The company said its new offering allows insurance companies to offload common record keeping tasks in the hope of enabling administrators to reduce overall program costs and improve quality of service.
The offering comes as customers look to insurers to deliver more financial-oriented services, serving as a one-stop shop to meet their future financial needs. As a result, insurers are starting to provide defined contribution plans as an extension of their existing portfolio of insurance services.
Patni said its Defined Contribution business processing outsourcing (BPO) Service transfers back-end record-keeping tasks to its offshore delivery centers in an attempt to allow insurance companies to focus on their core offerings.
The service also employs a reverse ASP model that leverages the customer’s existing IT infrastructure, eliminating the need to migrate to an unknown administrative platform.
To compete with the traditional financial services players in the 401(k) administration arena, insurance carriers must manage costs more effectively, improve their processes, and increase their technology expertise, said Bill Budde, senior vice president at Patni. Patni’s Defined Contribution BPO Service gives insurance companies a head start in all three of these areas, enabling them to leverage the economics of offshoring and improve operational efficiencies through state-of-the-art technology.
