I’ve waited for years now to see how insurance might fit with Jeff Bezos’ quote that ‘your margin is my opportunity.’Liability
Amazon’s announcement last week that it will help sellers find product liability insurance through a network facilitated by Marsh may provide the answer.
Assuming the product liability offering is popular — and Amazon is relentless when pursuing new opportunities — it’s easy to imagine the company expanding into other types of insurance for small businesses. For a lot of small businesses.
Amazon currently has 1.9 million active sellers on its site, so offering product liability insurance could quickly give Amazon a massive base of small businesses that could be interested in buying other types of insurance through the company.
Not all of those sellers will buy via Amazon, of course. Many don’t meet the minimum level of sales ($10,000 a month) at which Amazon requires that they carry product liability insurance.