Finland-based general insurer LähiTapiola has partnered with GROHE to offer a water safety system to home insurance policyholders. The insurer expects to install the GROHE Sense systems to more than 100k homes by 2026.
Did You Know?
- Only 3% of European households are equipped with a water damage protection system
- In Finland alone, nearly 40k water damage cases are reported annually to insurance companies, for which more than €160m in claims settlement are paid
- Both damage and claims have increased in the 21st century as aging housing stock and aging pipelines increase the leakage damage
- In Europe, a water damage costs on average around €2,300 – including detection, repair and replacement of damaged goods; however, there’s a gap of almost €900 between this figure and the average amount reimbursed by insurance companies
“The concept marks a fundamental change in the insurance business. We act proactively to prevent damage before it becomes a cost factor. This unique collaboration will reduce our water damage compensation by 50% by 2025 and help us maintain our top position.” – Anu Koskenvuo, Director, LähiTapiola.
“It’s really a ‘Perfect Match’. With LähiTapiola we work hand in hand for water safety at home and implement an innovative concept: proactive water safety. GROHE offers a complete solution to eliminate the biggest cost driver in home contents insurance: water damage. This solution is a decisive milestone for the home insurance business. Together with LähiTapiola, we have created a blueprint for the introduction of water safety systems on a large scale to limit the risks for insurers. Our solution includes innovative services such as training, installation and data services. ” – Bert Depiere, Director Digital Innovations GROHE.
On a similar note, Hero Labs has announced a £2.5m seed funding round led by environmental fund manager Earthworm Group. The company also received a £300,000 EU innovation grant and money from a number of unnamed private investors. Led by Krystian Zajac, cofounder and ex-CTO of Neos , Hero Labs is the developer of Sonic, a smart leak defender with an automatic water shutoff valve. Last, the company is in discussions with insurers who might subsidize the product or give it away completely for free to certain more affluent customers to minimize the risk of water escape; according to TechCrunch.