27th Feb 2009 08:00
27th February 2009
Innovation Group plc
Contract Renewal
Innovation Group plc ('Innovation Group') (LSE: TIG.L), which provides outsourcing services and software solutions to the world's insurance providers, is pleased to announce that it has renewed a significant contract with a leading global insurance company.
The renewed contract extends an existing relationship between the two parties which first began in 2007 for a further three years. Under the terms of the renewed contract, Innovation Group will continue to handle all motor accident repairs on behalf of the insurance service provider across the UK and Continental Europe from the contract's start date: 1st January 2009.
The renewed contract is estimated to generate income, dependent on the volume of transactions received in excess of £5 million per annum as volumes are expected to increase throughout the term of the contract.
Commenting on the contract renewal Hassan Sadiq, Chief Executive Officer of Innovation Group, said:
"We are delighted to announce this contract renewal and to be selected as a preferred multi-territory outsourcing provider. This contract is further proof of the attractiveness of our offer to major insurance providers and a mark of our growing strength in the motor services segment. In addition, I am pleased to note that the contract adds critical scale to our operations in Spain and Belgium, bringing them to profitability."
Enquiries:
|
Innovation Group Hassan Sadiq, Chief Executive Officer Jane Hall, Acting Group Finance Director |
Tel: +44 (0) 1489 898300 |
|
Financial Dynamics Juliet Clarke / Erwan Gouraud |
Tel: +44 (0) 20 7831 3113 |
Notes to Editors
Innovation Group plc ("Innovation" or "the Group") provides BPO services and software solutions to insurers and other risk carriers. The software solutions are designed for the handling of policy and claims administrative processes within the insurance industry. The solutions can be utilised in connection with the Group's BPO operations or implemented on a stand alone basis. Approximately 84% of Innovation Group's total revenues are now recurring with the remainder coming from the sale and support of its software solutions. The Group provides software and outsourcing services on a non-branded basis.
Industry analysts expect the BPO market to continue to grow across all geographic areas. According to a Gartner* report (July 2008) in the financial services industry this is forecast to be 10.5% compound annual growth rate (CAGR).
Innovation has over 1000 global clients including Allstate, LeasePlan, The Ford Motor Company, Aviva, AXA Insurance, RSA, Toyota (South Africa) and Zurich (UK). The Group processes more than 4 million claims per year with 20% direct claims cost saving achieved. The software operates in 8 languages and the Group has approximately 2400 people across offices in United Kingdom, Australia, Belgium, Canada, France, Germany, Japan, Netherlands, Pakistan, South Africa, Spain, United States.
*Gartner: Insurance BPO: Key Trends by Kimberly Harris Ferrante, July 2008
www.innovation-group.com
Related Shares:
Team Internet