It’s a normal day. You wake up and you realize that: there’s a massive water stain on the wall of your bathroom, there’s a large puddle on the kitchen floor, or there’s a pipe in your garage that’s leaking. The first thing we do after worrying is call our home insurance. These type of problems with water leaks have a large economic impact on insurance companies. In the United States and the United Kingdom, this impact is around 16 million dollars a year.
LeakBot, headquartered in London, whose revolutionary idea promises to lower that number by 60% with a savings of almost 6 million dollars in those countries, has confirmed these numbers as well. “During the last five years we’ve addressed the problems caused by these water leaks, the damages they cause in properties, and the cost of those leaks for an insurance company,” indicates Leakbot CEO, Craig Foster. According to his data, in North America and Western Europe, water leakage claims are one third of the claims in the home insurance market.
“Claims caused by water leaks tend to be caused by minor damages that aren’t easily seen by eye, and are hidden behind walls or ceilings,” explains Foster. That’s to say: they begin to erode the property and cause damages before anyone realizes.
In order to resolve this, LeakBot uses intelligent technology to detect water leaks in the home with one intelligent alarm, and without need of professional installation. As they say on their website: it’s not magic; it’s science.
“We’ve created a patented technology called Thermi-Q that uses the measurement of differences in temperatures in order to determine whether there is a water leak. What it does is measure and compare the temperature of the water that comes from outside to the temperature of the water in the area where the device is installed,” explains Foster. If the temperature is constant, that means everything is ok. However, “if there’s a water leak in some part of the property, there will be a steep drop in the temperature.” In this case, the system sends an instant alert to the owner through the LeakBot app so they can act before the damages are greater.
LeakBot is unique in the market because “other products expensive plumbing systems or sensors that don’t cover the entire property.” On the other hand, as their CEO tells us, LeakBot is low cost and “using thermal technology, they’re the only that use only one device with which they can detect a leak in the entire system.”
Also, their system has been specially designed for the insurance sector. That’s why they’re participating in insur_space de MAPFRE’s Adoption Program, aware of the “global reach, extensive experience, and the network of corporations and clients around the world that MAPFRE has,” says Foster.
For them it’s a wonderful opportunity: “to have a pilot and have the opportunity to scale their product with MAPFRE is very exciting.” With the future in mind and advancing forcefully through the present, Foster has a clear vision of the importance of innovation in resolving problems; in the case of LeakBot, to resolve daily situations in the lives of people and improve the numbers of the insurance companies. That’s why they also bet on open innovation with MAPFRE, as the CEO tells us: “it’s important to be humble and assume that you don’t know all the answers; an open mind is vital for innovation to work.”
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