Q&A with Donald Light
In most IoT areas it is early days, but there are some exceptions. A lot of insurers have telematics pilot projects for both private and commercial auto. In homeowners, there is a lot of R&D focusing on loss prevention and loss control. Commercial property has less activity, but that will pick up. There are also a number of innovative IoT crop insurance initiatives.
If you agree with that premise, it means the insurance industry as a whole—and brokers are an important part of that—have two choices: You can shrink and live in a smaller industry with fewer players, or you can develop new kinds of services and revenue streams associated with those services. That’s where loss prevention, loss control, loss engineering and behavior modification play a role.