TAL has added to its presence in the direct life insurance market by acquiring comparator Lifebroker.

It initially bought a 10% stake in Lifebroker’s parent, National Financial Solutions, three years ago.

Since then the comparison business has grown to be one of Australia’s top two online life cover distributors.

Although the price has not been disclosed, TAL parent Dai-ichi Life valued the company at $28 million in June.

TAL Life CEO Brett Clark says Lifebroker will complement his business’ offerings in the retail, direct and group insurance markets.

“We have been impressed with the quality of the business and the service it provides consumers,” he said. “TAL now looks forward to supporting Lifebroker in its next chapter and sees strong alignment between the two businesses.”

Mr Clark says the acquisition was driven by consumer demand for different ways to buy life cover.

“It is important we make life insurance available in ways customers desire. We also see digital capabilities becoming more and more important, to allow customers to access life insurance by whatever means they choose.”

He says Lifebroker will help TAL gain expertise, technical knowhow and practical insights into online distribution.

Lifebroker CEO Chris Eade will stay with the company. “Becoming part of TAL is a huge positive for Lifebroker, to help it expand its potential,” he said.

Dai-ichi Life says the acquisition will grow TAL’s customer base in Australia, while the global life group will use Lifebroker’s customer processing services to expand into the market.