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RESTATED - SEE "INTRODUCTORY NOTE".

                    SECURITIES AND EXCHANGE COMMISSION
                          Washington, D.C. 20549

                                FORM 10-K/A
           ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE 
                      SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended December 31, 1990     Commission file number 0-10175

                   POLICY MANAGEMENT SYSTEMS CORPORATION
          (Exact name of registrant as specified in its charter)

        South Carolina                                   57-0723125
(State or other jurisdiction of              (IRS Employer Identification No.)
 incorporation or organization)             

     One PMS Center (P.O. Box Ten)                        29016 (29202)
   Blythewood, S.C. (Columbia, S.C.)                       (Zip Code)
(Address of principal executive offices)    

    Registrant's telephone number, including area code   (803) 735-4000

        Securities registered pursuant to Section 12(b) of the Act:

                                            Name of each exchange
   Title of each class                       on which registered  
Common Stock, par value $.01 per share     New York Stock Exchange

        Securities registered pursuant to Section 12(g) of the Act:
                                   None

  Indicate  by  check mark whether the registrant (1) has filed  all  reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act  of
1934  during  the  preceding 12 months (or for such shorter  period  that  the
registrant  was  required to file such reports), and (2) has been  subject to
such filing requirements for the past 90 days.  Yes X  No   

  The aggregate market value of the voting stock held by non-affiliates of the
registrant was $914,934,797 at March 21, 1991 based on the closing market price
of the Common Stock on such date, as reported by the  New York Stock Exchange.

  The  total  number of shares of the registrant's Common Stock, $.01 per share
par value, outstanding at March 21, 1991 was 19,571,770.

                    DOCUMENTS INCORPORATED BY REFERENCE

Specified sections of the registrant's 1991 Proxy Statement in  connection
     with its 1991 Annual Meeting of Stockholders are  incorporated by
          reference in Part III hereof.

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                   POLICY MANAGEMENT SYSTEMS CORPORATION
                             INTRODUCTORY NOTE

     Certain of the information in the Company's financial
statements as of and for the year ended December 31, 1990 has been
restated to reflect subsequent special audits of the Company's
financial statements.  For information regarding such special
audits and the impact thereof on the Company's financial statements
as of and for the year ended December 31, 1990, see the Company's
Annual Report on Form 10-K/A for the year ended December 31, 1992.

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                                SIGNATURES

     Pursuant  to the requirements of Section 13 or 15(d) of  the
Securities  Exchange Act of 1934, the registrant has duly  caused
this  report  to  be signed on its  behalf  by  the  undersigned,
thereunto duly authorized.

(REGISTRANT)                POLICY MANAGEMENT SYSTEMS CORPORATION

BY (SIGNATURE)          /s/ Timothy V. Williams
                            Timothy V. Williams, Executive Vice
                            President, Chief Financial Officer
DATE                        November 16, 1994

BY (SIGNATURE)          /s/ Stan F. Stoudenmire   
                            Stan F. Stoudenmire, Vice President
                            and Corporate Controller     
DATE                        November 16, 1994


     Pursuant to the requirements of the Securities Exchange  Act
of  1934,  this  report has been signed below  by  the  following
persons on behalf of the registrant and in the capacities and  on
the dates indicated.


BY (SIGNATURE)     /s/ G. Larry Wilson
(NAME AND TITLE)       G. Larry Wilson, Chairman of the Board of 
                       Directors, President and Chief Executive 
                       Officer 
DATE                   November 16, 1994

BY (SIGNATURE)     /s/ Roy L. Faulks
(NAME AND TITLE)       Roy L. Faulks, Vice Chairman of the 
                       Board of Directors 
DATE                   November 16, 1994

BY (SIGNATURE)     /s/ John P. Seibels
(NAME AND TITLE)       John P. Seibels, Director
DATE                   November 16, 1994

BY (SIGNATURE)     /s/ Frederick B. Karl
(NAME AND TITLE)       Frederick B. Karl, Director
DATE                   November 16, 1994

BY (SIGNATURE)     /s/ Richard G. Trub
(NAME AND TITLE)       Richard G. Trub, Director
DATE                   November 16, 1994

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                                SIGNATURES

BY (SIGNATURE)     /s/ Joseph D. Sargent
(NAME AND TITLE)       Joseph D. Sargent, Director
DATE                   November 16, 1994
 
BY (SIGNATURE)     /s/ Dr. John M. Palms     
(NAME AND TITLE)       Dr. John M. Palms, Director
DATE                   November 16, 1994

BY (SIGNATURE)         Did not sign.
(NAME AND TITLE)       Joseph M. Henson, Director
DATE                   November 16, 1994

BY (SIGNATURE)         Did not sign.
(NAME AND TITLE)       Steven A. Denning, Director
DATE                   November 16, 1994