Amazon is adding to its financial services offerings this week. The online retail giant is reportedly planning to sell insurance in India. The move marks Amazon’s first foray into insurtech.
“Our vision is to make Amazon Pay the most, trusted, convenient and rewarding way to pay for our customers, said India’s Amazon Pay Director and Head of Financial Services Vikas Bansal. “Delighted by this experience, there has been a growing demand for more services. In line with this need, we are excited to launch an auto insurance product that is affordable, convenient, and provides a seamless claims experience.”
To be clear, this won’t be just a “matchmaking” service that serves as a comparison marketplace, hosting multiple providers. Rather, Amazon will actually serve as a corporate agent– soliciting, procuring, and servicing insurance policies.
As its first move in the space, Amazon inked a partnership with Acko General Insurance to offer car and motorcycle insurance. The new offering is available via Amazon Pay and is 100% digital. Amazon Prime customers will receive additional benefits and deeper discounts.
At launch, the company will offer life, health, and general insurance.
Amazon will be competing with other BigTech companies in the region that offer insurance directly to consumers. According to BloombergQuint, SoftBank and Paytm already offer insurance, while Flipkart has already sought approval to sell life and general insurance.
Photo by Alexandre Feyfant on Unsplash