Today I am discussing safety nets for Freelancers in the gig economy. I get a lot of questions about insurance and protecting yourself when you’re sick. Not only am I going to share some tips with you today on that, but I’ll also share a new company I found that will help you a lot with that safety net you need as a freelancer.
First, as a freelancer, general liability insurance is always a good idea. When someone seeks damage reimbursement from work you’ve done, you’re going to want general liability insurance.
Also, you should consider professional liability insurance. This is also called Errors and Omissions Insurance, aka E&O. This covers legal expenses when a client claims negligence from the work you’ve done.
Guys, it’s no secret that the American economy has been hit hard by the CoronaVirus, but what isn’t getting talked about is how this will affect the Gig Economy, specifically app-based workers. By the end of August, it’s expected that more than 35 million Americans will lose their jobs and many of them will sign up for gig work. The number of gig workers — your uber drivers, Postmates couriers, and Instacart shoppers — will increase by more than 25% by the end of this year 2020. Also, for the first time in the history of the gig economy, gig workers are qualified to receive unemployment benefits if their work has significantly decreased due to COVID. This is a huge step for gig workers and as more and more people turn to the gig economy for income, the question becomes, “How can we make the gig economy sustainable?”
The purpose of this post is to get you thinking about the sustainability challenges associated with gig-based work. If you’re a freelancer, you’re in it, so you have to be thinking about stuff like this. It’s a difficult industry if you’re trying to save for the future, or deal with unexpected income loss. What happens if you get in a car accident, or just an accident in general, and get hospitalized? As a gig worker, you have few support poles to rely on. Your work stops but your bills don’t. As a nation, and throughout the world, we need to get people thinking about the gig economy future and how to work towards a better one.
So I promised you at the beginning of this video a hot tip. I recently found out about this start-up called Kover (this is an affiliate link that will allow you to get your first month free!). I’m about to dive deeper into it this week, but it looks like for $7/month you as a gig worker can start getting coverage. They have 3 plans that cover things like accidents and hospital bills.
So you’ll get access to healthcare, you’ll get access to legal help, you’ll get access to sick leave. This is the reason that most people have to rely on that 8-5 job they force themselves to go to, for protection like that. Now, you are empowered to be a gig worker because companies like Kover are stepping up to help the gig economy grow through protection.
Anyway, I hope this got you thinking a little bit about the things that can happen as a gig worker, and the resources available to you if they do happen.