Computer Sciences Corporation
) recently came up with a new product targeted at insurance
companies. The new insurance business process from CSC helps speed
up the payments of death benefits and is useful to locate
beneficiaries for death claims.
This solution from CSC identifies the potential claims by
searching the Social Security Death Master File (DMF) and other
such databases. The validation process also includes the insured's
identity and policy coverage, executes the settlement of claims and
searches for beneficiaries and claim payment recommendations and
also helps in generating all search details.
This insurance business process offers tools required at the
professional level, enhancing the quality of service in a
cost-effective manner. Moreover, CSC's team of claim examiners has
the ability to execute the entire cycle of search and settlement of
claims, or any portion thereof, depending on the insurer's needs,
and evaluated on the basis of the transaction.
Although CSC is taking necessary steps to come up with
innovative solutions to improve its business volume and enhance its
customer base, finding the right customers for the solution becomes
difficult, as the insurance sector is in the doldrums.
While restructuring, cost-saving and new contract wins are some
of the ways in which the company is trying to increase its business
volume, the delay in new order renewals from the government
vertical and deterioration in European economic activity are some
of the factors that concern us.
Intense competition in the IT and cloud-computing space from
both small and big players such as
), CSC's large European exposure, strained federal budgets and
delayed approval of government contracts are other factors weighing
on the stock in the short term.
Currently, CSC holds a Zacks #5 Rank (implying a short-term
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