|Mumbai / London: Diligenta, a leading business process outsourcing (BPO) provider in the UK, and a subsidiary of Tata Consultancy Services (TCS) (BSE: 532540, NSE: TCS), the leading IT services, consulting and business solutions firm, today, announced that it will assume administration responsibility for 3.2 million policies for Friends Life, a provider of pensions, investments and insurance. The agreement, effective March 1, 2012, is worth $2.2 billion (£1.37 billion) over 15 years.|
This major business win underpins Diligenta’s proven expertise in the life and pensions industry and will increase the total number of policies administered by Diligenta to just under eight million. Outsourcing much of its customer service and IT functions for its UK heritage business will allow Friends Life to focus on its new proposition developments, including its new corporate platform, in its core markets of corporate benefits, protection and retirement income.
N Chandrasekaran, chief executive officer and managing director, TCS, and chairman, Diligenta, said: "Our domain-centric, platform-based solutions enable us to help companies transform their businesses. Our strong presence in the insurance segment, track record and the early investments in building products and platforms have contributed to this win. We are very pleased to partner with Friends Life in this large transformation journey."
Phiroz Vandrevala, managing director and vice chairman, Diligenta, and director, TCS, said: “Our unparalleled experience in the life and pension sector, coupled with our unique platform capability enabled us to win this path-breaking deal. This strategic partnership will allow Friends Life to focus on new opportunities in its corporate markets and grow its business.”
Diligenta will assume administration responsibility for much of Friends Life’s closed book protection business and a significant part of its corporate benefits business. Diligenta and TCS will deliver IT infrastructure and IT services with some policies migrating to TCS BaNCS Insurance, a globally recognised industry-leading insurance platform.
As a result of this new arrangement, a total of approximately 1,900 Friends Life roles across a number of office locations in the UK will transfer under their existing terms of employment to Diligenta. All of those individuals who transfer will continue to service Friends Life’s customers ensuring both continuity of service delivery and expertise.
Andy Briggs, chief executive, Friends Life, said: "The long-term partnership we are announcing with Diligenta gives our business the speed and flexibility to efficiently deliver the right solutions for our distributors and their clients. We have extensive experience in outsourcing partnerships and a proven track record of success and I am confident that in Diligenta we have a strong partner, with shared service values, who will help drive our business forward. Today's agreement enables us to maintain our industry-leading service levels and offers the speed and flexibility to quickly and efficiently deliver solutions that cater to the needs of advisers and employers."
Suresh Menon, CEO, Diligenta, said: “Diligenta has a proven track record in successfully managing circa five million policies. Our expertise in this market, coupled with our industry leading technology platform will fully support Friends Life’s strategy for growth and we look forward to a long and successful partnership.”