Direct Life Insurance

Having just read the latest PricewaterhouseCoopers fifth edition June 2012 “Strategic and Emerging Issues in South African Insurance 2012” report, coupled with a comment from my partner regards how easy direct life insurance seems to be to buy, as well as chatting to an ex broker who has just bought life insurance from an online provider… i feel compelled to investigate the reasons behind this.

The report mentioned above has an intermediated distribution channel provider holding top place (i wonder who from all my previous posts)? This is a report that is compiled from top executives across the industry who provide the data.

Why do industry leaders place intermediated businesses in top place (all leaders place companies 1st, second and third- cannot rate themselves), yet they all mention that direct business (online, telephone, etc.) is growing.

What do consumers think, perhaps they enjoy the ease, yet would obviously not be exposed to claims issues, etc.?

So, how do i investigate this? A look at the web sites of online providers isn’t helping, as i cannot see detailed product information to make a comparison. Granted, this is only one part of this equation. The ease of business, etc. is subjective and difficult to quantify.
Claims stats submitted would be interesting, claims submitted to the ombud would also be interesting.

However, in line with the social media age, let me issue a challenge:

If you have bought life insurance online within the last year (; 1lifedirect, etc.), send me a policy schedule and let me compare the cover and let’s see if the intermediated model still holds value.

If you would like to take up the challenge and send me their policy schedule, so that i have information to make a comparison, and partake in this experiment, then please email me on and i will connect with you.

Regards from a wet Cape Town,


Direct Life Insurance was last modified: September 15th, 2016 by Kenny Williamson

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