Budget Holdings creates Life Direct, a life insurance subsidiary

The European group Budget Holdings created a direct life-insurance subsidiary named 1 Life Direct, in which it invested 40 million ZAR (6.4 million USD). The new entity reckons on a premium volume of 100 million ZAR (16.2 million USD) for the first year and on 800 million ZAR (129.5 million USD) for the next five years.

The distribution of products outside the brokers' network is likely to enable the company to lower the policies' cost and to relaunch competition on the South African life insurance market.