PruHealth Set to Grow Following Approval of Standard Life Healthcare Acquisition

LONDON, September 1, 2010 - PruHealth has become a competitor of scale in the UK Private Medical
Insurance (PMI) market following the completion of the acquisition of
Standard Life Healthcare by Discovery Holdings* of South Africa.

The acquisition opens a new chapter in PruHealth's
development, boosting cover to 700,000 lives and market share to 11 per cent,
demonstrating its commitment to the UK market and making it the fourth
largest PMI provider in the UK.

Neville Koopowitz, previously CEO of Discovery Health, has
been appointed CEO of PruHealth (www.pruhealth.co.uk/), and has
transferred to London. Herschel Mayers continues as the CEO of PruProtect.

This transaction provides PruHealth with a significantly
strengthened competitive position in the UK PMI market. The business will
draw on its combined core strengths in product innovation, wellness and
service delivery to offer one of the broadest and most flexible health
insurance plans (https://www.pruhealth.co.uk/insurance/plan_comparison/plans)
and product ranges in the market.

Full integration will roll out over the coming months. A
product suite building on the best of the current PruHealth range and the
range previously offered by Standard Life Healthcare is scheduled to be
launched later this year.

Until then, PruHealth will continue to sell and service the
entire product range of both businesses. There will be no changes to broker
arrangements during this time, ensuring continuity and certainty is
maintained:

    - Existing policies will not change
    - Broker and customer service will be provided in exactly the same way
      as before the acquisition
    - Account management and sales support structures across PruHealth and
      products previously offered by Standard Life Healthcare remain as
      they were
    - Customers will be contacted and made aware of any planned changes when
      their policies are due for renewal

Neville Koopowitz, CEO of PruHealth, said: "We are proud to be
able to bring to clients both the award-winning product innovation and the
excellent service history of two leading PMI businesses, and are excited
about the opportunity to further develop our presence in the UK market.

"We are working hard to bring clients a new product suite,
building on PruHealth's wellness expertise and Standard Life Healthcare's
emphasis on outstanding service and comprehensive coverage."

For previous Standard Life Healthcare policies, a transitional
brand which refers to 'PruHealth Previously Standard Life Healthcare' will be
used during the integration process to ensure a smooth migration.

Neville Koopowitz, CEO of PruHealth, continues: "Our vision is
to be the best health insurer in the UK and to excel at everything we do. The
combined business will result in a complementary product range and assets in
distribution and service as well as scale in negotiations to benefit
clients."

"Brokers are core to our strategy and we are firmly committed
to this channel and plan to make further investment in broker distribution
going forward."

Advisers and their clients who visit the Standard Life website
will be automatically redirected to www.welcometopruhealth.co.uk for
information on Standard Life Healthcare

Notes to editors:

* Discovery has confirmed the transfer of ownership of
Standard Life Healthcare, a subsidiary of the Standard Life Group, to
Prudential Health Holdings Limited following approval by the Financial
Services Authority and South African Reserve Bank.

Discovery is now a 75 per cent shareholder in the Prudential
Health Holdings Limited joint venture with Prudential Assurance Company of
the UK comprising two brands, PruHealth and PruProtect

About PruHealth

PruHealth was launched into the UK market in October 2004 as a
joint venture between Discovery and UK insurer, Prudential, in response to a
growing need for consumer-directed private medical insurance
(https://www.pruhealth.co.uk/insurance) products.

PruHealth received several industry awards, including the Most
Trusted PMI Provider at the 2009 Moneywise Awards, the Best PMI Provider at
the 2009 Moneyfacts Awards and the award for the Best Use of Marketing to
Intermediaries for 2009 at the Health Insurance Awards.

Today, Pru insurance
(https://www.pruhealth.co.uk/insurance/why_choose_pruhealth/why) covers
700,000 lives.

    Media enquiries:

    Darragh Leeson
    Head of Media Relations
    Prudential UK and Europe
    Marble Arch Tower
    17th Floor
    55 Bryanston Street
    London
    W1H 7AA
    +44(0)20-7150-2600

    www.pruhealth.co.uk

Media enquiries: Darragh Leeson, Head of Media Relations, Prudential UK and Europe, Marble Arch Tower, 17th Floor, 55 Bryanston Street, London, W1H 7AA, +44(0)20-7150-2600