Serco signs new BPO contract with AEGON

Serco signs new BPO contract with leading life and pensions provider

29 October 2012

Serco Group plc (Serco), the international service company, announces today
that it has signed a contract for an outsourcing partnership that will provide
customer contact and support services for AEGON, the leading life and pensions
company. Marking Serco's entry into this important segment of the financial
services market, the contract will commence on 1 November 2012 and has a total
estimated value to Serco over the 10-year initial term of approximately £170m.

Serco will deliver a wide range of services for AEGON's UK-based protection
business. These include managing all aspects of the customer journey from
initial underwriting through to claims management for the AEGON Individual
Protection (AIP) suite, which comprises a full portfolio of life assurance,
critical illness, disability and income protection products. Serco will look
after all aspects of policy servicing and claims for some small `closed books'
of pension and life assurance policies that are no longer sold but require
ongoing management. It will also work closely with AEGON to deliver business
process improvement and customer service excellence through the use of Serco's
advanced cloud technology, internet telephony (VoIP), CRM and call centre
software.

Under this new partnership Serco will operate primarily from AEGON's offices in
Lytham St Annes, which Serco plans to establish as a centre of excellence
delivering BPO services to other customers following the transfer of some 330
members of staff. Serco will be responsible for the administration of
approximately 500,000 current and closed book policies in total.

Adrian Grace, UK CEO of AEGON, said "Our new partnership with Serco will add
further impetus to our developing and highly successful protection business.
We're absolutely determined to deliver first-class customer service and to
maximise our operational efficiency as we move forward with our progressive
development plans for the UK business. Our new strategic partnership will
enable us to do just that thanks to Serco's global expertise in service
innovation and transformation."

Christopher Hyman, Chief Executive of Serco Group plc, added: "We are delighted
to have been chosen by AEGON to deliver these important services, with Serco
bringing its substantial experience in the transformation of customer contact
services, expertise in end-to-end case management and use of innovative
technology. We will be seeking to deliver operational excellence and cost
efficiency whilst maintaining the highest levels of customer service. This
represents a further significant contract award and strategic development for
our growing global BPO business and is a major advance for Serco into the UK
Life and Pensions market."

Ends

For further information please contact Serco:

Stuart Ford, Head of Investor Relations T [phone]

Marcus De Ville, Head of Media Relations T [phone]

About Serco

Serco is a FTSE 100 international service company, which combines commercial
know-how with a deep public service ethos.

Around the world, we improve essential services by managing people, processes,
technology and assets more effectively. We advise policy makers, design
innovative solutions, integrate systems and - most of all - deliver to the
public.

Our global BPO business has over 50,000 employees across 98 locations, with a
presence in 10 countries providing the complete spectrum of business services
to customers in the public and private sector around the world.

As a dynamic global service organisation, our people have the expertise and
intimate knowledge of our customers' markets as well as best practice processes
and technologies to exceed expectations. We have the vision, agility and
determination to deliver cutting-edge business process solutions and set
ever-higher standards in the markets we serve.

More information can be found at www.serco.com