LAVA'S Claims Application Scores Another Success

Shead Motor Policies At Lloyd'S Commits To LAVA'S Auto Claims Solution

Toronto, ON - 1998-05-13 - Shead Motor Policies have entered into a contractual arrangement with LAVA Systems Inc. (TSE:LVA) for consultancy services around the implementation of LAVA's Auto Claims application. A Solution Study will be completed shortly, acceptance of which will lead to substantial revenue to be included in LAVA's 4th Quarter results ending July 31st.

Shead use Policy Management Systems Corporation's Insure90 (I90) line-of-business application. LAVA's solution has all of the standard workflows, information capture screens, customer service facilities and document production capabilities required in the auto claims process, while containing the integration points to closely align with the existing I90 application. LAVA's first I90 project, signed earlier this year, was a $1.2 million deal with Admiral Insurance Services Limited.

"Our success with Shead validates LAVA's product strategy and marketing focus," stated Robert Terry, Chief Operating Officer at LAVA Systems Inc. "This is the second time in the last few months that we have been called upon to integrate our DEVA with I90 and the timing of this news is ideal, coinciding with our participation in the PMSC User Conference. We have a strong story to tell to the other insurance companies that we will be meeting there."

Julian Ellin, Claims Reengineering Manager for Shead, commented, "The fact that LAVA has a ready-made and proven solution has had a major impact on our cost / benefit analysis. We calculate that the system will pay for itself in about four months. That is very impressive."

"LAVA's solution fits well with our computing infrastructure and I was impressed with their product development plans. LAVA's expertise in this field has allowed us to move quickly and with confidence that the solution meets our business requirements," added Simon Lethem, Shead's IT Manager.

Document-Enabled Vertical Application, or DEVA, as defined by The Gartner Group.

Release Disclaimer

Note: Open Text and Livelink are trademarks of Open Text Corporation. All other trademarks are the property of their respective companies.

For more information, please contact

Margaret E. Dobbin
Director, Industry Analyst Relations
Open Text Corporation
+1-519-888-7111 ext.2410
mdobbin@opentext.com

Monta Kerr-Johnson
Account Director
High Road Communications
(416) 368-8348
mkerr@highrd.com