Outsourcing from inside the industry

It is sometimes possible for an organization to become a service provider for its competitors and still be in competition with them in other areas. The financial services sector is currently throwing up a number of interesting examples of client organizations that are seeking competitive salvation by outsourcing services to apparent competitors and others that are happy to adopt the service provider role.

Churchill Insurance has adopted a service provider role in certain parts of the UK insurance business. As an example, United Assurance recently outsourced its general insurance business to Churchill Insurance. In this deal, United Assurance will continue to sell general insurance products but they are underwritten ...

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