Sedgwick Claims Management Services Inc. and Factual Photo Inc. announced an agreement that the operations of Factual Photo will be acquired by a subsidiary of Sedgwick CMS.

Closing is scheduled for Nov. 1, Sedgwick said.

Sedgwick CMS is an independent North American provider of claims and productivity management services. Factual Photo is a national provider of investigative services for employers, insurers and claims management professionals, specializing in workers' compensation, disability and other employment-related claims.

Factual Photo will continue to operate under the direction of its established leadership group, Sedgwick said.

Sedgwick CMS said it is acquiring Factual Photo as a step in creating a solution for the detection, investigation and prevention of fraudulent claims, noting that prevention of claims fraud is a matter of great concern to employers nationwide.

The Factual Photo team of about 140 investigative consultants and other specialists will bring skills and experience to Sedgwick CMS that are critical to addressing this challenge, Sedgwick said.

The new colleagues will be engaged on three different fronts:

? As Factual Photo, they will continue to provide independent, outsourced surveillance, investigative and training services for employers, insurers and independent claims management organizations using the latest live surveillance methods, technology, social network monitoring, and communications and reporting systems.

? As members of the internal Sedgwick CMS fraud prevention resource group, they will offer Sedgwick CMS clients advanced in-house options for customized, calibrated responses to potentially fraudulent claims.

? As key contributors to a Sedgwick CMS product development initiative, they will work with Sedgwick CMS specialists in data analytics, technology, process design, claims management and other areas to build a comprehensive, integrated fraud prevention solution that offers case outcomes and cost containment results.

Factual Photo President George S. Oliver said the company's relationship with Sedgwick CMS will provide additional resources "for the expansion of our investigative capabilities and technology; and they share our commitment to training, equipping and licensing the industry's best professionals."

Sedgwick CMS President and CEO David A. North said, "George Oliver and his colleagues "have built an industry-wide reputation for delivering accurate, timely information that helps assure fair claims outcomes for all parties."

Factual Photo (http://www.factualphoto.com) is licensed to operate in the 48 contiguous states.

Sedgwick CMS and its affiliates design and implement customized programs based on proven practices. For more information see http://www.sedgwickcms.com.