IoT device adoption failure in insurance

Low adoption of IoT devices in insurance despite carrier investment. Homeowners are not acting on free IoT devices offered by insurers. Water leak sensors, smart smoke detectors, and security systems are underutilized as loss prevention tools due to installation friction and unclear incentives.

Analysis:

IoT-for-insurance has underperformed expectations. The opportunity is in making devices truly invisible/seamless (pre-installed at construction) and tying them to meaningful premium discounts. Companies need to crack the behavior-change problem, not just the hardware.