Google is getting onto the car insurance business. It’s called Google Compare. Near term they will act as the search engine for best cost policies. When they eventually roll out the program nationally (it’s been tested in England and launches in California), it won’t need much of a national TV ad budget. They are Google after all. We use Google 5 times a day. And more importantly, everybody knows Google is search. It’s not a massive behavior change.

Insurance is one of the bigger national advertising categories thanks to Geico, AllState and Progressive. When Google gets in to the mix and doesn’t need to spend huge money on ads there will be a great price advantage for them. If they siphon off car insurance business from the big guys, the ad budgets of the big guys will diminish. (Thank you Jesus.)

Many checks that used to go to newspapers, magazines, radio and TV stations are going Google these days. And as Google funds new businesses like insurance, it will put even more strain on traditional and digital revenue. Wait this they start underwriting insurance. They have the appetite for it. It’s the future.

Peace.