FPGP out with news!! adding 75 Million in Revenue
FIRST PRIORITY GROUP,
INC. (Nasdaq: FPGP) announced today that its Internet-based driversshield.com subsidiary has signed an agreement to process collision repair claims for a major Midwest insurance company with more than a million automobile
policyholders.
driversshield.com will begin installing its interactive system by the end of June at one of the insurer's multiple offices and anticipates that it will begin processing claims about July 1st. The Company further anticipates that
installation will be complete at the balance of the insurer's offices by September.
It is believed that processing claims for this insurer will generate at least $75 million in annual revenue for driversshield.com, reflecting the handling of a significant portion of the insurer's claim volume through the
driversshield.com system. The revenue estimate assumes that a substantial percentage of policyholders will choose to take advantage of the program's many benefits and to have their cars repaired at one of the 2,400 shops in
driversshield.com's nationwide network of high quality, contracted collision repair centers.
First Priority Group plans to disclose the name of the insurer once the driversshield.com system has been fully installed.
"We are extremely pleased to report this major step forward," said Barry Siegel, Chairman and Chief Executive Officer of First Priority Group. "Our partner, EDS,delivered to us the functional, interactive driversshield.com Web site, ready for insurance claims processing, on May 31st, and as previously reported, we have been negotiating with numerous carriers. Now we are informing these other
carriers that our site is up, interactive and ready for business. Additional
negotiations are ongoing."
The driversshield.com approach is designed to make the process of handling the claim and repairing collision damage faster and more convenient for drivers while reducing insurers' administrative and repair costs. Insurers also benefit from improved customer retention. The system enables insurance agents or representatives to make repair appointments, arrange car rentals, and handle the appraisal, repair, progress-tracking and payment process much more efficiently via the Internet. |
