SECTION II

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					                                       SECTION II

                                 SCOPE OF SERVICES

       2.0    Introduction:

       The City of Savannah invites your company, among others, to submit a proposal
       reflecting your net charges for underwriting the Life and Accidental Death and
       Dismemberment coverages as described herein.

       These benefits have been underwritten by Fortis / Assurant Life Insurance
       Company since July 1, 2002. The present carrier is also being asked to submit a
       proposal and is aware that proposals are being requested from other insurance
       companies.

       Attached are forms and exhibits which, together with this document, will serve as
       a basis for your proposal:

       1. Section III, Attachment 1 provides the format to be used for premium and rate
          quotations for the benefits described in Exhibit A (current plan of benefits).
          Attachment 2 provides the format to be used for premium and rate quotations
          for the alternative plan benefits described therein.

       2. Exhibit A outlines the Current Plan of Benefits.

       3. Exhibit B outlines the number of insured’s, claims summary, current monthly
          premium billing rates.

       4. Exhibit C provides employee census data.

       5. Exhibit D contains specific questions which your company is required to
          answer.

       6. Exhibit E contains a copy of the most recently printed certificates and
          insurance contract amendments.

       In preparing your premium and rate quotations, please use the forms provided in
       Section III. Please repeat the questions when responding to items in Exhibit D.

       In order to evaluate all proposals on a uniform basis, you are requested to
       conform to the specifications described in Exhibit A. If your proposal does not
       conform to the specifications, please clearly indicate where such differences
       exist. In the absence of any statement regarding deviations from these
       specifications, it will be assumed your proposal does conform to the
       specifications in every respect.

          Recognizing the fact there are important considerations involved in selecting an
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      insurance carrier other than initial rates, the City of Savannah reserves the right
      to reject any or all proposals, to accept any deemed advantageous and to award
      types of coverage separately.

      These specifications are the property of the City of Savannah and are to be used
      solely for the purpose of preparing proposals for the insurance described herein.
      Additional copies of these specifications are available to those who wish to use
      them for preparing proposals. Distributions of these specifications for any
      purpose other than for the requested insurance proposals may not be made
      without prior written approval by the City of Savannah.

      2.1    General Information:

      Prospective carriers are required to submit premium and rate quotations on a
      fully pooled basis for the Schedule of Benefits described in Exhibit A.

      City of Savannah will pay 100% of the costs of the active employee basic life,
      AD&D, and dependent life. The active employees pay 100% of the cost of the
      supplemental life and AD&D. The employee and retiree costs are handled
      through payroll deduction.

      The employee census data provided in Exhibit C represents a complete list of the
      covered group, including the Savannah Airport Commission, Metropolitan
      Planning Commission, Youth Futures Authority, Savannah Development and
      Renewal Authority, and the Homeless Authority, as of April, 2007. The employee
      population includes 2619 active employee lives, including approximately 606
      uniformed police employees and 300 uniformed fire employees, 1087 dependent
      life units and 609 retiree lives.

      The City’s turnover rate for the past 5 years is as follows:
                    2002 10.1%
                    2003 10.7%
                    2004 12.5%
                    2005 15.1%
                    2006 12.8%

      Retirement requirements for City employees are:
      Uniform Fire and Sworn Police Officers may retire at age 55 with 5 years or more
      of service. They may elect early retirement at age 50 with 10 years of credited
      service.

      All other City employees may retire at age 57 with 5 years or more of service.
      They may elect early retirement at age 52 with 10 years of credited service.

          The annual number of employees who have retired during the past 5 years is as
          follows:
                      2002 66                         2006          70
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                     2003 64
                     2004 67
                     2005 68

       The insurance company will be responsible for printing all certificates, booklets,
       forms and descriptive material to be distributed to employees. These documents
       will be subject to review and approval by the City prior to final printing and
       distribution. You should assume the City will distribute all materials prepared by
       the insurance company.

