Security-as-a-Service provider Scout Security (ASX:SCT) has signed a master services agreement and statement of work with global insurance technology company Bolt Solutions, marking its entry into the high-growth insurtech sector.
Under the partnership, Scout will supply white-labelled water sensor kits through Bolt’s Prevention Technology program, initially deploying devices across US states, including California and Florida.
The kits will help policyholders detect leaks early, prevent costly water damage, and access significant insurance premium reductions.
An initial hardware order has been committed, with Scout set to receive a US$48,000 deposit in January, including prepayment for non-recurring engineering.
The program is expected to generate both hardware sales and recurring subscription revenue through ongoing monitoring and service fees.
The partnership validates the strategic rationale behind Scout's acquisition of Roo, with the opportunity originating from Roo's established insurtech network and executed using Scout's white label platform expertise.
Scout CEO Ryan McCall said, "This agreement demonstrates the immediate value of combining Roo's market reach with our platform capabilities. Water damage is one of the most frequent and costly claims for insurers, and this solution provides a win-win: lower premiums for policyholders and reduced claims exposure for carriers."
Bolt, which has tens of thousands of covered customers and a 30% year-on-year growth rate, offers technology-driven solutions designed to reduce claims frequency and severity.
The collaboration with Scout represents the first of multiple opportunities to roll out water damage prevention across Bolt's extensive affiliate network.