Swiss Re Life & Health, the world's largest life and health reinsurer, has signed a 10-year business process outsourcing (BPO) agreement, worth an estimated $700 million, with Computer Sciences Corporation (CSC).
The new contract extends and expands an outsourcing agreement between CSC and Swiss Re that began in 1995. CSC currently delivers end-to-end insurance processing in the US for approximately two million life and health insurance policies managed through Swiss Re Life & Health's Admin Re line of business.
Through its Admin Re programmes, Swiss Re acquires closed blocks of life and health insurance business from primary companies.
Under the new deal, CSC will provide policy processing services for Swiss Re in the US as well as for 225,000 Zurich Life policies recently acquired in the UK.
Weldon Wilson, chief executive officer, Swiss Re Life & Health America, says: "Working together, the combination of Swiss Re's risk and capital management capabilities and CSC's administrative team, processes and technology gives us unmatched flexibility and capacity."
CSC currently provides Swiss Re with BPO services including customer service, claims processing, and audit and regulatory compliance support as well as application development, conversion services, help desk services and network, server, desktop and mainframe computing.
The vendor says the new deal represents one of the largest BPO contracts in the global insurance market. The company has a global network of insurance BPO centres which support more than 150 clients and employ 2500 staff in the US, Mexico, UK, France, South Africa and India.