16th Jul 2007 07:01
Innovation Group PLC16 July 2007 16 July 2007 THE INNOVATION GROUP PLC Contract Win The Innovation Group plc ("Innovation Group") (LSE: TIG.L), which providesoutsourcing services and software solutions to the world's insurance markets,today announces a contract signing with a leading provider of automotivefinancial products and services in the United States. The new client is aprivate company with over US $12 billion in sales income The initial contract is estimated to be worth an initial US$2m over the next 12to 18 months and is expected to form the foundation for a long-termrelationship. As announced at the 22 May interim results, scoping work for thecontract began earlier this year The contract is a result of the Innovation Group's partnership with IBM andinvolves licensing the Innovation Group's claims software product for use in itsspecialty line of gap insurance. Gap insurance pays the difference between theinsured value of a vehicle and the replacement value, in the event the vehicleis stolen or destroyed. Hassan Sadiq, Chief Executive Officer of the Innovation Group, said: "We are very pleased to win this contract as a result of our partnership withIBM. Our new customer is an acknowledged leader in the US automotive market.This adds another blue chip organization to our customer base that has chosenInnovation to support the delivery of insurance services." Enquiries: The Innovation Group plc Hassan Sadiq, Chief Executive Officer +44 (0) 1489 898300 Paul Hemsley, Group Finance Director College Hill Associates Ltd Sara Musgrave/Carl Franklin/Ben Way +44 (0) 20 7457 2020 Notes to editors: The Innovation Group plc ("Innovation" or "Group") provides outsourcing servicesand software solutions to insurers and other risk carriers. The softwaresolutions are designed for the handling of policy and claims administrativeprocesses within the insurance industry. The solutions can be utilised inconnection with the Group's outsourcing operations or implemented on a standalone basis. 76% of the Innovation Group's total revenues are now recurring withthe remainder coming from the sale and support of its software solutions. TheGroup provides software and outsourcing services on a non-branded basis and doesnot perform insurance underwriting functions. The general BPO market is currently forecasted to outpace other IT services. InNorth America, BPO is estimated to grow by an 8.8% compound annual growth rateto $100 billion by 2009. Gartner 2005. Innovation has over 220 global clients including the Ford Motor Company, Aviva,AXA Insurance Toyota (South Africa) and Zurich (UK). The Group processes morethan 3 million claims per year with 20% direct claims cost saving achieved. Thesoftware operates in 8 languages and the Group has approximately 2000 peopleacross offices in North America, the UK, Germany, South Africa, Australia andJapan. www.innovation-group.com This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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