Automated Home in Insurance - Thematic Research

Automated Home in Insurance - Thematic Research


GlobalData estimates that the UK smart home insurance market is worth GBP180 million ($220 million), which equates to just 2.8% of the current home insurance market. Given the openness to interpretation of a “smart home,” GlobalData predicts that the market could be worth up to GBP3 billion ($3.64 billion) by 2026 (48.1% of the household insurance market). Yet the prevalence of smart devices across households will determine the size of each country’s automated home insurance market. According to these conditions, the US automated home insurance market is the largest and most advanced.

Consumers have been able to derive numerous benefits from installing smart devices into their homes, with leading advantages including energy efficiency, home security, and lifestyle comfort. The scope for these devices to mitigate and minimize the impact of various types of claims within the home line has become increasingly apparent. With insurers grappling with ever-growing claims costs in the household insurance market, encouraging consumers to install these devices will alleviate huge pressures on players' bottom lines. This report examines the impact the automated home is already having on the insurance industry and considers the future outlook for this theme.


  • The key benefit of smart devices to insurers is the mitigation and reduction of several key claims areas, including escape of water, fire, and theft.
  • The data created and processed by smart home devices could open the door for big tech companies and other affinity providers to become disruptors in the home insurance landscape, although for now this is some way from coming to fruition.
  • Leading smart home insurance providers offer discounts firstly on the devices themselves via partnerships with manufacturers, and secondly through discounted home insurance premiums to incentivize uptake and correct usage.
Reasons to Buy
  • Determine the extent to which insurance providers can benefit from smart home technologies.
  • Identify the key challenges and opportunities arising within the automated home space.
  • Develop strategies to encourage uptake among policyholders to benefit both yourself and your customers.
  • Benchmark yourself against the progress of leading insurers within this developing sector.

  • Executive Summary
  • Players
    • Table Figure 1: Who are the leading players in the automated home in insurance theme and where do they sit in the value
  • Technology Briefing
    • Automated home
      • Table Figure 2: A connected home
    • Smart speakers
      • Table Figure 3: Leading smart speakers with voice assistants
    • Water leak detection devices
      • Table Figure 4: Leading smart water detectors
    • Smart security
      • Table Figure 5: Leading smart security devices
    • Smart smoke alarms and carbon monoxide detectors
      • Table Figure 6: Leading smart smoke alarms and carbon monoxide detectors
    • Smart lighting
      • Table Figure 7: Leading smart lighting
    • Smart thermostats
      • Table Figure 8: Leading smart thermostats
    • Smart appliances
      • Table Figure 9: Leading smart appliances
    • Automated home insurance
      • Table Figure 10: Representative connected home ecosystem for insurance
  • Trends
    • Technology trends
      • Table Technology trends
    • Macroeconomic trends
      • Table Macroeconomic trends
    • Regulatory trends
      • Table Regulatory trend
  • Industry Analysis
    • Market size and growth forecasts
      • Table Figure 11: Global retail property insurance market, written premiums, 2017–26f
    • The current UK home insurance market
      • Table Figure 12: UK household insurance market in gross written premiums (GWP), 2017–26f
      • Table Figure 13: UK household insurance, gross claims incurred (GBP millions), 2017–21
      • Table UK household insurance, Number of claims(GBP millions), 2017–21
      • Table UK household insurance, Average claims cost (GBP millions), 2017–21
      • The UK automated home insurance market size and growth forecasts
        • Table Figure 14: Uptake of smart home devices in the UK, 2021
        • Table Figure 15: UK automated home insurance market opportunity
        • Table Figure 16: Potential UK automated home insurance market opportunity, 2026
        • Table Figure 17: Potential UK automated home insurance market size, by device, 2026
      • Data sharing and privacy concerns will be a key barrier for insurers to break down
        • Table Figure 18: The likelihood of UK consumers sharing data from a smart home device with their insurer
      • Financial savings is the main incentive for consumers to share smart home data
        • Table Figure 19: Reasons why consumers would share connected home data with their insurance provider
      • Privacy concerns are the main barrier to sharing data with insurers
        • Table Figure 20: Reasons why consumers would not share connected home data with their insurance provider
      • Leading insurers, insurtechs, and disruptors
      • Gen Z and millennials are the most willing to buy home insurance from big tech
        • Table Figure 21: Percentage of respondents who would buy home insurance from a certain provider, by demographic
    • Other notable smart home markets and insurers
      • North America
        • Table Figure 22: American Family offers two packages for consumers for which they can earn home insurance discounts
      • Asia-Pacific
        • Table Figure 23: Connected home devices penetration rates, selected Asia-Pacific countries, 2019
      • Europe
    • Mergers and acquisitions
      • Table Mergers and acquisitions
    • Timeline
      • Table Figure 24: The automated home in insurance story
  • Value Chain
    • Table Figure 25: The insurance industry value chain
    • Product development
    • Marketing and distribution
    • Underwriting and risk profiling
    • Claims management
    • Customer service
  • Companies
    • Public companies
      • Table Public companies
    • Private companies
      • Table Private companies
  • Sector Scorecards
    • Insurance sector scorecard
      • Who's who
        • Table Figure 26: Who does what in the non-life insurance space?
      • Thematic screen
        • Table Figure 27: Thematic screen
      • Valuation screen
        • Table Figure 28: Valuation screen
  • Glossary
    • Table Glossary
  • Further Reading
    • GlobalData reports
      • Table GlobalData reports
  • Our thematic research methodology
    • Table Figure 29: Our five-step approach for generating a sector scorecard
  • About GlobalData
  • Contact Us

Download our eBook: How to Succeed Using Market Research

Learn how to effectively navigate the market research process to help guide your organization on the journey to success.

Download eBook
Cookie Settings