Over the past several years, the property/casualty insurance industry’s use of Internet of Things (IoT) has significantly accelerated. Beyond auto telematics, P/C insurers—from major carriers to risk pools—have been implementing sensor programs to address property and equipment risks.
Here, Gordon Hui, SVP of HSB's Applied Technology Solutions, and Matteo Carbone, founder of the IoT Insurance Observatory, describe the multiyear journey of HSB and its partners in using IoT to reduce non-cat property risks, enhance customer experience, improve sustainability and to innovate protection products—the four main drivers of IoT adoption outlined by IoT Insurance Observatory for the insurance sector. Continuing innovation includes using sensor data to trigger coverage of existing risks and developing performance guarantees for sensors tracking electrical hazards, potential water damage and the condition of machinery.
Executive Summary Munich Re’s HSB has been at the forefront of the industry’s paradigm shift toward IoT.
Here, Gordon Hui, SVP of HSB’s Applied Technology Solutions, and Matteo Carbone, founder of the IoT Insurance Observatory, describe the multiyear journey of HSB and its partners in using IoT to reduce non-cat property risks, enhance customer experience, improve sustainability and to innovate protection products—the four main drivers of IoT adoption outlined by IoT Insurance Observatory for the insurance sector. Continuing innovation includes using sensor data to trigger coverage of existing risks and developing performance guarantees for sensors tracking electrical hazards, potential water damage and the condition of machinery.
Overall, the philosophy of predicting and preventing loss has been well-established as the general trajectory of the industry, as highlighted in the Geneva Association-IoT Insurance Observatory report “From Risk Transfer to Risk Prevention.”