Telefónica UK saves £9m with extended DHL deal

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Telefónica UK has extended its partnership with DHL Supply Chain to include claim assessment, diagnostics and repair services to O2 Insure, the division responsible for insurance products under the O2 brand.

The new approach is expected to deliver savings of £9 million per year.

DHL Supply Chain’s in-house service uses warehouse stock to fulfil accepted insurance claims, backfilling the inventory once replacements from the manufacturer have been received. This reduces the turnaround time for completing the customer’s claim by days, as they no longer need to wait for the replacement to be sent from the manufacturer.

With a collect-and-inspect service, the number of invalid claims has been reduced and the end user now has a choice of collection and delivery options with automatic updates by text, e-mail and letter to keep them informed at all stages throughout the claims process.

James Carpenter, head of O2 Insure, said: “The new claim assessment and repair solution has given longevity to, and increased the competitiveness of, O2 Insure’s product offering within the market.”

DHL has been part of the Telefónica UK Supply Chain organisation for the past ten years and recently signed a contract extension that takes the partnership through to 2014.


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