By Tom Taulli, Contributor |Entrepreneurs
Sept. 29, 2018 | Forbes
In a relatively short period of time, the gig economy has exploded. There is an estimated 150 million people who participate, both in the US and Western Europe.
While there are clear benefits for gigworkers – such as the flexibility – there are certainly downsides. Part of the problem is that our legal and financial systems have not adjusted quick enough.
“Whether you are a full-time or part-time freelancer,” said Woody Klemmer, who is the co-founder and COO of Laborocity, “do yourself a favor and research your rights, read terms of services carefully when working with on-demand platforms, and take full advantage of tax write offs and other cost savings.”
This is definitely good advice – and can save you quite a bit of aggravation.
So let’s take a deeper look:
Insurance: Large providers like Uber and Lyft do provide for some basic protections. But they are probably not enough.
“You should be prepared for increasing insurance requirements, as organizations working with freelancers and entrepreneurs are always looking for ways to further mitigate risk,” said Jeff Wald, who is the founder and senior vice president of WorkMarket (this is an ADP company). “The lack of insurance by freelancers and gig economy workers is likely one of the bigger impediments to the growth of the on-demand economy over the past few years.”
The type and level of insurance depends on the nature of the work you perform. But as a general rule, Wald says to consider General Liability, Professional Liability, Automotive and Worker Compensation policies, usually with a limit over $1 million. Read the full article.