There are at least 1.6 million gig economy workers in the U.S., according to the Bureau of Labor Statistics. That's just 1% of the country's workforce, but research shows they're tremendously underserved when it comes to health and other benefits. And that means this small segment could have big sales potential.
Most gig workers have poor access to benefits
Only 20% of gig workers have access to any benefits through the employers they work for, according to an Eastbridge survey of independent contractors and 1099 employees last year. For those who do have access to benefits, the offering is most often medical insurance (68%), followed by prescription drug coverage (42%), dental insurance (39%) and vision coverage (26%).
It's not surprising employers are most likely to offer core health products to gig workers, but other products are available more often than you might think, including short-term disability (23%), accident (16%), AD&D (16%) and legal plans (16%).
Gig workers are hungry for more benefits
Most gig workers surveyed say access to core benefits such as medical, dental and vision is important or very important. But many are interested in additional coverage: More than a third (34%) place high importance on access to voluntary benefits, and a fourth also say it's important to have access to nontraditional benefits such as identity theft protection, mental health or legal plans.
Continue Reading for Free
Register and gain access to:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
