Opportunity
Tucson Opengov #260431
City of Tucson Stop Loss Insurance Procurement for Employee Health Plan
Posted
April 28, 2026
Respond By
May 19, 2026
Identifier
260431
NAICS
524114, 524130
The City of Tucson, Arizona is seeking proposals for specific stop loss insurance to protect its self-funded health plan covering 4,508 employees and retirees. - Buyer: City of Tucson, Arizona - OEMs and Vendors: - Blue Cross Blue Shield of Arizona (AZ Blue) named as new medical TPA/network administrator - OptumRx named as new pharmacy benefit manager (PBM) - Products/Services Requested: - Specific stop loss insurance for medical and prescription drug claims - Coverage must integrate with AZ Blue (TPA/network) and OptumRx (PBM) - Insurance to cover a large, self-funded population (claims totaled ~$43.5M in prior year) - Unique/Notable Requirements: - Must cover both medical and prescription drug claims - Integration with new TPA and PBM is required - No specific OEMs mandated for insurance; AZ Blue and OptumRx are named for administration - Place of Performance: - City of Tucson, Arizona (local government office) - Period of Performance: - Coverage to begin with transition to AZ Blue; aligns with City's benefits plan year
Description
The City of Tucson, Arizona, is seeking proposals for specific stop loss insurance covering its 4,508 employees and retirees, effective July 1, 2026. The insurance will cover medical and prescription drug coverages as the City transitions to Blue Cross Blue Shield of Arizona for medical TPA/network and PBM services. The current self-funded plan through Cigna has claims totaling approximately $43.5 million in the last 12 months. AZ Blue will provide medical TPA services, network administration, UR/UM, and PBM functions through OptumRx.