TCS and Aviva’s 15-Year Deal: A New Era in Insurance Policy Administration

Key Takeaways

• TCS and Aviva seal a landmark 15-year deal

• Over 5.5 million policies to be managed

• Deal demonstrates the future of insurance tech

• Significant impact on policy administration and servicing

• Potential for future tech-driven collaborations in insurance

Expanding Engagement

Tata Consultancy Services (TCS), a global giant in information technology services, has inked a monumental 15-year contract with Aviva, a leading UK-based insurance, wealth, and retirement provider. This deal, extending an existing partnership, is set to cover over 5.5 million policies, signaling a significant expansion in TCS’s engagement with Aviva. As the insurance industry moves towards a more digital and efficient future, such partnerships are pivotal. They not only exemplify the deepening relationships between technology service providers and insurers but also highlight the trust and reliance placed on technology companies to manage and enhance core insurance operations.

Under this new agreement, TCS will deploy its TCS BaNCS platform to transform Aviva’s end-to-end policy administration and servicing. This move is expected to not only expand the coverage to over 5.5 million policies but also to introduce a new era of efficiency and customer-centric services in the insurance sector. The deal, as of January 30, 2024, though not disclosing the exact figures, is rumored in media reports to be valued at over $500 million, categorizing it as a mega deal in the industry.>

Impact on Policy Administration

The partnership between TCS and Aviva is set to revolutionize the way policy administration and servicing are conducted. By leveraging advanced technologies and platforms like TCS BaNCS, the collaboration aims to showcase the potential for significant advancements in the insurance sector. Doug Brown, CEO of Aviva’s insurance, wealth, and retirement sector, emphasized that extending this strategic partnership would enhance customer service, simplify operations, and support growth ambitions. This reflects a broader industry trend where digital transformation and simplification are becoming key to improving the end-to-end customer experience.

For decades, TCS and Aviva have been at the forefront of digitization in the insurance industry. This new agreement not only reaffirms their commitment to leveraging technology for business transformation but also sets a benchmark for how traditional insurance operations can be reimagined. The focus on enhancing customer experience through technological platforms signifies a shift in the insurance industry towards more agile, efficient, and customer-focused operations.

Future of Insurance Tech

This landmark deal between TCS and Aviva not only strengthens their existing partnership but also lights the path for future collaborations in the insurance sector. By setting a precedent for the integration of technology in insurance services, TCS and Aviva are pioneering a future where insurance tech collaborations become the norm rather than the exception. The industry is at a cusp of transformation, with digital platforms and technological innovations poised to redefine service delivery, policy administration, and customer engagement in insurance.

The partnership explores how digital platforms like TCS BaNCS can be utilized not just for the administration of current policies but also as a scalable solution for future books of business. This strategic move by Aviva to engage TCS in transforming its UK Life business showcases the potential for technology to drive not just operational efficiencies but also to enhance customer experience significantly.

In conclusion, the 15-year deal between TCS and Aviva marks a significant milestone in the insurance industry’s journey towards digitization and technological integration. It underscores the growing importance of tech-driven solutions in policy administration and sets a new standard for partnerships between technology and insurance giants. As the industry continues to evolve, such collaborations will likely become key drivers of innovation, efficiency, and growth in the insurance sector.