In the last few years, “gig work” and “gig economy” have become some of the most common buzzwords. What is gig work, though, and why is it such a hot topic? Gig work refers to work that typically happens on a freelance basis, with workers deciding their own hours and schedule. Common examples include rideshare drivers and food deliverers. Many people enjoy the freedom that gig work affords; some say it may help them prepare for a recession. Learn more about the benefits of gig work and why gig workers need general professional liability insurance.
Gig Workers Need General Professional Liability Coverage
Gig workers often face a disproportionate liability burden due to the nature of their work. While a traditional employee enjoys the protection of their employer, a gig worker is typically self-employed, meaning they are fully responsible for any allegations or liabilities that may emerge. A general professional liability insurance policy can shield gig workers from this possibility and ensure that their assets are not vulnerable.
Gig Work Opportunities Can Fill Financial Gaps
Many experts are warning that a recession is on the horizon. It means that unemployment rates will rise and consumer spending will decrease. Many people live paycheck to paycheck and struggle to cover their expenses, so that a recession will worsen these problems for countless people. Luckily, the gig economy can fill the financial gaps that will likely emerge in a recession and provide people with a new source of income. Having a gig economy job and a full-time job can provide a sense of financial security.
More Positions Will Transition to Gig Work in a Recession
Many will likely see their jobs transition to a gig position if a recession occurs. Companies will seek ways to reduce costs, and layoffs are, unfortunately, a common solution. Many positions that employers eliminate may undergo a reconfiguration, though, and ultimately become gig economy jobs. Anybody wondering how gig work can help you prepare for a recession should understand this trend. As more employers prioritize gig positions, workers will need to adjust to the changes that a recession brings.
General Professional Liability Insurance Is Essential
Employees who work a standard 9-to-5 may not have to deal with the liabilities that gig workers face, but gig workers enjoy greater freedom — and they may be better prepared for a recession, too. With more people pursuing gig economy work, it’s more important than ever that insurers offer general professional liability coverage to these professionals. Gig jobs shouldn’t leave workers vulnerable to litigation and losses, and with the right insurance policy to rely on, it won’t.
About World Wide Specialty Programs
For the last 50 years, World Wide Specialty Programs has dedicated itself to providing the optimal products and solutions for the staffing industry. As the only insurance firm to be an ASA commercial liability partner, we are committed to that partnership and committed to using our knowledge of the industry to provide staffing firms with the best possible coverage. For more information about Staffing Professional Liability Insurance or any other coverage, we have available to protect your staffing business, give us a call at (877) 256-0468 to speak with one of our representatives.