Tricare Dental Program Contract Awarded to United Concordia for $100.2M, Covering 119 Days

Contract Overview

Contract Amount: $100,243,894 ($100.2M)

Contractor: United Concordia Companies, Inc.

Awarding Agency: Department of Defense

Start Date: 2024-11-01

End Date: 2025-02-28

Contract Duration: 119 days

Daily Burn Rate: $842.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: THE TRICARE DENTAL PROGRAM OFFERS WORLDWIDE COVERAGE FOR DENTAL SERVICES TO ALL ELIGIBLE FAMILY MEMBERS OF UNIFORMED SERVICE ACTIVE DUTY PERSONNEL AND THE SELECTED RESERVE AND INDIVIDUAL READY RESERVE

Place of Performance

Location: CAMP HILL, CUMBERLAND County, PENNSYLVANIA, 17089

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $100.2 million to UNITED CONCORDIA COMPANIES, INC. for work described as: THE TRICARE DENTAL PROGRAM OFFERS WORLDWIDE COVERAGE FOR DENTAL SERVICES TO ALL ELIGIBLE FAMILY MEMBERS OF UNIFORMED SERVICE ACTIVE DUTY PERSONNEL AND THE SELECTED RESERVE AND INDIVIDUAL READY RESERVE Key points: 1. The contract provides dental services for military families and reserves worldwide. 2. United Concordia Companies, Inc. is the incumbent contractor. 3. The contract value is $100.2 million for a 119-day period. 4. This is a delivery order under a larger contract vehicle.

Value Assessment

Rating: good

The contract value of $100.2 million for 119 days suggests a significant per-diem cost. Benchmarking against similar large-scale dental insurance contracts would be necessary for a precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a competitive bidding process. This method is expected to yield fair market pricing.

Taxpayer Impact: Taxpayers benefit from competitive pricing for essential dental services for military families.

Public Impact

Ensures dental health for thousands of military families and reservists. Provides continuity of care for beneficiaries. Supports the well-being and readiness of the armed forces.

Waste & Efficiency Indicators

Waste Risk Score: 84 / 10

Positive Signals

  • Full and open competition
  • Incumbent contractor likely provides efficient service
  • Essential benefit for military families

Sector Analysis

The healthcare sector, specifically direct health and medical insurance carriers, is characterized by significant government contracts. This contract falls within the typical range for large-scale health insurance provisions.

Small Business Impact

No specific information is provided regarding small business participation in this contract award.

Oversight & Accountability

The contract is managed by the Defense Health Agency, indicating established oversight mechanisms for military health services.

Related Government Programs

  • Direct Health and Medical Insurance Carriers
  • Department of Defense Contracting
  • Defense Health Agency Programs

Risk Flags

  • Short contract duration may indicate a temporary solution or bridge contract.
  • Potential for price increases in future, longer-term contracts.
  • Dependence on a single carrier for a critical service.

Tags

direct-health-and-medical-insurance-carr, department-of-defense, pa, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $100.2 million to UNITED CONCORDIA COMPANIES, INC.. THE TRICARE DENTAL PROGRAM OFFERS WORLDWIDE COVERAGE FOR DENTAL SERVICES TO ALL ELIGIBLE FAMILY MEMBERS OF UNIFORMED SERVICE ACTIVE DUTY PERSONNEL AND THE SELECTED RESERVE AND INDIVIDUAL READY RESERVE

Who is the contractor on this award?

The obligated recipient is UNITED CONCORDIA COMPANIES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Health Agency).

What is the total obligated amount?

The obligated amount is $100.2 million.

What is the period of performance?

Start: 2024-11-01. End: 2025-02-28.

What is the projected cost per beneficiary for the 119-day period?

Without the total number of covered beneficiaries, calculating the precise cost per beneficiary is not possible. However, with a contract value of $100.2 million over approximately four months, the cost is substantial, reflecting the global reach and comprehensive nature of the dental services provided to eligible military family members and selected reserves.

What are the key performance indicators (KPIs) for this contract?

Key performance indicators for this contract would likely focus on beneficiary satisfaction, network adequacy, claims processing timeliness, and quality of care. The Defense Health Agency would monitor these metrics to ensure United Concordia meets the service level agreements outlined in the contract.

How does this contract's value compare to previous Tricare Dental Program contracts?

Comparing this $100.2 million, 119-day contract to previous Tricare Dental Program contracts requires access to historical award data. Given the short duration, this may represent a bridge contract or a specific delivery order. A full comparison would necessitate analyzing contract values, durations, and scope of services over time.

Industry Classification

NAICS: Finance and InsuranceInsurance CarriersDirect Health and Medical Insurance Carriers

Product/Service Code: MEDICAL SERVICESMEDICAL, DENTAL, AND SURGICAL SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1800 CENTER ST, CAMP HILL, PA, 17011

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $100,243,894

Exercised Options: $100,243,894

Current Obligation: $100,243,894

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HT940216D0001

IDV Type: IDC

Timeline

Start Date: 2024-11-01

Current End Date: 2025-02-28

Potential End Date: 2025-02-28 00:00:00

Last Modified: 2025-03-12

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