Gig workers already make up a massive portion of the U.S. workforce – 57.3 million people, or 36 percent of all American workers, according to one estimate. What’s more, it’s growing fast – three times faster than the total workforce. And as the gig economy grows, it must evolve. One area where it has fallen behind is in the insurance coverage of gig workers.
That is, too many of them don’t have it. It is estimated that over 60% of gig workers are operating without business insurance. This absence of coverage represents a threat to both gig workers and those who employ them, and it’s an unnecessary risk that can be solved with policy coverage specially designed for the gig economy. SynchronoSure has developed an answer to this need, which also marks an opportunity for producers: it’s called GigBOP®.
What Is GigBOP®?
GigBOP® from SynchonoSure is package insurance for gig workers, contractors, freelancers and all the hard-to-define one-person bands found in the workforce. Coverage includes business personal property, business liability and miscellaneous professional liability, uniquely crafted to meet the needs of gig workers and modern small businesses. GigBOP® is available in all 50 states on an excess and surplus lines (E&S) basis.
Why GigBOP® Is Superior to Standard Insurance Coverage
Most homeowners (HO) insurance policies offer only $2,500 in protection for on-premises business equipment and $500 for off-premises – and often provide no business liability coverage at all. GigBOP® offers higher policy limits than a home business endorsement for business personal property and general liability coverage. Here are the important details:
- $250,000 for business personal property
- From $100,000/$200,000 up to $1,000,000/$2,000,000 for business liability
- From $100,000 up to $1,000,000 for miscellaneous professional liability
- Excess liability for up to $5,000,000 available
- Service and retail enhancement endorsements available
- Drone liability available
Additionally, SynchronoSure’s GigBOP® can provide coverage for professional liability, theft, employee benefit liability and hired and non-owned auto liability. GigBOP® allows a broader range of acceptable business types than most HO endorsements. While most other insurers won’t cover businesses bringing in more than $250,000 in annual revenue, GigBOP® can cover a business with up to $5 million in annual revenue and 25 employees, including the owner.
How GigBOP® Helps Both Clients and Producers
GigBOP® is designed to protect gig workers and small business owners who may not understand their potential business liabilities, and who very likely aren’t appropriately covered by their traditional policies. Many of these potential clients don’t have the funds to invest heavily in legacy supplemental insurance, but GigBOP® lowers the barrier to entry with a minimum liability limit for new businesses of $100,000.
This benefits both clients and insurers, delivering needed coverage to an underinsured population and opening up a new market to producers. With the gig economy continuing to expand and so many of its workers in need of enhanced risk management coverage, the business opportunity for producers is a considerable one. (SynchronoSure even pays competitive monthly commissions on premiums collected.)
Want to learn how to become a producer and begin accessing GigBOP® for your own clients? Get started here, and start delivering your clients competitive binding quotes in just minutes.
