First 360-Degree Producer View for Optimal Distribution Management Helps Producers Do Business with Carriers and Supports Agent Retention.

Callidus Software Inc. (NASDAQ: CALD) , the leader in Sales Performance Management (SPM), today unveiled Callidus TrueProducer(TM), the first producer and distribution management software solution specifically designed for the insurance industry. TrueProducer is a 100% web-based application engineered for large and mid-size insurance carriers with extensive independent distribution channels, or large numbers of captive or non-captive agents.

Today, insurance carriers face many barriers to providing the best service to their producers. Common challenges include long on-boarding times, an inability for producers to make sure their demographic information is current in a simple and timely manner, lengthy contract maintenance that prevents even the best producers from getting paid on schedule. "Taking care of your producers is critical in order to be competitive in today's insurance marketplace," said Robert Youngjohns, president and CEO at Callidus Software. "This is especially true for independent agents who make a conscious decision every day which product to sell to their customers." In many cases, producers have no reliable self-service or web portals to access their information. In addition, administrators have no way to trace and reliably check credentials in order to conform to industry regulations.

In December 2006, Gartner gave Callidus Software a 'positive' rating in its "MarketScope for North American Insurance Incentive Compensation Management Applications, 2006" report.

According to Todd Eyler, vice president of research at Gartner and author of the report, "North American insurance companies are showing renewed interest in upgrading producer compensation systems to better manage and service their producers.

Moreover, "Profitability concerns, the Sarbanes-Oxley Act and other regulatory requirements will force life insurers to manage distributor compensation more actively, because this is their single-largest controllable expense."

Callidus TrueProducer software decreases the cost of servicing distribution channels and streamlines producer administration in order to improve agent retention and provide producers with the best service possible. Callidus TrueProducer(TM) is the only producer administration solution that delivers a 360-degree view of producer information to ensure the maximum service level to producers. This set of information includes data such as appointments, demographics, contracts, continued education, credentials, licenses and payment schedules.

"Callidus TrueProducer gives insurance carriers a serious competitive edge in a tough market - it shows Callidus insurance customers our commitment and ability to tackle the complexities involved in making it easier for producers to do business with them," Youngjohns continued. "Our solution ensures producers get paid on time and that they have constant access to critical, accurate and timely information related to the work they do. In order to grow product and service market share and retain productive producers, insurance carriers must provide the absolute best service to their producers -- Callidus helps them do that."

TrueProducer Enables Administrators to Provide Best Service to Producers "Many carriers are focusing on ease of doing business and frictionless interaction with their producers as the basis for sustainable competitive advantage and profitable growth. Historically, common processes such as producer on-boarding have been handled with manual and home-grown systems that were often inefficient, inaccurate, repetitive and often resulted in less than positive interactions with insurers," said Mark Gorman, strategic research advisor with TowerGroup. "With the help of new software solutions in this space, insurers will be better able to tie all of their needed producer data in one easily managed 360 degree view. This will help them not only manage the processes, but also provide the visibility and transparency so vital to enriched, seamless and timely communications with their producers. Early adopters will re-set the bar for enhanced carrier/producer relations and mutually beneficial business models that will be more positive for all the parties involved."