Amazon continues push into European insurance market
Source: Asia Insurance Review | Dec 2017
Tech giant Amazon is recruiting insurance professionals in London to join a new team looking to disrupt the insurance market in the UK, Germany, France, Italy, and Spain, said GlobalData, a data and analytics specialist.
While Amazon currently offers product insurance in Europe through Amazon Protect, this move might represent bigger ambitions in the insurance space. The company has made great strides in technology and innovation, especially with the release of Echo and Dot, voice-activated speakers that use artificial intelligence to support everyday family needs.
“As we move nearer to an age of smart, connected homes, Amazon is well placed to lead the way. This will also position it well for providing insurance needs, as tech in the home will soon define the insurance requirements of an individual household. This close and interactive relationship is a long way from the limited annual renewal or claim process touchpoints insurers work to,” said Ms Patricia Davies, Head of Insurance at GlobalData.
According to GlobalData, Amazon has a positive reputation for putting customers’ needs at the heart of its propositions. They offer clear, transparent services such as the ability to track a package, next-day delivery, a clear returns policy, and customer reviews on products, providing clear communication to customers throughout the purchasing journey.
“This level of trust and transparency is something the insurance industry has really struggled with, especially after the likes of the PPI scandal. According to our 2017 General Insurance Survey 18% of consumers would buy their motor or home insurance from Amazon, highlighting the potential for the brand to cross-sell into insurance and take market share from established players,” she said. A