Indeminity insurance
Discussion
How uptight can you get?
I have just had a pre qualification questionnaire (PQQ) bounced by a public sector organisation because we only have £1m of liability insurance. They want £5m, although this wasn't specified in the PQQ.
I have had this issue before and when I have taken them to task it is a 'standard' requirement for all contracts, whether you are building them a new staircase or supplying paper towels. Our business is more akin to paper towels than staircases and in the past I have negotiated on it and they have accepted the £1m cover. As it is a public sector contract done through an eportal you are not alllowed to speak with anyone except through the portal or it invaldates the PQQ/tender.
The cost of increasing our insurance to £5m is about £900 pa but I am reluctant to do that when this is only PQQ stage. I have offered to get £5m if we are offered the contract but so far I am dealing with a procurement assistant who is someone fairly low in the organisation who may not take that offer back to their procurement manager. The asistant seesm to be the one answering questions on the portal.
So, do I stand my ground and insist that the procurement manager makes the decision and risk upsetting the procurement assistant and their organisation when we want to stay on their right side or stump up?
We don't need more than the £1m in any other contract we have to date.
I have just had a pre qualification questionnaire (PQQ) bounced by a public sector organisation because we only have £1m of liability insurance. They want £5m, although this wasn't specified in the PQQ.
I have had this issue before and when I have taken them to task it is a 'standard' requirement for all contracts, whether you are building them a new staircase or supplying paper towels. Our business is more akin to paper towels than staircases and in the past I have negotiated on it and they have accepted the £1m cover. As it is a public sector contract done through an eportal you are not alllowed to speak with anyone except through the portal or it invaldates the PQQ/tender.
The cost of increasing our insurance to £5m is about £900 pa but I am reluctant to do that when this is only PQQ stage. I have offered to get £5m if we are offered the contract but so far I am dealing with a procurement assistant who is someone fairly low in the organisation who may not take that offer back to their procurement manager. The asistant seesm to be the one answering questions on the portal.
So, do I stand my ground and insist that the procurement manager makes the decision and risk upsetting the procurement assistant and their organisation when we want to stay on their right side or stump up?
We don't need more than the £1m in any other contract we have to date.
Edited by Leftie on Saturday 12th May 14:50
A perfect example of public sector timewasting!
Of course, if you are in a private sector business and the money is actually coming from your pocket you can actually make common sense decisions.
I think that this would be an example of one where you may be the best and cheapest to do the job but you will not be chosen because of their beurocratic red-tape!
If it is worth your while getting the coverage for the job I would put down that I had the £5m coverage. If I got the job I would spend the money to get the additional coverage. I dont think then you have morally or legally broken any rules and also fulfilled their 'needs'.
Of course, if you are in a private sector business and the money is actually coming from your pocket you can actually make common sense decisions.
I think that this would be an example of one where you may be the best and cheapest to do the job but you will not be chosen because of their beurocratic red-tape!
If it is worth your while getting the coverage for the job I would put down that I had the £5m coverage. If I got the job I would spend the money to get the additional coverage. I dont think then you have morally or legally broken any rules and also fulfilled their 'needs'.
justinp1 said:
A perfect example of public sector timewasting!
Of course, if you are in a private sector business and the money is actually coming from your pocket you can actually make common sense decisions.
I think that this would be an example of one where you may be the best and cheapest to do the job but you will not be chosen because of their beurocratic red-tape!
If it is worth your while getting the coverage for the job I would put down that I had the £5m coverage. If I got the job I would spend the money to get the additional coverage. I dont think then you have morally or legally broken any rules and also fulfilled their 'needs'.
Of course, if you are in a private sector business and the money is actually coming from your pocket you can actually make common sense decisions.
I think that this would be an example of one where you may be the best and cheapest to do the job but you will not be chosen because of their beurocratic red-tape!
If it is worth your while getting the coverage for the job I would put down that I had the £5m coverage. If I got the job I would spend the money to get the additional coverage. I dont think then you have morally or legally broken any rules and also fulfilled their 'needs'.
I had to send a copy of the insurance certificate, no siply saying I have it isn't enough ( as well as the usual 2-3 years of accounts and all the policies).
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