ABSTRACT
On that basis, the Internet of Things (IoT) can primarily perform three functions: capturing data from the surrounding environment, transmitting the data captured over an internet-connected network and enabling data collectors to process and analyse the data collected or transmitted. Better and more reliable products might certainly give confidence to insurers to make more use of IoT technology in the commercial insurance context. Also, such voluntary standards might come in handy when defending any potential lawsuits from third parties in tort (or actions for product liability). An IoT device usually transmits data obtained from its host and the surrounding environment through WiFi, Bluetooth mobile phone networks or the internet, where it is stored using cloud-based applications. The transmission process might potentially create a vulnerability for the subject matter of insurance, as it might broaden the cyber-attack surface for the hackers.
