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Aon insurance signs £230m BPO outsourcing deal

Aon, a leading insurance broking and risk management specialist, has signed a ten-year £230m business process outsourcing (BPO) deal with Xchanging.

Aon, a leading insurance broking and risk management specialist, has signed a ten-year £230m business process outsourcing (BPO) deal with Xchanging.

The deal involves the outsourcing of Aon’s Client Operations division, which handles current and legacy insurance claims administration and processing, as well as accounting and settlement for clients within Aon’s re-insurance division.

Aon said the deal would allow it to focus on its core areas of expertise and improve its service to clients.

Cambridge Solutions is the incumbent off-shore service provider to Aon UK for claims processing. Aon said Cambridge will continue to be a supplier and will expand the offshore services it provides to the new Xchanging/Aon partnership.

As part of the agreement more than 500 employees, based primarily in Romford, Leicester and Glasgow, will transfer from Aon to Xchanging.

David Mead, Aon group operations director, said, “Our strategy is the realignment of our business more closely around our client needs and core areas of expertise.

“By partnering with Xchanging we will improve the overall client experience; delivering greater levels of service and efficiency, while offering our transferring employees the opportunity to work with Xchanging.”

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