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  5. ›RFP 27-3001 - Workers Compensation Third Party Administrator

California Department of Social Services·California

RFP 27-3001 - Workers Compensation Third Party Administrator

Closes 11/30/2026$5M – $15MRequest for Proposal
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Description

The State of California, through its Department of Social Services (CDSS) and in partnership with the Department of General Services (DGS) Office of Risk and Insurance Management (ORIM), is seeking a qualified Third‑Party Administrator (TPA) to manage workers’ compensation claims for four major public‑assistance programs (IHSS/WPCS, CalWORKs, CalFresh E&T, and CalFresh SNAP). The contractor will be responsible for end‑to‑end claim administration, data migration from the incumbent TPA, daily electronic payment processing with the State Controller’s Office, and comprehensive reporting, while complying with stringent security, privacy, and statutory requirements. The contract is a three‑year base award with an optional three‑year extension. • Provide statewide workers’ compensation claims administration, managed‑care, and cost‑containment services for IHSS/WPCS, CalWORKs, and CalFresh programs. • Migrate all open and closed claim data from the incumbent TPA’s systems to a paper‑less, web‑based claims/risk‑management platform by 1 Dec 2027. • Deliver daily electronic claim‑payment processing, sub‑rogation, litigation management, nurse case management, and extensive monthly/quarterly reporting while meeting CDSS security and confidentiality standards. • Maintain required staffing levels, California office presence, and all mandated insurance and certification (including DVBE participation and self‑insurance administrator status). • Contract term: 3 years (Dec 1 2027 – Nov 30 2030) with one optional 3‑year extension; award expected Jan 2027.

Attached files

Contact

Salman Amin(Contract Analyst)

[email protected]

(916) 657-1889

Key dates

Opened
9/17/2026
Questions due
10/8/2026
Closes
11/30/2026
Projected award
1/13/2027
Duration
3 years

Last updated

Details

Type
Request for Proposal
Industry
Insurance
NAICS
524210
Solicitation №
RFP 27-3001

Budget estimate

$5,000,000 – $15,000,000

No total contract ceiling is disclosed, but the programs covered involve multi‑hundred‑million dollar indemnity expenditures (e.g., IHSS indemnity $49.6 M). Typical TPA administrative fees range from 5‑10 % of the indemnity volume, plus flat‑rate fees for managed‑care services. Assuming a 5 % fee on the $50 M IHSS indemnity plus smaller amounts for CalWORKs and CalFresh, the annual fee could be roughly $2‑4 M, yielding a three‑year base contract value of $6‑12 M. Adding optional extension and potential fee adjustments could push the total to $10‑15 M. Therefore, a reasonable estimate is $5 M – $15 M over the contract life.

AI estimate from the solicitation

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