Political Violence Reinsurance Coverage for Pak Arab Refinery Limited

The Pakistan Reinsurance Company Limited (PAKRE) under the Ministry of Commerce is procuring Political Violence Reinsurance Coverage specifically for Pak Arab Refinery Limited (PARCO) located in Karachi, Sindh. This procurement is planned for the financial year 2025-26 and involves the provision of non-consultancy services related to reinsurance coverage against political violence risks including civil and sovereign war, as well as business interruption. The scope of work includes coverage for property damage and business interruption with a total sum insured of USD 5,073,000,000. The coverage is split into property damage of USD 4,781,000,000 and business interruption of USD 292,000,000 with an indemnity period of 24 months. The limit of liability is USD 361,000,000 per occurrence and in aggregate. The deductible includes USD 1,000,000 for material damage and a 60-day waiting period for business interruption. The contract requires bidders to submit firm financial quotations for one year with applicable discounts for subsequent years if renewed. Eligibility criteria require bidders to be international (re)insurance brokers with an annual premium placement volume of at least USD 500 million. Bidders must be registered on EPADS v2.0 and comply with all regulatory and professional indemnity requirements. The bid must be a firm quote valid for 45 days from bid opening and include a premium payment warranty of 90 days. The submission deadline is Thursday, June 4, 2026, at 11:00 AM, with bids to be submitted online via EPADS v2.0. Manual submissions are not accepted. The technical and financial bids will be evaluated using Least Cost Based Selection (LCBS). Bidders should ensure compliance with all terms and conditions, including submission of a signed compliance matrix and premium calculations. The procuring agency emphasizes timely placement and quality service, especially regarding claims recovery. The contract may be terminated for poor performance or non-compliance. The submission address for bid security originals is PRC Tower, 32-A, Lalazar Drive, M.T. Khan Road, Karachi. A practical tip for bidders is to register early on EPADS v2.0 and carefully follow the online submission process to avoid disqualification due to procedural errors.