       An underwriter may not offer more than one proposal (e.g. one through a broker
       and one direct from the underwriter) this would constitute a multiple bid@ situation
       under City of Savannah purchasing rules and neither proposal could be
       considered. In this regard your proposals’ cover letter should clearly indicate the
       name of the underwriter of the insurance program offered.

       Premium rates for basic and supplemental life should be quoted as separate
       rates for active and retired employees ( Complete Section III Attachment 1 )
       Age bracket rates will not be considered for this initial quote.

       Adjusted rates for the specific plan design changes should be quoted in Section
       III, Attachment 2. Please consider the rate quoted for each plan design change
       independently and separately from the others.

       Your proposal should clearly describe all terms and conditions under which you
       would offer this coverage.

       Current plan provisions include:

       There is no enrollment period for supplemental life coverage. New employees
       may elect supplemental life coverage of one to five times basic annual earnings
       during their first month of employment without providing evidence of insurability.
       Employees applying for one to five times basic annual earnings after their
       insurance effective date must provide evidence of insurability.

       Employees are eligible for coverage under the City’s life insurance plan after they
       have completed one month of service.

       There is no age reduction for active employees. There is no mandatory
       retirement age for employees. Employees may retire after 5 years of credited
       service when they meet the required normal retirement age of 55 for sworn police
       officers and fire fighters, and 57 for all other city employees. Employees who
       retire on disability have a minimum service requirement, but do not have a
       minimum age requirement.

          An employee who retires on disability may continue his/her full amount of
          coverage and apply for a waiver of premium six months after the date the
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        employee stopped being actively at work. Approved waivers of premium are for
        lifetime and include waiver for Basic Life, Supplemental Life, AD&D for both basic
        and supplemental, and dependent coverage, if any.

        2.2         Length of Contract

        The contract will be for a period of three years with no allowance for rate
        increases, renewable for two (2) additional one-year periods by mutual
        agreement of both parties.




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                                     SECTION III

                                  FEE PROPOSAL


I have read and understand the requirements of this request for proposal RFP
07.109 and agree to provide the required services in accordance with this
proposal and all attachments, exhibits, etc.

SUBMITTED BY:       __________________________________________

PROPOSER:           __________________________________________

SIGNED:             __________________________________________

NAME (PRINT):       __________________________________________

ADDRESS:            __________________________________________

CITY/STATE:         _____________________________ZIP__________

TELEPHONE:          (___________)_________________
                    Area Code

FAX:                             (___________)_________________
                                 Area Code


        INDICATE MINORITY OWNERSHIP STATUS OF BIDDER (FOR STATISTICAL PURPOSES ONLY):
        CHECK ONE:
        ______ NON-MINORITY OWNED                         ______ ASIAN AMERICAN
        ______ AFRICAN AMERICAN                                   ______ AMERICAN
                                                  INDIAN
        ______ HISPANIC                                                  ______ OTHER
                                                  MINORITY
                           ______ WOMAN




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                           NON-DISCRIMINATION STATEMENT


The proposer certifies that:

(1)   No person shall be excluded from participation in, denied the benefit of, or
      otherwise discriminated against on the basis of race, color, national origin, or
      gender in connection with any bid submitted to the City of Savannah or the
      performance of any contract resulting therefrom;

(2)   That it is and shall be the policy of this Company to provide equal opportunity to all
      business persons seeking to contract or otherwise interested in contracting with this
      Company, including those companies owned and controlled by racial minorities,
      cultural minorities, and women;

(3)   In connection herewith, We acknowledge and warrant that this Company has been
      made aware of, understands and agrees to take affirmative action to provide such
      companies with the maximum practicable opportunities to do business with this
      Company;

(4)   That this promise of non-discrimination as made and set forth herein shall be
      continuing in nature and shall remain in full force and effect without interruption;

(5)   That the promises of non-discrimination as made and set forth herein shall be and
      are hereby deemed to be made as part of and incorporated by reference into any
      contract or portion thereof which this Company may hereafter obtain and;

(6)   That the failure of this Company to satisfactorily discharge any of the promises of
      non-discrimination as made and set forth herein shall constitute a material breach
      of contract entitling the City of Savannah to declare the contract in default and to
      exercise any and all applicable rights and remedies including but not limited to
      cancellation of the contract, termination of the contract, suspension and debarment
      from future contracting opportunities, and withholding and or forfeiture of
      compensation due and owing on a contract.




