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  5. ›FSA HRA HIPAA COBRA Services

Commonwealth of Kentucky, Finance and Administration Cabinet, Office of Procurement Services·Kentucky

FSA HRA HIPAA COBRA Services

Closes 5/11/2026$2M – $6MRequest for Proposal
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Description

The Commonwealth of Kentucky is seeking a vendor to provide account administration and account compliance services for Flexible Spending Accounts (FSAs), Health Reimbursement Accounts (HRAs), and COBRA notifications and continuation of coverage administration for the Kentucky Employees' Health Plan (KEHP). The vendor will be responsible for providing comprehensive administration services, including initial notification of COBRA rights, COBRA notice and enrollment form packets, and administration of continuation of coverage. The contract is expected to start on January 1, 2027, and the vendor must be able to integrate with other KEHP vendors and provide accurate and timely reporting. Some key requirements include: * Compliance with all federal laws and state requirements * Provision of initial notification of COBRA rights and COBRA notice and enrollment form packets * Administration of continuation of coverage * Ability to integrate with other KEHP vendors * Accurate and timely reporting * Compliance with HIPAA and other relevant regulations The vendor must submit a technical proposal, cost proposal, and proprietary information, and must comply with all requirements outlined in the RFP.

Attached files

Contact

Carrie Willard(Commonwealth Buyer)

[email protected]

(502) 564-6515

Key dates

Opened
4/17/2026
Questions due
4/27/2026
Closes
5/11/2026

Last updated

Details

Type
Request for Proposal
Industry
Insurance
NAICS
524100
Solicitation №
RFP-758-2600000422-1

Budget estimate

$2,000,000 – $6,000,000

The estimated budget for this contract is difficult to determine without more information on the scope of work and the number of employees covered. However, based on industry standards, the average cost of FSA and HRA administration is around $10-20 per employee per month, and COBRA administration can range from $5-15 per employee per month. Assuming an average cost of $15 per employee per month for FSA and HRA administration, and $10 per employee per month for COBRA administration, the total annual cost for 24,431 employees (based on the enrollment numbers provided in the RFP) would be approximately $4.4 million. However, this is a rough estimate and the actual budget could be higher or lower depending on the specific requirements of the contract and the vendor's pricing.

AI estimate from the solicitation

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