IBM has signed a 10-year IT outsourcing agreement with Innovation Auto Risk, a provider of claims management and other related services to insurers and fleet management companies, to supply and manage its IT infrastructure.

As part of the agreement, IBM will deploy server, storage, networking and security IT infrastructure to be hosted at a data centre in Delhi and will also provide an onsite infrastructure monitoring services from an onsite command centre. In addition, IBM will provide managed services and ongoing project management for infrastructure procurement, commissioning and configuration, as well as hardware refreshes after five years.

Reportedly, IBM put together a managed services package and introduced Innovation Auto Risk to an operating-expense driven model to allow the company to pay IBM as-it-grows its business operations. This agreement aims to reduce Innovation Auto Risk’s capital expenditure on IT by around 25%.

Jyothi Satyanathan, Country Manager of ibm.com, IBM India/South Asia, said: Innovation Auto Risk needed to build a robust infrastructure to address the growing claims processing requirements of their customers and we were able to provide this using a unique model that helped them grow without the headaches of managing their back-end and the need for huge capital requirements.