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ProQuestDocuments 2023 11 28
ProQuestDocuments 2023 11 28
ABSTRACT
American International Group Inc. this month announced its "strategic investment" in New York-based Human
Condition Safety, which is among the startups piloting sensor technology said to identify potential injuries and
reduce the frequency and severity of workers comp claims. Experts say more employers are showing an interest in
using wearables to prevent occupational injuries. AIG's deal, the terms of which were not disclosed, will only
accelerate that interest, they add. In the future, AIG could promote wearable safety devices the way Allstate
Insurance Co. promotes its Drivewise device, which drivers plug into their vehicles and earn rewards for safe driving
behaviors such as avoiding high speeds and hard stops, said Paul Braun, managing director of casualty claims at
Aon Global Risk Consulting in Los Angeles. Beyond the ability to correct unsafe behaviors, experts say there's a lot
of interest in using wearables to monitor remote workers and mitigate fraudulent workers comp claims. A number of
questions need to be answered before wearable safety devices become more widespread, Anand Rao, Boston-
based partner in the insurance advisory practice at PricewaterhouseCoopers L.L.P., said.
FULL TEXT
In the form of vests, belt clips and more, wearable safety devices intended to mitigate occupational injuries and
deaths could transform the workers compensation industry sooner than expected after buy-in from one of the world's
largest insurers.
American International Group Inc. this month announced its "strategic investment" in New York-based Human
Condition Safety, which is among the startups piloting sensor technology said to identify potential injuries and
reduce the frequency and severity of workers comp claims.
While companies such as BP P.L.C. and Target Corp. already use activity and sleep tracking devices to promote
healthy habits among workers, experts say more employers are showing an interest in using wearables to prevent
occupational injuries. AIG's deal, the terms of which were not disclosed, will only accelerate that interest, they add.
AIG's investment in Human Condition Safety shows "this is something that is emerging and is real, and insurers are
seeing there will be potential benefits," said Christopher Flatt, managing director and leader of Marsh L.L.C.'s
Workers' Compensation Center of Excellence in New York.
Workers comp is a data-rich, compulsory line of business that "lends itself to innovation," Mr. Flatt said. "From our
perspective ... if we can differentiate (a client's) risk profile by saying they're using this particular technology, perhaps
we can achieve better market pricing from (insurers) or just improve terms."
In the future, AIG could promote wearable safety devices the way Allstate Insurance Co. promotes its Drivewise
device, which drivers plug into their vehicles and earn rewards for safe driving behaviors such as avoiding high
speeds and hard stops, said Paul Braun, managing director of casualty claims at Aon Global Risk Consulting in Los
Angeles.
Lex Baugh, president of global casualty for AIG, said in a video on the company's website that "there's a real benefit
here, both from a financial standpoint in terms of reducing the cost of risk and improving the quality of someone's
DETAILS
Business indexing term: Subject: Occupational safety Employers Workers compensation Startups Partnerships
Occupational accidents
Company / organization: Name: American International Group Inc; NAICS: 523150, 523940, 524113, 524126,
551112
Volume: 50
Issue: 2
Pages: 1
ISSN: 00076864
e-ISSN: 15577791
CODEN: BUINEW