#USA #San Francisco #Shepherd #IoT #Brickeye

Shepherd and Brickeye Partnership: A New Era in Construction Insurance

In a groundbreaking collaboration aimed at revolutionizing the construction insurance sector, Shepherd, an AI-driven commercial insurance platform, has joined forces with Brickeye, a cutting-edge IoT-enabled risk intelligence provider focusing on the construction industry. This partnership is set to redefine how builders approach insurance and risk management, establishing an innovative pathway to improve Builder's Risk coverage for contractors who adopt proactive safety measures.

The Need for Structured Risk Management in Construction

Historically, builders seeking better insurance terms for implementing loss-prevention technologies lacked a systematic method to achieve this. Shepherd and Brickeye have recognized this gap and are the first to facilitate a structured integration, allowing verified real-time data on physical risks to be factored directly into underwriting models. By providing concrete metrics of protective measures in place on a job site, this partnership incentivizes safer building practices, rewarding those invested in safeguarding their projects with better insurance terms.

The Mechanics of the Partnership

Brickeye’s BuildersRiskIQ™ risk intelligence framework will be directly integrated into Shepherd's underwriting model. This integration aims to produce a verified, real-time assessment of physical risks associated with various construction projects. The ultimate goal is to enhance the coverage terms for builders who proactively mitigate risks, by using IoT solutions like Brickeye’s.

Shepherd Savings is a program that rewards builders using advanced technology for project management and on-site documentation. Having begun with casualty products, it has now expanded to include Builder's Risk coverage, providing a compelling reason for construction companies to adopt Brickeye's intelligence systems.

Brickeye’s platform tackles two of the costliest risks in construction: water damage from burst pipes and quality issues in mass concrete. By actively monitoring project conditions across more than 4,500 sites globally, Brickeye can prevent substantial losses, significantly benefiting insurance pricing.

Pricing Innovation with Real-Time Data

The integration of verified IoT data into the underwriting process allows Shepherd to adjust price models based on current risk intelligence. This innovation is facilitated by the significant advancements Shepherd has made over a two-year period, transitioning from traditional, prolonged underwriting processes to AI-driven decision-making that circumvents weeks of back-and-forth email exchanges.

Brickeye’s input enriches Shepherd’s approach, which encompasses the analysis of over $400 billion worth of insured projects, having experienced a remarkable sevenfold revenue growth in just 24 months. Their collaboration ensures that as each project concludes, the data generated provides valuable insights for pricing future undertakings, proving advantageous not only for Shepherd but also for Brickeye’s future evaluations of the IoT controls they implement.

Enhancing Competitive Differentiation in the Market

This partnership isn’t just beneficial for the companies involved; it creates a significant advantage for insurance brokers too. It enables them to offer clients who invest in risk mitigation policies more favorable terms than those available in the conventional market. By eliminating uncertainties associated with high water damage deductibles, they can streamline processes and alleviate concerns for owners, enhancing overall project viability.

Looking Ahead: Expansion of Services

Initially, the partnership will concentrate on Builder's Risk coverage for vertical construction projects within the U.S. market, emphasizing risk mitigation linked to water damage. As the partnership matures, there are plans to expand coverage to encompass concrete quality monitoring and defect risk aversion for infrastructure and heavy civil projects as well. This collaborative effort seeks to address a critical shortcoming in a global market worth approximately $5 billion, wherein verified job site data has traditionally remained unrelated to pricing strategies.

Conclusion

Shepherd and Brickeye's partnership signals an exciting evolution in construction insurance, melding AI with real-time risk intelligence to create innovative underwriting processes. This collaboration lays the groundwork for a transformative wave in risk management, paving the way for safer construction environments and financially smarter outcomes for builders and owners alike. By changing the paradigm of risk evaluation, they are setting new industry standards in a rapidly evolving landscape.

About Shepherd

Founded in San Francisco, Shepherd leverages AI technology to make risk management frictionless for builders engaged in delivering infrastructure and construction projects. Their unique model, integrating real-time data with deep industry expertise, allows them to offer tailored commercial insurance quickly and efficiently.

About Brickeye

With a strong emphasis on IoT and job site risk mitigation, Brickeye has positioned itself as a leader in providing intelligent solutions for construction firms worldwide. By enhancing project safety and reducing insurance costs, Brickeye aids companies in managing risks effectively from preconstruction through to project completion.