offering by providing Accidental Death coverage to every employee and dependant.
This policy consists of $3,000 Accidental Death coverage each for the employee and spouse along with
$1,000 for each minor child. This program is at no cost until the end of the year, at which time
the premium is only $10 per year for the entire family. At the end of the first year, the cost for this
coverage is billed to their home and is separate from any insurance being offered through Lexington County. Employees are under no obligation to pay premiums on the $3,000 Accidental Death policy or continue coverage. They are provided this coverage at the time they meet with us whether or not they purchase additional products. Our experience is most will participate in our other offerings as well, due to the low cost of the coverage. We’ve also attached the Accidental Death brochure for your review.
Rate Guarantee
Liberty National will provide a two-year rate guarantee on our policies if awarded this bid.
Treatment of Issues
Liberty National is sensitive to our customers’ need for the enrollment process to run efficiently, by taking the least amount of time to meet with employees. That’s why we meet with the supervisor of the department and schedule a time convenient for each enrollment.
To help promote the enrollment, Liberty National would create and print an announcement letter and the announcement letter would be on the City’s letterhead and signed by the appropriate person, and sent to all eligible employees announcing the insurance coverage being made available to them.
On the scheduled enrollment date, we then meet with the employees individually to answer any questions they may have about the coverage and complete the application. The enrollment process typically takes up to 15 minutes. We also have a Laptop Sales Presentation, which outlines the need for coverage using facts/figures, helps detail specific product benefits and uses an electronic application process to complete the sale. Upon policy approval, the Agent will deliver the policies to the bookkeeper or contact person and a Policy Delivery Acknowledgement will be signed. The bookkeeper/contact person will distribute the policies through the Institution’s normal method of internal distribution.
Rather than calling your Benefits Administrator with questions about our products, at time of enrollment the customer will receive the Agent’s business card and contact information so that the customer can call the Agent at anytime to speak to them about product benefits, questions, claims, etc. Our Agents are local and just a phone call away.
When we enroll prospective customers we provide appropriate materials to explain the benefits of the product, and discuss the strength of the company behind the coverage. We will have a licensed Liberty National Agent meet with each employee to explain our products, complete the application, and provide a brochure.
Electronic Enrollment
The Liberty National electronic application cannot be submitted with missing information. Rates are calculated by the system and all forms required are submitted automatically. Use of this system reduces the possibility of human error and speeds up the issue process so the customer receives their policy promptly.