A system and method for improving power consumption by providing the ability to detect whether a cover is placed on top of Infrared, IR, touch device. While the cover is in the open state, a certain amount of the light transmitted by the IR transmitters is directed upward and away from the IR receivers in the device. When the cover is closed, this light is reflected off of the cover and is incident on the IR receivers. The system of the present invention recognizes this increased level of received IR light and determines that the cover is in a closed position. Having made such a determination that the cover is placed on the device, the device's power savings system can switch to an appropriate power saving mode.