Google has been selling insurance to European users since 2012 under the name Google Compare. According to The Verge, Google is legally able to sell insurance in 25 states.
A company called Google Compare Auto Insurance Services Inc. is already licensed to do business in more than 25 states, and licensed to sell on behalf of a handful of major insurers like Metlife, Dairyland, and Workmen’s. – The Verge
This is not the first time that Google has tried to jump into other markets, last year Google tried to offer medical consultation to a select group of testers. There was not a whole lot of information made public about it, but it showing that Google is trying to make the process of online shopping, and other online transactions easier.
The way, that is going to work, is Google is going to be licensed on behalf of other large companies so when you want to receive a quote Google will send your information to each of the companies and retrieve a quote from all of them. This way you get the best deal for the amount of coverage that you want, and while other companies like Progressive claim to have their “price checker” these are typically very limited and are not always accurate. Now Google, has to receive a quote from a lot of companies and it has to do this in a relevantly quick time. This is where the current issue lies, because the amount of queries that would be sent in a short amount of time. Furthermore, it has to be able to receive an accurate quote from the company and while this is not something completely new it is still in an infant stage.
Would you like to purchase insurance from Google?