US retail giant Amazon is considering the development of a UK insurance price comparison site after contacting leading European insurance firms to see if they would contribute products.

This is according to a report from Reuters, which stated that three industry executives told the publication that they have held talks with Amazon regarding the possible launch of a site. One executive told Reuters that talks were part of several discussions Amazon is having with insurers, while a second said there was no imminent plans for launch.

The industry sources remained anonymous as talks with Amazon are confidential.

Amazon has long been expected to move into the financial services space, with a panel at London FinTech Week last month predicting that the giants of the tech sector will make platform model plays into financial services within the next five years. “The ball game’s about to change quite quickly and dramatically,” noted Elie Shuggi, global head of startup delivery at Aviva.

The e-commerce giant has also recently launched a merchant lending programme for small businesses, while there are reports of partnerships with banks including JP Morgan regarding the launch of a current account-like product.

A report from the World Economic Forum last year predicted that global tech giants, such as Amazon, would cause more disruption to traditional banking and insurance services than FinTech challengers. At the time, Jesse McWaters, lead author of the study, said: “The partnership between banks and large tech companies risks not staying a reciprocal one. Financial institutions increasingly rely on technology firms for their most strategically sensitive capabilities, but can so far only offer their ongoing business in return.”

Although it remains unclear which type of insurance will be sold through the potential platform, current comparison offerings in the UK will be worried by the speculation, with Amazon boasting state-of-the-art technology, global reach and a loyal customer base.

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