Section one: Contracting authority/entity
one.1) Name and addresses
Prospect Community Housing Ltd
6 Westburn Avenue, Wester Hailes
Edinburgh
EH14 2TH
Contact
Brendan Fowler
brendan.fowler@prospectch.org.uk
Telephone
+44 1314585480
Fax
+44 1314532868
Country
United Kingdom
NUTS code
UKM75 - Edinburgh, City of
Internet address(es)
Main address
Buyer's address
https://www.publiccontractsscotland.gov.uk/search/Search_AuthProfile.aspx?ID=AA11963
Section two: Object
two.1) Scope of the procurement
two.1.1) Title
Insurance Services
two.1.2) Main CPV code
- 66510000 - Insurance services
two.1.3) Type of contract
Services
two.2) Description
two.2.2) Additional CPV code(s)
- 66510000 - Insurance services
two.2.3) Place of performance
NUTS codes
- UKM75 - Edinburgh, City of
two.2.4) Description of the procurement at the time of conclusion of the contract:
Prospect Community Housing intends to extend the existing Insurance Provision contract due to end 30 September 2024 to the 30 September 2026 with Marsh Ltd who are the current insurance service Broker/provider.
two.2.7) Duration of the contract, framework agreement, dynamic purchasing system or concession
Duration in months
24
two.2.13) Information about European Union Funds
The procurement is related to a project and/or programme financed by European Union funds: No
Section four. Procedure
four.2) Administrative information
four.2.1) Contract award notice concerning this contract
Notice number: 2019/S 122-298502
Section five. Award of contract/concession
Contract No
001
Title
Insurance Services
five.2) Award of contract/concession
five.2.1) Date of conclusion of the contract/concession award decision:
24 October 2023
five.2.2) Information about tenders
The contract/concession has been awarded to a group of economic operators: No
five.2.3) Name and address of the contractor/concessionaire
Marsh Ltd
Ground Floor West, 300 TVP2, Thames Valley Park Drive
Reading
RG6 1PT
Telephone
+44 1344381676
Country
United Kingdom
NUTS code
- UKJ - South East (England)
The contractor/concessionaire is an SME
Yes
five.2.4) Information on value of the contract/lot/concession (at the time of conclusion of the contract;excluding VAT)
Total value of the procurement: £204,000
Section six. Complementary information
six.3) Additional information
(SC Ref:747187)
six.4) Procedures for review
six.4.1) Review body
Edinburgh Sheriff Court and Justice of the Peace Court
27 Chambers Street
Edinburgh
EH1 1LB
Country
United Kingdom
Section seven: Modifications to the contract/concession
seven.1) Description of the procurement after the modifications
seven.1.1) Main CPV code
- 66510000 - Insurance services
seven.1.3) Place of performance
NUTS code
- UKM75 - Edinburgh, City of
seven.1.4) Description of the procurement:
Insurance Services
seven.1.5) Duration of the contract, framework agreement, dynamic purchasing system or concession
Duration in months
24
seven.1.6) Information on value of the contract/lot/concession (excluding VAT)
Total value of the contract/lot/concession:
£204,000
seven.1.7) Name and address of the contractor/concessionaire
Marsh Ltd
Ground Floor West, 300 TVP2, Thames Valley Park Drive
Reading
RG6 1PT
Telephone
+44 1344381676
Country
United Kingdom
NUTS code
- UKJ - South East (England)
The contractor/concessionaire is an SME
Yes
seven.2) Information about modifications
seven.2.1) Description of the modifications
Nature and extent of the modifications (with indication of possible earlier changes to the contract):
This Modification Notice relates to the extension of the existing Insurance Provision contract. Having sought advice, to meet our statutory regulatory requirements as a Registered Social Landlord, these public contracts shall be modified and awarded under Regulation 72 (1) (c) utilising the Modification of contracts during their term “by circumstances Prospect Community Housing (PCH) could not have foreseen”.
The insurance market for social housing providers has always been quite restricted, however in the field of property and liability this has hardened severely and quickly since the start of 2023. This has been accelerated by the departure of two main insurance providers to the Sector, meaning the already limited capacity is much reduced. This has resulted in unsustainable market conditions, and we have seen insurers react this year applying significant rate increases on Renewals during 2023.
PCH intend to go out to the marketplace for a new contract for Insurance Provision and this procurement process will commence 2026 Q1 with a target effective date contract date of 1st October 2026.
seven.2.2) Reasons for modification
Need for modification brought about by circumstances which a diligent contracting authority/entity could not foresee.
Description of the circumstances which rendered the modification necessary and explanation of the unforeseen nature of these circumstances:
Need for modification brought about by circumstances which a diligent contracting authority/entity could not foresee
Description of the circumstances which rendered the modification necessary and explanation of the unforeseen nature of these circumstances:
This informed decision based on; the ongoing insurance marketplace uncertainty reflective of the post-Brexit economic environment, the far-reaching impact of the war in Ukraine, recent challenges faced by RSL’s relating to all services, and the current cost-of-living pressures; while concurrently seeking to ensure effective continuity of our insurance services to meet our statutory regulatory requirements.
seven.2.3) Increase in price
Updated total contract value before the modifications (taking into account possible earlier contract modifications, price adaptions and average inflation)
Value excluding VAT: £425,867
Total contract value after the modifications
Value excluding VAT: £629,867