___________________________________                          _________________________
Signature                                            Title




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                     PROPOSED SCHEDULE OF M/WBE PARTICIPATION

Name of Bidder/Proposer:                                             Bid No. 07.109
Project Title:                                         Total Bid Amount $

Name of                        Address     Type of Work          Subcontract    MBE/
M/WBE                                      Sub-Contracted          Value        WBE
Participant                                                                     Status
                                                                 $
                                                                 $
                                                                 $
                                                                 $

MBE Participation Value:                                 %   $
Women Participation Total Value:                                 %   $

The undersigned will enter into a formal agreement with the M/WBE
Subcontractors/Proposers identified herein for work listed in this schedule conditioned
upon executing of a contract with the Mayor and Aldermen of the City of Savannah.

                                   Joint Venture Disclosure
If the proposer is a joint venture, please describe below the nature of the joint venture
and level of work and financial participation to be provided by the Minority/Female joint
venture firm.

    Joint Venture Firms            Level of Work              Financial Participation




Signature:          ___________________________________________________

Title:              ___________________________________________________

Note: The Minority/Woman-Owned Business Office is available to identify qualified M/FBE’s.
Please contact the Office at (912) 651-3653. This form may be copied as needed. The City of
Savannah has also posted a list of registered M/FBE’s on its website @ www.savannahga.gov.




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                                                   ATTACHMENT 1

PREMIUM AND RATE QUOTATIONS (SEPARATE RATES FOR ACTIVE AND RETIREES) ANNUAL BILLING RATE
NAME OF PROPOSER:                                                 UNDERWRITER:
Benefit            Volume $      Amount       Per Volume    Per Family Unit Average No.        Total Annual
LIFE INSURANCE                                                                 Insured          Premium

ACTIVE
EMPLOYEE

Basic = 1 Times                N/A           $               N/A          N/A              $
Salary

Supplemental = 1,              N/A           $               N/A          N/A              $
2, 3, 4, or 5 Times
Salary

AD&D (Active                   N/A           $               N/A          N/A              $
Employees Only)
Basic &
Supplemental

RETIREE

Basic = 1 Times                N/A           $               N/A          N/A              $
Salary

Supplemental =                 N/A           $               N/A          N/A              $
1or 2 Times Salary

DEPENDENT

Active Only Basic     N/A      $2,500        N/A             $                             $
= $2,500

TOTAL PREMIUM                                                                              $



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                                                               ATTACHMENT 2

                    PREMIUM AND RATE QUOTATIONS – ALTERNATE PLAN BENEFITS ANNUAL BILLING RATE

NAME OF PROPOSER:                                                               UNDERWRITER:
INSTRUCTIONS TO PROPOSERS: Quote for the following plan changes to the Current Plan of Benefits described in Exhibit A above. Each
quote should be separate and independent from the others. Figure quoted should reflect the estimated savings in annual premium. When
quoting on alternative plan options, take note that current retirees will be “grandfathered” with current provisions and bene fits remaining in
place as of the effective date of the contract. The alternative retiree provisions you propose will apply to employees who retire after the
effective date of the new contract.
             ALTERNATIVE PLAN BENEFITS                    ESTIMATED $                               PROPOSER NOTES
             (Please quote each amendment               ANNUAL SAVINGS
               independently of the others)
      Amend current policy to change disability
1.    waiver of premium continuance for 3
      years; after which coverage cancels and
      member may exercise conversion
      privilege.
      Amend current policy to eliminate optional
2.    life coverage for future retirees

      Amend current policy to add an active
3.    employee age reduction schedule.
      (Example: 33% @ age 65 and @ age 70).
      State your conversion % and ages.

