Independent contractors now comprise 34% of the U.S. Labor Force, a number which is expected to grow to 40% by 2020. Workers who abandon the confines of traditional full-time employment for what is often termed the Gig Economy tend to report high levels of work life satisfaction, enjoying the autonomy and flexibility afforded by independent work. But bereft of the benefits and protections offered by full time employment, they are also exposed to new and changing risks–a trend the insurance industry of today has not adequately responded to. As more and more workers leave their full time jobs and/or supplement their incomes with independent work, what does this mean for the future of insurance?
Cake & Arrow, a customer experience agency that builds digital products for the insurance and ecommerce industry, today published a white paper based upon the results of a survey exploring the behaviors, mindsets, and attitudes of Gig Economy workers surrounding insurance. The survey defines Gig Economy workers as individuals who engage with employers through short-term contracts and freelance work rather than full-time employment. Entitled Insurance in the Age of the Gig Economy: What happens to insurance when business gets personal?, the newly published white paper provides insight into:
- To what extent Gig Economy workers are insured for their independent work;
- How Gig Economy workers understand and assess their own risks as independent workers, and;
- How the insurance industry as a whole might better meet the changing needs of Gig Economy workers.
"The insurance industry is still largely split along clear cut lines of what is personal and what is commercial. What our research has told us is that the existing model is no longer reflective of the needs of a large population of the U.S labor force, whose personal and professional lives are increasingly co-mingled," said Christina Goldschmidt, the VP of Customer Experience & Design at Cake & Arrow, and one of the authors of the white paper. "Using the results of our survey of 55 Gig Economy workers, this white paper demonstrates how the insurance industry is failing to address the changing needs of a growing population of Gig Economy workers, and proposes a model for what a successful insurance carrier in the age of the Gig Economy might look like."
To learn more, download a complimentary copy of the white paper here: http://go.cakeandarrow.com/insurance-in-the-age-of-the-gig-economy