Germany-based online brokerage Friendsurance is reportedly planning to launch its business in Australia, to boost its presence in the country.

Friendsurance and Vantage Fund executive director Perry Abbott was quoted by Insurance Business as saying that the company is considering launching an offering this year.

The brokerage Friendsurance uses social networking site Facebook to connect people who collect their money together to buy insurance plans.

Under this model, people connect to create an insurance network and the lesser claim they make, the more money they earn at the end of the year.

The brokerage offers various types of insurance product and services such as household, liability and legal expenses.

Underlining its Australian business strategy, Abbott said, "Friendsurance will take the products being sold in those country and apply the Friendsurance model to create value for insurers and customers and increase the market share of insurers.

"In Australia, there are customers who will always buy certain products online. We are creating options for them. It’s not about displacing brokers."