Homeowners today call in a repairman every time the faucet leaks or the air conditioner stops working in mid-summer (with homeowners insurance). And yet, a new 18-month startup wants to change this by way of IoT home insurance.
The startup, called Neos, founded 18 months ago, helps homeowners find quick solutions to reoccurring repair problems around the house. The Neos IoT home insurance includes the optional installation of third-party, internet-connected sensors inside the home that diagnose problems such as a faucet leak or a deteriorating washer and dry. A bad air conditioner in the summertime is unbearable; Neos’s IoT home insurance is a solution to the numerous problems that can occur around the house.
Sure, this new home insurance diagnoses problems before they surface, but it also diagnoses issues such as an open or unlocked door, which could prevent a robbery or theft if said homeowner is on a road trip or out on the town running an errand.
“The vision really is about moving insurance from a traditional claims, payout type solution…to one that’s much more preventative, and technology’s really the enabler for that. We also think that customers get quite a raw deal from their insurance company…for being a really good customer and not claiming…And no value. So what we’re trying to do is provide value to customers throughout the term of their policy — allowing them to monitor their own homes, using our cameras and devices that we give them. If there is an issue, they’ll get alerted. Most importantly they or us through our monitoring center and assistance service can put the things right…In that sense both the customer and us benefit if we’re successful,” said Neos co-founder and ex-insurance employee Matt Poll said to TechCrunch.
Neos offers three pricing tiers and home insurance products. A new smart water valve helps customers measure water signatures for faucet leaks, developed by the company in light of the absence of an IoT kit for it. The smart water valve measures water signature at home, detects water leaks, then disables the water remotely. A repairman installs the sensors within the home for a set price. Additionally, premiums remain the same for the first three years (with no claims made by the insured, mind you).
With competitive insurance pricing in the UK (“approximately £15 to £50 per month,” Poll said), Neos says it can give customers a quick quote with their postcode and address. The IoT home insurance company expects to partner with insurers such as Aviva and the top 5 US insurers (if possible) to expand its customer base and make a dent in the worldwide market.