Tata Consultancy Services (TCS), a leading IT services company in India, said it has mutually agreed with Transamerica to end their administration arrangement due to current macro environment and respective business priorities.
TCS, in January 2018, said the value of the IT contract with Transamerica was more than $2 billion, the largest contract signed by TCS till 2018.
The US-based Transamerica is a leading provider of life insurance, retirement and investment solutions. The deal with Transamerica was to rapidly enhance its digital capabilities, simplify the service of more than 10 million policies into a single integrated modern platform.
This agreement was expected to lead to annual run-rate savings of approximately $70 million initially – growing to $100 million over time – for Transamerica.
TCS had said it will make job offers to all of the applicable Transamerica employees currently supporting the life insurance, annuity, supplemental health insurance, and workplace voluntary benefits business lines, protecting approximately 2,200 American jobs.