Smart surveillance systems as a tool for mitigating claims frequency in commercial property insurance portfolio in Nigeria

Increasing claims frequency in commercial property insurance portfolios in Nigeria continues to undermine underwriting profitability, premium adequacy, and portfolio stability.  This study investigated the influence of smart surveillance systems, namely AI-enabled CCTV coverage, real-time monitoring, detection accuracy, and operational reliability of automated alarm systems, on claims frequency in commercial property insurance.  A quantitative cross-sectional explanatory survey research design was adopted.  Primary data were obtained through structured questionnaires administered to 150 technical personnel engaged in underwriting, risk surveying, claims management, and loss control across selected insurance companies.  Data were analyzed using Poisson regression with exposure-adjusted claim frequency ratios.  Findings indicated that both AI-enabled CCTV surveillance and automated alarm systems significantly lowered the expected claims frequency, demonstrating their effectiveness in mitigating property loss risk.  The study concluded that smart surveillance technologies function as actuarial risk modifiers and recommended incorporating surveillance metrics into underwriting and pricing frameworks to improve risk assessment, premium adequacy, and portfolio stability.