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Insurance industry

Continuum Company Signs License Agreement with Gerling-Konzern Zentrale Verwaltungs-GmbH

Strategic Insights

— 1 min read

Austin, Texas-based The Continuum Company, Inc. (NYSE: CNU) has signed a significant agreement with Germany's third-largest insurance company, Gerling-Konzern Zentrale Verwaltungs-GmbH, to license its COGEN(TM) property and casualty insurance administration system. The agreement marks a major milestone for Continuum, as it expects to recognize $6 million in revenue over the next 12 to 18 months. Gerling plans to use COGEN to administer over 2 million property and casualty insurance policies, with the system expected to be in production by summer 1996. This move is part of Gerling's radical re-engineering of its business processes, aiming to increase flexibility and responsiveness to future market requirements.

Key Takeaways:

  • Continuum has signed a license agreement with Gerling-Konzern Zentrale Verwaltungs-GmbH, a German insurance company, to use COGEN(TM) for property and casualty insurance administration.
  • The agreement is expected to generate $6 million in revenue for Continuum over the next 12 to 18 months.
  • Gerling plans to use COGEN to administer over 2 million property and casualty insurance policies.
  • The system is expected to be in production by summer 1996, as part of Gerling's radical re-engineering of its business processes.
  • Gerling's implementation of COGEN will enable the company to respond quickly and flexibly to future market requirements.
  • Continuum's COGEN system has a proven track record in administering large property and casualty insurance product portfolios.
  • Dr. Zech, chairman of Gerling, highlighted the company's decision to choose COGEN due to its ability to respond quickly and flexibly to market requirements.
  • W. Michael Long, chief executive officer of Continuum, noted that Cohagen has a proven track record in administering large portfolios and is confident Gerling will experience significant business benefits.

Statistics:

  • Continuum expects to recognize $6 million in revenue over the next 12 to 18 months.
  • Gerling plans to use COGEN to administer over 2 million property and casualty insurance policies.
  • The system is expected to be in production by summer 1996.

Sources:

  • PRNewswire, May 30
  • The Continuum Company, Inc. news release

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