At times it feels as if Google grows more and more all-powerful with each passing day. In keeping with that trend, all indications appear to show that Google will be entering the auto insurance industry sometime in the near future. It looks like it’s going to start with the car insurance market in California. Take a look at the current developments Google has in the works to help them break into the car insurance game.
They Have an Agent
Google has already purchased an interest in CompareNow.com which is an auto insurance website. CompareNow.com is associated with 31 insurers and operates in 48 states and Washington, D.C. A Google employee in California recently became a licensed insurance agent. The soothsayers are telling us that the employee became an agent for purposes of Google’s plan to begin buying California insurance. Should Google actively participate in the auto insurance industry as an agent (which seems likely), it could be paid a commission like other agents.
They Have Licenses
They’ve also set up a business called Google Compare Auto Insurance Services. That business has been licensed to sell auto insurance in 26 states. Six automobile insurers have authorized Google to sell their policies.
CoverHound
The corporate treasurer for Google is now believed to have become an insurance producer for CoverHound. Despite suspicions, Google won’t comment on any direct or indirect association with CoverHound. Maybe Google adjusted the compensation of its officers, and now they need to moonlight as insurance agents to make ends meet.
Phasing Out Agents
Should Google actively become an agent, the traditional agent might start being pushed out. They did the same thing with travel and shopping. GEICO has already started eliminating agents, and Allstate has purchased Esurance which is involved in direct online sales of auto insurance. Costs are obviously lower for insurers that can sell online, which could prove interesting for the future of this profession.
Google Compare
Google has already been in the auto insurance business in Great Britain for two years with Google Compare and the insurance comparison technology behind it. That technology allows the consumer to obtain comparison quotes from multiple insurers without the necessity of going from website to website. Google’s partnership with CompareNow will permit consumers to compare premium costs in the United States in the same way they’re compared in Great Britain.
In recent years Google has expanded far beyond its original purpose as a search engine and advertising medium. Expect the company to be active in the car insurance business and picking up an agent’s fee in the United States in the very near future.
The information for this article was provided by the professionals at Thomson Schindle Green Insurance & Financial Services, who provide custom built car insurance in Medicine Hat.
This article was written by Dixie Somers, a freelance writer who loves to write for business, finance, women’s interests, and technology. She lives in Arizona with her husband and three beautiful daughters.
Photo credit: commons.wikimedia.org via Nyshita Talluri.