      Amend current policy to establish age-
4.    banded rates for Supplemental Life for
      new employees / retirees. State your age
      bands and corresponding rates.

      Amend current policy to require 10 years
5.    of credited service for continuation of
      group life coverage after retirement.




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                                                            SECTION IV
                                                       EXHIBITS A THROUGH E

                                                              EXHIBIT A
                                                        Current Plan of Benefits

 Class.               Description                              Life                             AD&D (24 hour coverage)

01          All Full-Time Active Employees   One times Basic Annual Earnings rounded    One times Basic Annual Earnings rounded
            not Electing Optional Coverage   to the next higher $1,000                  to the next higher $1,000

02          Full-Time Active Employees       Two times Basic Annual Earnings rounded    Two times Basic Annual Earnings rounded
            electing Optional Coverage of    to the next higher $1,000                  to the next higher $1,000
            One Times Basic Annual           $350,000 maximum*                          $350,000 maximum*
            Earnings                         $10,000 minimum                            $10,000 minimum

03          Full-Time Active Employees       Three times Basic Annual Earnings          Three times Basic Annual Earnings
            electing Optional Coverage of    rounded to the next higher $1,000          rounded to the next higher $1,000
            Two Times Basic Annual           $350,000 maximum*                          $350,000 maximum*
            Earnings                         $10,000 minimum                            $10,000 minimum

04          Full-Time Active Employees       Four times Basic Annual Earnings rounded   Four times Basic Annual Earnings rounded
            electing Optional Coverage of    to the next higher $1,000                  to the next higher $1,000
            Three Times Basic Annual         $350,000 maximum*                          $350,000 maximum*
            Earnings                         $10,000 minimum                            $10,000 minimum

05          Full-Time Active Employees       Five times Basic Annual Earnings rounded   Five times Basic Annual Earnings rounded
            electing Optional Coverage of    to the next higher $1,000                  to the next higher $1,000
            Four Times Basic Annual          $350,000 maximum*                          $350,000 maximum*
            Earnings                         $10,000 minimum                            $10,000 minimum

06          Full-Time Active Employees       Six times Basic Annual Earnings rounded    Six times Basic Annual Earnings rounded
            electing Optional Coverage of    to the next higher $1,000                  to the next higher $1,000
            Five Times Basic Annual          $350,000 maximum*                          $350,000 maximum*
            Earnings                         $10,000 minimum                            $10,000 minimum




Life insurance 07                                                 10
 Class.                  Description                              Life                               AD&D (24 hour coverage)

* $100,000 Maximum on basic life- Paid by the City
  $250,000 Maximum on supplemental life-Paid by the employee


07          Retirees                          One times Basic Annual Earnings prior to      None
                                              retirement rounded to the next higher
                                              $1,000
                                              $100,000 maximum

08          Retirees electing optional        Two times Basic Annual Earnings prior to      None
            coverage of one times Basic       retirement rounded to the next higher
            Annual Earnings                   $1,000
                                              $350,000 maximum

09          Retirees electing optional        Three times Basic Annual Earnings prior to    None
            coverage of two times Basic       retirement rounded to the next higher
            Annual Earnings                   $1,000
                                              $350,000 maximum

*$100,000 Maximum on basic life- Paid by the Retiree
 $250,000 Maximum on supplemental life-Paid by the retiree

                    ACTIVE EMPLOYEES' DEPENDENTS WHO ARE COVERED UNDER THE CITY'S GROUP MEDICAL PLAN

            Spouse                            $2,500                                        None

            Child(ren)                        $2,500                                        None

                                               REDUCTION FOR RETIRED EMPLOYEES

The amount of life insurance in force reduces to 25% of the original amount of insurance at age 70 to a minimum of $10,000 for all
retirees in classifications 07-09.




