The Internet of Things: How sensors are transforming the risk landscape
Chubb’s Hemant Sarma discusses how insurers are using technology to prevent and mitigate risk.
Technology is transforming the insurance industry. The Internet of Things (IoT) is allowing carriers to use technology in new ways, particularly to help mitigate risks much earlier. This can mean significant cost savings for clients, businesses and insurers. And, it is changing the risk landscape in a very positive way as insurers help their clients become more proactive instead of reactive.
Hemant Sarma leads Chubb’s global Internet of Things division and is responsible for developing enterprise strategies that will leverage internet-connected technology to advance the company’s risk engineering services. In the latest edition of Insurance Speak, he discusses how IoT sensors and other devices are altering the risk landscape in locations ranging from hospitals and office buildings to college campuses and individual homes.
While IoT has been in place since the early 1990s, Sarma shares that he’s seen more use since the onset of COVID-19. Over the last three years, Chubb has place IoT sensors in more than 300 commercial buildings and thousands of single-family homes. These help the company to better understand the risks for these properties. “There will be more than 40 billion devices in use by 2025,” said Sarma. This will enable Chubb to capture information live and identify risks sooner.
“IoT technology is a low-cost and easy to deploy system,” explains Sarma. “It captures information on the customer and the health of a building, enabling us to predict and prevent losses instead of reacting and responding.”
Sarma continues, “There are a multitude of use cases and reasons for adoption, making it an affordable option for insurers to manage risk.”
For more information on the kinds of data that these sensors can provide and how they change the insurance process to be more proactive in mitigating risks, listen to the podcast above or subscribe to Insurance Speak on Spotify, Apple Music or Libsyn.
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