Gaining an edge over its rival Google, Amazon now will enter the United Kingdom’s insurance sector to challenge the big four price comparison sites, Moneysupermarket, Go Compare, Comparethemarket and Confused.com.
Amazon, which already offers financial products and services such as credit and gift cards, Apple Pay and a “buy, now pay later” service with Barclays UK Insurance Store, will now open its own Insurance Store for the Brits, amid the inflation crisis.
Google tried to make a foray into this sector with its “Google Compare”, which got shut down in 2016. It is used to compare credit cards, mortgages and car insurance.
Amazon Insurance Store, which will have Ageas, Co-op and LV as its main service providers, will be aiming to simplify the application form-filling process for its customers.
Amazon’s announcement comes at a time when the price comparison sector is poised for a boom as the United Kingdom’s cost of living crisis will force consumers to go for household budgetary bargains.
Moneysupermarket, which will be challenged by Amazon Insurance Store, saw its shares surging by some 7.5% after the firm announced a 15% revenue rise to £102 million in the third quarter.
“This initial launch is just the beginning. Certainly, there are opportunities to improve other insurance shopping experiences as well,” said Jonathan Feifs, Amazon’s general manager of European payment products, while interacting with The Guardian.
It is also worth mentioning that Amazon’s rivals have over 100 signed-up customers each, who search and compare insurance deals on these portals.