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  5. ›RFP 2017-03 Vision Plan

Awarded contract·Covered California·California

RFP 2017-03 Vision Plan

Won by Vision Service Plan +1 more$65MAwarded 9/5/2017Multiple Award
Contract source

Awarded vendors

  • Vision Service Plan
  • EyeMed Vision Care

Description

The Covered California Vision Plan contract awards two vision‑benefit providers the responsibility for delivering vision coverage to exchange members across the state. The contractors must maintain a statewide network of optometrists and ophthalmologists, operate a dedicated toll‑free customer‑service center, process vision claims, and provide quarterly enrollment and premium reporting. The agreement includes a $1,000 non‑refundable application fee, a $10,000 implementation fee, and a 5 % commission on annual premiums paid to Covered California. The initial performance period runs from October 1 2017 to December 31 2019, with a discretionary two‑year extension possible. • Awarded to Vision Service Plan (California) and EyeMed Vision Care (Missouri). • Scope covers network management, benefit plan design, claims processing, customer service, data reporting, and compliance with California insurance regulations. • Financial terms include application/implementation fees and a commission‑based revenue model rather than a fixed‑price.

Attached files

Key dates

Bids closed
8/22/2017
Intent to award
9/5/2017
Awarded
9/5/2017
Starts
10/1/2017
Ends
12/31/2019Renews
Duration
27 months

Last updated

Details

Award type
Multiple Award
Procurement
Full and Open Competition
Industry
Insurance
NAICS
524210
Solicitation №
RFP 2017-03

Contract value

$65,000,000

No explicit contract value is disclosed. Estimating from the 5 % commission on premiums, assume Covered California serves roughly 3 million members, each with an average annual vision premium of $200. Five percent of $200 equals $10 per enrollee per year, yielding $30 million annually. Over the 27‑month base term, the commission component would be about $67 million. Adding the $10,000 implementation fee and $1,000 application fees (negligible relative to the commission), a reasonable ball‑park total contract value is approximately $65 million. This estimate could vary widely based on actual enrollment, premium levels, and any additional performance‑based incentives not detailed in the documents.

AI estimate from the award documents

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