Xchanging, the business process, procurement and technology services provider and integrator and has gone live with phase one of Netsett, the new global net settlement platform launched in September 2012.
The Netsett platform is the result of a partnership between Xchanging and Deutsche Bank and is set to transform the way in which global insurers and brokers transact financial settlements. The platform seeks to replicate, on a global basis, the cash liquidity and operational cost saving benefits from which the London market has long benefited through the Xchanging Ins-sure Services (XIS) central settlement platform.
The first transfer of cash on the net settlement platform was successfully carried out by RSA in late December. The transaction is an important step in proving the capability of Netsett to deliver transformation to the global insurance and reinsurance markets.
Managing Director of Xchanging’s UK Insurance Services Max Pell said: “I am delighted the system has successfully gone live on time and on budget. RSA and Deutsche Bank have been extremely determined and focussed in helping to bring about this early success. It’s not often you get the opportunity to be at the beginning of an initiative that has the potential to be truly transformational for the industry.”
Jason Roberts, Global Reinsurance Finance Business Partner at RSA said “We are delighted to have been involved with a project which will be so important for our whole industry, and to be the first organisation to move real money through Netsett. We now plan to put the product to full use, and are expecting to see very substantial benefits across the RSA Group.”
Following the successful test, RSA now intends to process its Q4 2012 and Q1 2013 treaties through the system over the next three months. At the same time Xchanging intends to bring new customers onto the platform.
The second phase of Netsett, delivering full end–to–end ACORD capability and a Ruschlikon compliant process, is due for release in Q3 2013.
Michael Spiegel, Global Head of Cash Management Corporates and Trade Finance at Deutsche Bank, said, “We have a long-standing track record of providing innovative transaction banking and capital market solutions to the global insurance industry. Deutsche Bank is delighted to be a partner in the Netsett initiative, which we believe will revolutionise the way the industry processes premium and claims payments.”
