California's new gig economy law requires employers to treat independent contractors as regular employees if the work they perform is central to the core mission of the company. (Photo: Shutterstock)
A new California law that reclassifies some independent contractors as employees, requiring they be offered a range of benefits and worker protections, will likely expand health insurance coverage in the state, health policy experts say.
But it might end up harming some workers.
That's in part because the law, which takes effect Jan. 1, could cut two ways. While inducing many employers to extend health insurance to newly reclassified employees, it might prompt others to shift some workers from full-time to part-time status to avoid offering them health coverage, or — in the case of some small firms — to drop such benefits altogether.
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