Situation

• The world's leading insurance market does more than $1 billion worth of business in Canada
• Much of the information provided by its brokers was paper-based, relying on the mail and couriers
• The Canadian office employed close to 100 people to meet its business and regulatory needs, many just to re-enter and validate the information provided
• To improve efficiencies and make it easier for clients to do business with the firm, Lloyds Canada needed a complete and comprehensive functional solution

Approach

• Lloyd's Canada chose TELUS to provide a managed solution
• TELUS assumed direct responsibility for all operational functions, with the exception of governance and compliance activities
• Working together, TELUS and Lloyd's Canada created Lloyd's Information Exchange or Lineage
• Lineage includes a secure portal for anytime, anywhere access, improved reporting, browser-based insurance applications and an online knowledge base
• TELUS launched a new Business Service Centre to provide a single point-of-contact for clients of Lloyd's Canada
• TELUS also enhanced the Lloyd's Canada disaster recovery plan and business continuity plan

Business benefits

• Lineage has improved productivity by over 60%, while significantly reducing daily operational costs, doubling its capacity to do business, with minimal impact on its current operating costs
• Lloyd's Canada has attained a level of business metrics unsurpassed in any other Lloyd's office, enabling easier and faster decision-making
• Lloyd's Canada benefits from reduced total cost of operation, plus dramatically improved timeliness and accuracy of its insurance service
• Disaster recovery and business continuity plans have already been proven in action and are second to none in the Lloyd's organization

Solution

Lloyd's of London is a society of corporate and individual members who work in syndicates to underwrite the risks covered by business insurance policies.  Lloyd's has been in Canada for almost 70 years and wrote $1.3 billion in premiums in 2005.  Lloyd's Canada provides services to Lloyd's of London, including processing of premiums and claims.  Much documentation is generate - and until 2001, most of it was paper-based, requiring almost 50 people to enter it into the firms systems.  To improve efficiencies and make things easier for clients, Lloyd' Canada invited proposals for a complete managed solution.

TELUS was chosen to run operations and revamp business processes.  TELUS assumed direct responsibility for all operation functions except governance and certain compliance activities.  Working together, TELUS and Lloyd's Canada created Lloyd's Information Exchange (Lineage), a new way of delivering services to members.  Fully managed by TELUS, the application and infrastructure deployed a portal for anytime, anywhere access, timely reporting, browser-based applications for streamlined, secure and timely data capture, an online knowledge base for up-to-date information dissemination and a Business Service Centre that provides a single point of contact for members.  All this without interrupting the day-to-day business of Lloyd's and while managing the change with its clients.

TELUS also retrained the Lloyd's Canada staff, and included stringent Service Level Agreements in its contract.  As a result of the revamp, paper purchases have declined by 90%.  Total operation costs were reduced by about 50%.  The firm's capacity to process business doubled, at virtually no increase in costs.

A disaster recovery and business continuity plan was also part of the TELUS contract and has already proven its worth.  When a power blackout hit the eastern seaboard in August 2003, Lloyd's Canada was unaffected.  Its systems continued operating from the TELUS  Internet Data Centre that houses them.  And on a Sunday night in May 2005, a water main burst above Lloyd's Canada head office in Montreal, flooding its offices.  TELUS established temporary key systems and Lloyd's Canada was in business at 8 a.m. Monday, servicing its clients as if nothing had happened.

"By partnering with TELUS, Lloyd's Canada has reinvented the way we deliver our business and has transformed our business culture," says Nicholas Smith, President of Lloyd's Canada.  "We are very impressed with the flexibility, responsiveness and capabilities of the TELUS team.  TELUS was the best choice."

Julian James, Director of World Wide Markets, Lloyd's agrees.  "This project was deployed thanks to TELUS' dedication, effort and commitment to professionally delivering a project on time and on budget.  Lloyd's recognizes and appreciates that this was no small task and applauds its accomplishment."