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Direct life sales rise as ‘easy option’ gains traction

Direct life insurance sales are continuing to grow as consumers look to save money and online comparisons become simpler, according to Canstar.

The consumer rating service’s Wealth Manager Paul O’Connor says parliamentary wrangling over the Future of Financial Advice reforms and the Financial System Inquiry may also be leading consumers to see direct purchases as an easier option.

“Having said that, sales of direct life insurance have been growing strongly year on year anyway, reflecting our increased willingness to buy online.”

ANZ, Insure Me Now and Zurich have won Canstar’s latest outstanding value awards for direct life.

Insure Me Now’s first win is attributed to competitive pricing and a strong features offering, while ANZ has secured the award for the second year in a row.

Zurich’s premiums fall below the industry average by an average of 24%.

The latest Rice Warner Direct Life Insurance Report says Australian direct life sales grew 8.2% last year to $558.1 million, following a 10.6% gain in 2012.