Codestone

Category: Support & Managed Services

A renowned insurance company has turned to outsourced IT in a bid to improve its efficiency levels, enjoy greater value for money and reduced operational expenses.

Resolution – which owns the Friends Life Group – has signed a contract with Diligenta, a member of the Indian IT sector, reported ShareCast.

Approximately 1,900 of the insurance company's employees will find their positions transferred to the new operation.

The outsourced IT deal is due to run for 15 years and Resolution believes it will be able to save in the region of £60 million a year as a result of the scheme.

Another benefit is that the firm's market consistent embedded value is likely to rise by about £200 million in 2011 alone, the news source noted.

Martyn Hart, chairman of the National Outsourcing Association, told Computerweekly.com last month that the popularity of outsourced IT is on the up, with high street retailers among those who are taking the option up.

Posted by Jamie Rees