BlueZoo helps insurers measure and mitigate risks from overcrowding.

Insurers know that crowds of people are a hazard that generate risks. Understanding the presence and movement of people enables insurers to better mitigate, select, and price risks. BlueZoo’s patented foot traffic measurement solutions identify when and where crowds gather and generates valuable data.

Once a baseline for occupancy risks by industry is established, insurers can use these insights to select risks to insure. Eventually, all insurers will use occupancy data (normal, overcrowded, abandoned, etc.) and claim histories to price policies.

Mitigate risks to reduce claims

Minimizing claims, if not eliminating risk, is every insurer’s objective. When unexpected crowds gather, dangerous situations can result. BlueZoo sensors send alerts when risky situations emerge so that risks can be mitigated.

Any crowding which exceeds safe maximums or fire marshal limits creates risks which could lead to claims. Overcrowding in hotels, offices, stores, festivals, and other insured spaces correlates to slip-trip-and-fall claims. Overcrowding in restaurants and bars correlates to outbreaks of salmonella, COVID or other diseases. Large, unannounced gatherings in short-term rental properties correlate to unauthorized parties that bring noise, property damage, and even violence.

Insurers use BlueZoo technology for two purposes:

  • Establishing an occupancy baseline. Measuring occupancy patterns 7-by-24 across large numbers of similar businesses (e.g. restaurants, hotel ballrooms) permits establishment of a baseline profile of “typical” occupancy, corresponding to time-of-day, day-of-year, revenues, etc.

    A useful baseline requires that data are measured consistently and continuously. Occupancy patterns that deviate from “typical” occupancy can correlate to higher risk. Such unusual behavior at the property should motivate a visit by a risk engineer or a discussion with the food-and-beverage manager whose ballrooms regularly exceed capacity.

  • Detecting atypical occupancy in real time. This permits immediate risk mitigation. Like monitored fire alarms, burglar alarms, security cameras, carbon monoxide monitors, and water leak detection, occupancy sensors can identify emerging dangerous situations. Once identified, BlueZoo sends an alert to the designated person, such as a building manager, on-premises security lead, or short-term rental manager.

    Insurers select occupancy thresholds (or patterns) at which to send alerts based on underwriting tolerances, client type and claim experience, claims knowledge, and other known or suspected triggers. These triggers can be modified as desired based on availability of insurer or client resources, client relationships, etc.

SensorWhat it detectsHazards mitigated
BlueZoo Occupancy MonitorOvercrowdingHuman injury (slip/fall, fire, disease)
Leak / water sensorWaterFlooding, property damage
Fire / smoke alarmFireFire, property damage, human injury
Carbon monoxide sensorCarbon monoxideHuman injury
Burglar alarmUnauthorized accessProperty damage, theft

Select risks to improve margins

BlueZoo insights help insurers understand and better select risks. BlueZoo helps find more of your most profitable customers. Once an occupancy risk baseline is established for one type of business, insurers can place each insured on the occupancy risk spectrum. Identify your most profitable customers – and you can select other prospects that resemble those customers. 

Property characteristicsOccupancy risk rating
Bars (SIC 5812, that also have restaurants) located in the southeast USA and have occupancy limits of 5091
Bars (SIC 5812, that also have restaurants) located in the southeast USA and have occupancy limits of 10098
Bars (SIC 5813, no restaurant), located in the southwest USA and have occupancy limits of 5080

Measuring risks that are correlated to occupancy can provide a competitive advantage to the insurers. Insurers know exactly who the most risk-sensible and therefore most profitable customers are. Such knowledge allows insurers to target market segments without the guessing and unknown factors that exist with most new clients.

BlueZoo also enables similar margin increasing benefits for renewals. The ability to make better renewal decisions based on data collected of actual occupancy and correlated risk incidents means more of your most profitable customers can stay your customers.

Price risks to expand market share

Insurers know that better data means better results. BlueZoo insights enable insurers to both better price policies and to create new products to grow market share.

BlueZoo allows actuaries and underwriters to know true occupancy numbers, continuously. Compare occupancy rates across same-type businesses to identify outliers. Price premiums more accurately, and leverage this new data in actuarial tables and the underwriting process, based on long term trends.

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People counter sensor