Leakbot Update

Escape of water has always been a hot topic within the UK insurance market as it's the second biggest reason for claims. The frequently referenced ''Beast from the East' surprise weather pattern in 2018 had a significant impact on the underwriting performance against this peril across the UK insurance industry. 

Escape of water claims come from a myriad of potential sources and changes in HNW lifestyles are having a direct impact on the severity of these claims. We have seen an increase in the number of bathrooms/wet rooms, increased popularity in underfloor heating, the increasing number of basement conversions into cinema/entertainment rooms within HNW properties, all of which increase the potential severity of escape of water losses. And more importantly, this increase in severity has a direct impact on the disruption to peoples' lives when a loss occurs. 

Like all UK insurers we regularly review claims and underwriting practice, make risk management guidance available to our broking partners and customers alike, and we also look to technology providers for innovative solutions. 

We started our Leakbot trial in 2017, and have steadily seen an increase in the number of customers wanting to take advantage of the benefits of having a Leakbot device installed at their home. The interest has spiked following the winter months and we have sent over 10 percent of our initial trial allocation to customers in the last two months alone and we are excited to see where the trial takes us.

Leakbot can be set up within a few minutes by clipping the physical device to the cold water intake pipe adjacent to the stopcock and then following the easy steps to sync the Leakbot to a customer's smartphone. After a 48 hour initial learning cycle the Leakbot is monitoring the air and water temperature on a 24/7 basis to detect any leaks. The app interface not only alerts customers immediately upon detection of a leak, but also provides water usage information on a daily, weekly and monthly basis. 

Our Strategic Partnerships team have been the main drivers in drumming up Leakbot interest as they are able to speak directly to customers via our affinities. They have had really positive take up rates and feedback from customers who have commented that they appreciate the opportunity and initiative we have taken to help prevent water leaks. 

Some of our own team have taken the opportunity to have Leakbot installed at their homes and one of these people is Keith Hector, Director of Mid-Market and Distribution. Here's his experience of how these little devices have been able to help him and his family. 

Keith has had a Leakbot device installed for two years now. Upon its installation the Leakbot detected a leak in his bathroom straight away, so Keith took advantage of the free leak detection fix service that was available. From the expert advice given, it was clear that if this leak was detected any later it could have caused a lot of damage to his home.

If you have some Executive Home or Executive Home Plus clients that might be interested in joining our Leakbot trial, please speak to your local underwriter or feel free to contact us via leakbot@coveainsurance.co.uk.

-Ends-