At first thought, the world of plumbing seems immune to developing technology. How could artificial intelligence, for example, fix a leaky sink or install a bathtub?

However, while the core competencies for PHCPPros remain almost untouchable, there are some advancing technologies that complement the industry and can even strengthen it.  

The rise of AI has sparked job security concerns in every industry across the globe. It can be tempting to push back against such a change, rather than look for ways to benefit in the early stages of adoption. To do so means continuous education on all the latest trends, from smart home plumbing devices and maintenance technology to back-office and scheduling tools to enhance the client experience and ensure the most reliable advice.

After all, the personal connection and trust between the plumber and client, as well as the quality of superior customer service, cannot be replaced by AI.

Smart Tech

The rise of smart cities and homes first captured people’s imaginations a few years ago. Since then, consumers have expressed interest in smart product technology and diagnostic tools. 

Smart home plumbing technology is an attractive feature for good reason: it can save time and money. For example, smart water heaters can recognize patterns in hot water usage, monitor temperature levels, and even detect leaks, enabling users to save on energy usage and money over time.

There has also been a rise in demand for products that can detect leaks using AI technology, such as smart water meters or smart shut-off valves. As property values climb, property owners are increasingly aware of the damage leaks can cause and want smart products installed that enable them to monitor their plumbing structures to pinpoint any problem areas as soon as possible. 

With the growing demand for these smart products comes the increasing likelihood of plumbers coming face-to-face with AI. Many of these products utilize AI to monitor consumer usage patterns to convey information.

For example, homeowners with sustainability in mind may use a smart water management system to detect patterns in water usage and potential problems based on these patterns, alerting them to preventative maintenance needs that save time and headaches down the road.

Another major industry trend is labor and material shortages. As seasoned plumbers retire and fewer young people enter the trade, the industry faces a critical gap in workforce replenishment, which increases pressure on those still in the field. But AI can provide a reprieve.

For instance, functioning leak detection systems can quickly identify leak locations, saving plumbers time and resources. Additionally, AI that analyzes plumbing system patterns and suggests maintenance allows for a more focused approach during jobs. 

Technology and AI are increasingly integrated into the plumbing profession through the use of back-end administrative tools.

The bane of many people’s existence, tasks such as scheduling, payroll and online marketing, are essential to the survival of plumbing businesses, especially small businesses. Many are using home service software to make these operations smoother and more efficient. 

Some plumbing businesses have also used technology to employ chatbots on their websites to field customer inquiries and gather information so that an operator can spend less time fielding customer calls.

Many have implemented a wider range of payment methods preferred by customers adopting payment processing software and storing client information. The embedding of AI into these tools provides increased efficiency for back-office tasks and enables more focus on building their business

Hidden Risks

With the ever-changing state of the industry, however, plumbers must also be aware of the risks associated with the new technologies and the adoption of AI. 

The introduction of smart home plumbing technology means it is no longer business as usual. The products customers are now asking for can require a more tech-focused expertise as smart home plumbing devices and diagnostic tools incorporate AI.

While these products can enable quick and preemptive solutions, we know that technology can become unreliable as it ages, making it important to stay vigilant. When inspecting a customer’s plumbing system, double-check alerts from devices to ensure that the notification is accurate and perform quality checks on products prior to installation. 

Plumbers should also be aware of the recommendations they provide when speaking to customers. Plumbing professionals must be confident and knowledgeable when providing advice, especially with smart home technology products, to avoid any legal claims from customers.

For example, if a customer asks about products that can stop a leak from occurring and the plumber recommends a simple leak monitor that alerts to leaks – but does not stop them – instead of an automated shut-off valve that will turn off the water flow, then the customer could sue for the damage caused when a pipe bursts. 

Further, while more plumbers move online to market their business or incorporate new scheduling tools on their website to improve efficiency and overall customer satisfaction, it can also open a business to potential cyber-attacks and ransomware.

These attacks can completely stall operations, put customer data at risk, and more. Small businesses are especially vulnerable as they often don’t have an IT department to protect and educate their team. 

In all scenarios, the problems could lead to a long, drawn-out process, which may cause reputational damage and significant financial costs for the business.

So how can plumbers protect their businesses?

Knowledge is power: Plumbers must stay abreast of new technology and products being introduced into the industry. They should educate themselves and their teams on how these products are built, how to use them, benefits, drawbacks, and more to provide the most accurate information for clients when making recommendations and before installing on job sites.

Embrace technology: Homeowners have adopted technology and customers expect you to provide easy scheduling, instant quotes, and innovative solutions. If you don’t, your competitors will. 

Set clear expectations with customers in writing: Use written contracts with your customers – even on small jobs – that detail your scope of work and clearly outline what you will or will not accept responsibility for in the event something goes wrong. This is especially important if you are making product recommendations or selections for your customers, so you have some protection if the product doesn’t work as the customer expected.

Establish a tech relationship: In the same way plumbers advise clients on their expertise, so should they take advice from experts.  For those venturing into scheduling and payroll software, online marketing, or other back-end administrative tasks, consult IT professionals who can detect vulnerabilities and help implement new security measures to protect the business and client information.

Transfer some risk: The 2023 Hiscox Underinsurance in Small Business Report revealed that 75% of small businesses in the U.S. do not possess sufficient insurance coverage. This means that small business owners could be left with potential financial liability for any claim over and above their insurance limit, or anything that does not fall within the scope of their policy. 

For example, while general liability coverage covers claims from injuries or property damage during business operations, it does not cover negligence, missed deadlines, or faulty workmanship. Many owners believe it does and are surprised when claims get denied.

While not required, professional liability, also known as error and omissions coverage, is certainly recommended for those in the plumbing industry. Consider this: if a plumber installs a smart shut-off valve that turns out to be flawed and the customer’s house floods, they may be held responsible. Professional liability insurance can mean the difference between staying afloat and going under. 

Ensuring that you have the right coverage in place to protect against unforeseen circumstances safeguards the reputation and future of the business.

Tyler Peterson is the head of professional risks at Hiscox USA, a leading insurer for more than 600,000 U.S. small businesses, freelancers, contractors and others and is responsible for overseeing the Hiscox Professional Liability offerings.