Hollard Insurance Creates New Back Office System

September 4 - A press release recently announced that Hollard Insurance, South Africa's largest privately owned insurance group, has linked with the US based private equity fund Exigen Capital to promote a new business venture.

The aim of the venture, which has not yet been named by the groups, is to change industry economics and time to market for insurance groups around the globe.

The venture will combine the expertise and insurance oriented technology of the two groups to create a back office outsourcing solution, with the ultimate objective being to improve effectiveness in the insurance industry, reduce admin costs and allow new products and brands to be launched at a much faster rate than at present.

The Chief Executive Officer of Hollard, Nic Kohler said: "We expect to achieve substantial improvements in operational efficiency and cost structure by using this new venture's solution for our back office processes. "

"Operating costs will be below industry average due to the transformational impact of the Exigen platform and a 'best shoring' global delivery model," said Hollard. "As we are bringing our own people and industry expertise to the new venture, the new joint venture company also represents a unique form of outsourcing that offers growth for Hollard and our employees."

Hollard believes that the new venture was in line's with the government's plan to position South Africa as an outsourcing hub. "South Africa offers a high quality, low risk destination with lower associated costs in a mature insurance and financial services environment," he said, "which was a factor in Exigen Capital's investment with Hollard and in South Africa."