Water damage on jobsites is a serious, chronic challenge for construction companies. Water waste, leaks, and the resulting damage to property and equipment can lead to significant losses from delays, sharply rising insurance costs, high utility expenses, remediation and removal, and lasting damage to a company’s reputation. It’s a problem that many contractors have assumed they just have to live with.
FINANCIAL PAIN
Water leaks aren’t just an inconvenience. They’re a source of major financial pain that costs businesses and insurance companies tens of billions of dollars a year, and inefficient water management compounds the problem. Waste is rampant throughout the built environment, where up to 25% of water consumed is simply wasted.
Additionally, water damage is the most common insurance claim on construction sites. Those claims have led to climbing losses for the insurance industry. As insurers face rising payouts for water damage claims, deductibles have climbed sharply, resulting in a severe impact on profitability among contractors.
But the increasingly competitive conditions in the industry and a strong worldwide push for corporate sustainability are driving companies to look for innovative new solutions that will prevent water damage, reduce waste, and save companies and their customers time, money, and trouble.
TIME FOR NEW TECH
For decades, construction professionals have relied on visual inspections and antiquated, outdated technology such as leak sensors to manage water supplies on jobsites. Those methods aren’t suited for the demands of the modern construction industry.
A new generation of water monitoring systems incorporate artificial intelligence, connected sensors, mobile technology, advanced analytics, and cloud-based computing to identify and mitigate the risk and cost of water damage and waste. Modern water monitoring systems let construction companies and building operators shut down major leaks remotely before they become disasters and address inefficiencies proactively.
Innovative, data-powered water management solutions empower companies to proactively optimize water use and mitigate waste and risk. At all stages, today’s effective systems provide accurate real-time data on water consumption, identify the location of a leak, and even shut off the water supply automatically in case the leak has the potential to cause damage.
REAL-TIME ALERTS
In addition to recognizing consumption and potential leaks, an ideal water management solution must also be able to quickly and reliably communicate information through automated real-time alerts across SMS, email, and phone notifications. It’s equally crucial that an advanced water management system can integrate with a wide range of existing building management systems so users have total visibility, control, and continuity all in the same place.
Advances in the Internet of Things (IoT) and cloud-based technology have freed applications from the scale constraints of previous times. The implication of IoT devices is that any site can benefit from the cloud’s endless processing power without having to deal with complex and costly computing infrastructure. Cloud connections allow dozens or hundreds of devices to wirelessly analyze water usage conditions. The AI application, its algorithms and the continuous learning that are at the core of modern water management solutions must continuously update at the jobsite to provide the necessary accuracy and granularity.
Applying data analysis and machine learning, these systems identify usage patterns and alert supervisors in the case of anomalies that indicate potential leaks and waste. It’s a cost-effective way to reduce the risk of major property damage from burst pipes and undetected leaks. Further, insurers pay out less money in the long run and contractors have access to more affordable insurance coverage.
INVESTMENT PAYS
In light of these opportunities, contractors and insurers are increasingly investing in solutions that help reduce overall risk and maintain conditions that ensure shared benefits and profitability.
One leading global contractor started using WINT, the leading advanced AI-powered water management technology solution, after years of accumulated water damage claims and the risk of rising insurance premiums. Since installation, the company has not experienced a single water leak claim. At this point they have issued a CEO mandate to deploy WINT on all projects, from day one. And beyond the damage prevention benefits, they’ve also reduced project overhead and water consumption.
INNOVATIVE PROGRAM
The success of this technology has led to another major recent development. HSB, a multi-line specialty insurer and part of the Munich Re family, now offers a groundbreaking initiative that protects general contractors and developers from the steeply rising costs of water damage in the construction industry with an innovative warranty program.
The program, available for contractors and developers who use WINT protects construction jobsites from water damage. In the event the WINT system fails to prevent water leak damage, HSB will reimburse the cost of resulting water damage up to $250,000, therefore significantly reducing exposure to high deductibles that are very common in the market.
CLOSING THOUGHT
Innovative water management tools such as WINT are delivering immediate, meaningful results throughout the built environment. By transforming how facilities operators manage an essential resource, WINT is empowering a variety of industries to reduce waste and risk while elevating the experience and satisfaction of customers.
About the Author:
Alon Geva is CEO of WINT, a groundbreaking software company that produces artificial intelligence-powered leak detection and water management solutions. WINT serves some of the world’s largest organizations including technology, construction and real estate businesses. For more, visit wint.ai.
Modern Contractor Solutions, October 2023
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