Tech-hungry Millennials have been investing in smart tech devices to protect their homes for some years now without the commitment being reflected in their insurance premiums.
A survey commissioned by Auger of 2,000 18-34-year-olds across the UK concluded that they have simply had enough, and won’t be investing any further until they can see the benefits. Half of those questioned said there are no incentives to invest further in technology, with more women - 53 per cent than men - 43 per cent – voting with their feet against further commitment in this area of their budget.
Technology is beginning to play more of a role in home security than ever before. Examples include machine learning and smart cameras which can distinguish between pets and people when triggering motion detectors, connected lighting systems and smoke detectors which test themselves. The frustration being voiced by the younger home owners of today - and tomorrow – in the recent survey seems to offer insurers an opportunity to at least come up with models of cover that reflect the investment. This technology feeds back alerts and warnings before something happens such as a water leak, a fire or the presence of an unfamiliar person on the property. Surely the application of this tech with benefits on reduced premiums is a win-win opportunity for everyone, providing comfort for the customer and reduced pay-out risk for the insurer?
As the Internet of Thing becomes more prevalent all around us, so the insurance industry can seize the opportunities to help consumers protect their homes, their possessions and their own safety through these devices. By listening and helping those who want to prevent problems before they happen with preferential premiums, insurers can get closer to these younger customers and continue the insurance journey with them for the longer term. Neil Wilks, Head of Technology, Auger