The Officer Key Decision meeting scheduled for Monday 9 March 2026 was set to discuss the award of municipal insurance contracts. The report pack indicates that a decision was to be made regarding the most economically advantageous bidders for various insurance lots.

Municipal Insurance Cover - Award of Contracts

The meeting's agenda included a discussion on the award of contracts for municipal insurance cover to successful bidders. This decision was delegated to the relevant officer, with details available in attached documents. The report pack outlined that the tender process had been completed in accordance with Cabinet approval from 23 October 2025.

The report recommended the award of insurance contracts for nine specific lots, with a proposed duration of three years, and an option to extend for a further two years, commencing from 1 April 2026. These lots included:

• Lot 1: General Property (including Business Interruption, Contractors' All Risks and Computer)
• Lot 2: Commercial & Industrial Properties
• Lot 3: Combined Liability (Employers' Liability, Public Liability, Occupiers' Liability, Product Liability etc.)
• Lot 4: Motor Fleet
• Lot 5: Personal Accident and Travel
• Lot 6: Engineering Inspection
• Lot 7: Fidelity Guarantee (Crime)
• Lot 8: Pollution (Asbestos) Liability
• Lot 9: Terrorism

The procurement process involved a mini-competition using the YPO Insurance Dynamic Purchasing System (DPS) 1198. A total of 21 bids were received from 7 suppliers across the nine lots by the deadline of 30 January 2026. The evaluation criteria included a price/quality split, with a weighting of 70/30 for most lots, and 60/40 for Combined Liability, Motor, and Terrorism. The report noted that while alternative deductible levels were considered, the existing ones were deemed most advantageous for the Council.

The report highlighted that effective insurance is a crucial risk transfer mechanism, enabling the Council to allocate funds to other priorities. The tender process incorporated considerations for the London Living Wage, community wealth building, Modern Slavery Act obligations, and social value. It also acknowledged that some insurance policies, such as Employers' Liability and Motor, are compulsory, while others demonstrate responsible risk management.

The report indicated that the recommended contract awards were expected to deliver a reduction in premium costs in the first year compared to previous arrangements and current budgeted resources. The financial implications detailed that insurance costs are apportioned across the General Fund and Housing Revenue Account, with recharges to schools and tenants.

Legally, the Council's actions were supported by the general power of competence under section 1 of the Localism Act 2011 and section 111 of the Local Government Act 1972. The use of the YPO Insurance Placement DPS II (001198), established jointly by YPO, North East Procurement Organisation (NEPO), and Eastern Shires Purchasing Organisation (ESPO), was deemed compliant with Regulation 34 of the Public Contracts Regulations 2015.

The report also addressed the Public Sector Equality Duty (PSED) under section 149 of the Equality Act 2010, stating the Council's commitment to eliminating discrimination and advancing equality of opportunity. The procurement process itself was conducted in line with Cabinet approval and endorsed by the Council's Procurement Gateway Review Group. The procurement was scheduled to enter a voluntary standstill period to finalise the process.

The decision was to be made by Maria G. Christofi, Interim Assistant Chief Executive – Change & Improvement & Corporate Director of Resources (Section 151 Officer), in consultation with Cllr Zulfiqar Ali, Cabinet Member for Finance and Resources. The report noted that key decisions made by officers cannot be implemented until the sixth working day following the date of publication to allow members to consider calling in the decision.