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                                              EXHIBIT B

            Group Term Life Experience, including # insureds, claims summary, billing rates
                        All Posted on City’s web site with Life Insurance RFP




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                           EXHIBIT C

                    EMPLOYEE CENSUS DATA
                     File posted on web site




Life insurance 07             13
                                                     EXHIBIT D

                     QUESTIONS WITH RESPECT TO YOUR UNDERWRITING PRACTICES

You are requested to answer all of the following questions: (Please restate the question with your answer)

A.    LIFE INSURANCE

      1.            How and in what amount will the policyholder be charged by your Company for
                    individual conversion?

      2.            a.      What is the amount charged for approved Waiver of Premium claims?

                    b.      Will any additional amount be charged in the event of cancellation of the policy?

      3.            a.      Does your Company set up a reserve for unknown Waiver of Premium
                            claims and Unrevealed Life Claims?

                    b.      What is the amount of these reserves?


      4.            Are pending Life or Waiver of Premium claims included in paid claims or as a reserve in
                    incurred claims?

      5.            Will your Company consider as paid Life Claims those claims incurred prior to the
                    anniversary date but paid after the anniversary date if payment is made before the
                    preparation of the annual experience accounting?

      6.            Describe any claim charges based on the Life Insurance Coverage of this Plan that would
                    be made against the group other than paid claims and the reserves previously indicated.

B.    GENERAL QUESTIONS

      1.            a.      In what cities do you maintain group service offices in the State of Georgia?

                    b.      What office would service this account?

                    c.      What office will handle payment of claims.

                    d.      Please set forth the nature of the work done by the office, the number of people
                            employed in the office handling group claims and any other pertinent information
                            concerning the office.

      2.            a.      Please describe the services you will furnish generally and without limiting
                            the generality of the foregoing, describe the specific services you will render
                            in connection with the installation of the Plan, investigation of claims and
                            printing of booklets, forms, etc.

                    b.      Are there any charges made by your Company for any of the above? If yes,
                            explain fully and completely.

      3.            Will the rates your Company is quoting be guaranteed for:
                    a.               1 year
                    b.               2 years
                    c.       3 years

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                    d.      Longer - Explain

        4.          Please confirm that the annual experience accounting statement will be submitted to the
                    policyholder within 210 days following the end of the policy year.

        5.          a.      Please confirm that the normal renewal will be on the anniversary date.

                    b.      What experience period will be used to determine the renewal rates?

                    c.      Will you agree to supply the experience data used in your calculations at the time
                            you submit the renewal rate request?

        6.          Will your contract provide that 90 days advance notice will be given on renewal rates?


        7.          In the event of cancellation of your contract, what benefit extensions, if any, will you provide
                    under the life benefit?

        8.          Will any override commissions be paid to a General Agent, Branch Manager or other sales
                    personnel? If yes, to whom and in what amount?

        9.          Does the coverage offered by your Company differ in any respect from the benefits
                    described in Exhibit A? If so, please indicate clearly where such differences exist,
                    otherwise it will be assumed your proposal does, in fact, exactly match the benefits
                    described.

        10.         Will you agree to waive the actively at work provisions with respect to employees insured at
                    inception?

        13.          Do you agree that no one will lose benefits to which they are entitled by virtue of a
                     change in carrier?

        14.          In the event of termination of the insurance contract, what will the insurance carrier's
                     liability be for waiver of premium claims which are incurred prior to termination if:

                     a.      approved prior to termination of contract

                     b.      not yet submitted for approval prior to termination of the contract

                     c.      How long after termination of contract will waiver of premium claims that were not
                             submitted (as in b above) be accepted for approval?

        15.          You are requested to provide the following:

                     a.      A.M. Best or other comparable rating analysis

                     b.      Specimen contract for the benefits your Company is proposing to underwrite for
                             the City of Savannah.

                     c.      The names and addresses of three major employers for whom you currently
                             provide group life coverage, including at least one government employer.




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                             EXHIBIT E


                       PRESENT CERTIFICATES

                               AND

                    GROUP CONTRACT AMENDMENTS




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