Amazon Insurance Store launches with home policies in UK

Amazon’s U.K. insurance aggregator will initially offer quotes from three insurance companies, with more expected to join early next year.

“Finding the right home insurance policy can be a time-consuming and confusing task, with quotes that often leave out essential coverage in order to lead with the lowest price,” Jonathan Feifs, general manager of Amazon’s European Payment Products, said. (Credit: Amazon)

When it comes to modern insurance customer expectations, an often-heard refrain is for the need to offer the “Amazon” experience, which is the short way of saying a personalized, streamlined, seamless and always-on shopping experience. Taking this idea head on, the bookseller-turned-online-shopping leviathan is entering the insurance aggregation sector with the launch of its Insurance Store, which the company claims will allow U.K. consumers to request and review quotes, select a home insurance policy and checkout through Amazon.co.uk.

The tech company reported it worked closely with its three initial insurance partners — Ageas UK, Co-op, and LV= General Insurance — to streamline the quote questionnaire process by asking only the questions needed to generate a quote. Once the initial quote is done, customers can further personalize the policies and received updated quotes in real time.

“Finding the right home insurance policy can be a time-consuming and confusing task, with quotes that often leave out essential coverage in order to lead with the lowest price,” Jonathan Feifs, general manager of Amazon’s European Payment Products, said in a release. “When we set out to create the Amazon Insurance Store, we wanted to improve the experience for customers shopping for home insurance so they could easily compare options and make an informed, objective decision—just like shopping on Amazon.”

Amazon reported it selected the first three insurance companies based on customer-focused criteria, such as the timeframes for claims handling and resolution, and the ability to deliver on Amazon’s “high bar for customer service.” More insurers are expected to be added in early 2023.

Further, Amazon claims its insurance outlet will enhance transparency around the insurance buying process. This will be accomplished through customer reviews, star ratings and claims acceptance rates generated by policyholders using the platform.

This is not Amazon’s first foray into insurance. In 2021, the tech giant formed a partnership with Next Insurance to offer small business insurance coverage to eligible Amazon members. In 2020, the company was offering auto insurance in India.

Amazon is just the latest technology-focused company taking aim at insurance. Tesla, Inc. has been making headlines with its auto insurance offerings, which the company claims can lower costs and make driving safer. The carmaker offers insurance in more than 10 states and has been approved to start selling policies in Florida starting Oct. 20, 2022, according to filings with the Florida Office of Insurance Regulation.

Google also took a stab at the insurance aggregation space with its Compare product in the U.S. However, the search giant shut down the auto insurance comparison site after just one year of operation.

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