Shares in financial price comparison firm Moneysupermarket.com Group (LSE: MONY) rose over 3% Thursday morning after e-commerce giant Amazon said it is closing its UK insurance comparison portal Amazon Insurance Store less than three months after its launch.
“We’ve made the decision to discontinue the Amazon Insurance Store,” Amazon announced without explaining the reasons behind the move.
Insurers have long worried tech titans would eat into their retail market share given strong branding though industry watchers say insurance’s heavy regulation makes it hard to quickly disrupt.
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Moneysupermarket welcomed the news as increased competition from Amazon was denting its growth though analysts say the site was gaining little traction anyway with UK consumers. The price comparison specialist focuses on financial services like insurance, mortgages, credit cards and loans.
Moneysupermarket shares are up 16.8% over the past 12 months.
