Compare Club acquires life broker
April 26, 2022
Compare Club has acquired Melbourne-based broker Lifelong Insurance Solutions, a move the comparator says is aimed at strengthening its presence in the life space.
insuranceNEWS.com.au understands the acquisition price is under $10 million.
The comparator has been expanding its life business, acquiring a portion of Zebra Financial Services’ life insurance book last year and buying financial news publication YourLifeChoices in 2019.
The business currently has more than $40 million in life premiums under management and projects the figure will reach $100 million within three years through organic growth and acquisitions.
CEO Lance Goodman says with the Lifelong Insurance Solutions investment, the comparator is looking to “fill this gap” in the market for life advice, following an exodus of advisers after the Hayne royal commission led to higher compliance costs.
“We’ve identified an opportunity for growth in the $33 billion sector and our business model makes us uniquely placed to fill this gap,” Mr Goodman said.
“There is a lot of scope for a comparator-broker to grow in life insurance over the coming decade and we expect there to be more acquisitions in this space in the near future.”