Guild Insurance Limited is undertaking a phased multi-year project to modernise its core insurance systems.
The company is deploying software from Guidewire to replace its current end-to-end claims handling, policy administration, billing and reinsurance solutions.
Guild Insurance general manager, David Brown, said a significant percentage of these functions are currently performed manually making this implementation a fundamental change in the way the company operates its business.
Brown said the implementation project will begin with claim system replacement which is currently underway and scheduled for deployment in late 2008.
"Guild is a very customer-centric organization; our current systems were hindering our ability to fully deliver on our strategic vision," he said.
"Guidewire will enable us to transform and grow our business, operate and add new products more flexibly and above all, provide even better service to our clients."
The implementation includes process automation, rules-driven architecture, standardisation, improved governance capabilities and the integration of core systems to all associated applications.
Guild Insurance CIO, Robert Tepe, said this is a significant enterprise-wide undertaking for Guild.
"To help us select the right vendor, we developed a 'Decision Selection Model' at the outset of our project," he said.
"This model was invaluable in helping us judge the strength of prospective vendors in areas of process (functionality), architecture, and partnership.
"We selected Guidewire for its people, product robustness, and the flexibility of its architecture."
Guidewire vice presdient of international operations, Ian Tavener, said Guild is addressing the challenge that many similar insurers face - the modernisation of an 'all-in-one' legacy insurance system.
"We are thrilled that Guild has selected our approach to hollowing out the old system in favour of a modern application," Taverner said.
"We are convinced that this offers the most promising path to breakthrough performance."
Guild Insurance has 11 regional offices serving all of Australia and New Zealand.