<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONSOLIDATED STATEMENTS OF OPERATIONS AND CONSOLIDATED BALANCE SHEETS OF
POLICY MANAGEMENT SYSTEMS CORPORATION AS OF AND FOR THE SIX MONTHS ENDED
JUNE 30, 1998, AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.
</LEGEND>
<MULTIPLIER> 1,000
       
                             
<PERIOD-TYPE>                   6-MOS
<FISCAL-YEAR-END>                          DEC-31-1998
<PERIOD-END>                               JUN-30-1998
<CASH>                                           25001
<SECURITIES>                                        20
<RECEIVABLES>                                   115932
<ALLOWANCES>                                      2141
<INVENTORY>                                          0
<CURRENT-ASSETS>                                171974
<PP&E>                                          263873
<DEPRECIATION>                                  140001
<TOTAL-ASSETS>                                  614315
<CURRENT-LIABILITIES>                            91328
<BONDS>                                              0
<PREFERRED-MANDATORY>                                0
<PREFERRED>                                          0
<COMMON>                                           368
<OTHER-SE>                                      427299
<TOTAL-LIABILITY-AND-EQUITY>                    614315
<SALES>                                              0
<TOTAL-REVENUES>                                285310
<CGS>                                                0
<TOTAL-COSTS>                                   237175
<OTHER-EXPENSES>                                  4912
<LOSS-PROVISION>                                     0
<INTEREST-EXPENSE>                                1481
<INCOME-PRETAX>                                  42836
<INCOME-TAX>                                     15987
<INCOME-CONTINUING>                              26849
<DISCONTINUED>                                    (64)
<EXTRAORDINARY>                                      0
<CHANGES>                                            0
<NET-INCOME>                                     26785
<EPS-PRIMARY>                                      .73<F1>
<EPS-DILUTED>                                      .68<F1>
<FN>
<F1>
ON JUNE 15, 1998, POLICY MANAGEMENT SYSTEMS CORPORATION EFFECTED A
TWO-FOR-ONE STOCK SPLIT.  PRIOR FINANCIAL DATA SCHEDULES HAVE NOT
BEEN RESTATED FOR THE STOCK SPLIT.
</FN>