• Career & Money

Are You Self-employed? Here's What You Need to Know

4 min

For a long time now, the way we work has been evolving.  Fewer people are finding themselves in the same career, and at the same company for years and years.  Companies are recognizing the value of adapting their workplace customs to increase productivity.  Rigid structures and inflexible hours are luckily becoming more outdated.  More and more of us are creating new environments in which to generate income; be that acting as independent contractors, freelance consultants, entrepreneurs, or registering as self-employed. 

While this shift is no doubt beneficial for overall economic growth, not to mention wellbeing and innovation, what does that mean for the traditional protections we might have enjoyed in traditional roles? 

Protecting Your Un-traditional Future

Being self-employed or working as a freelancer can be hugely rewarding for both the individual and society as a whole.  Economics professor Stephan Goetz shared in a Forbes article that, “A higher share of self-employed workers in a county was unambiguously associated with greater resilience," when comparing international bounce backs to recession events.  In early 2020, over 36% of the US workforce participated in the gig economy and the freelance income was almost $1 trillion. With the recent pandemic still impacting industries around the world, these numbers are only likely to grow.  Which is a really good thing. 

Freelancers or self-employed entrepreneurs are changing the way we work, like the products we use, the services we rely on, and are also shaping the type of environment we should expect from our employment.  The ability to work from home and with more flexible hours allows individuals to increase their income and productivity, adapt their schedule to suit their home life, and improve their overall wellness and overall health; and that’s only part of it.  The creativity and innovation of certain ‘disrupter’ freelancers help society expand exponentially as a whole.   But the major downside is that less than half of those freelancers have access to employer-provided benefits.  That means individuals aren’t covered if they get sick or injured or a wellness issue means they can’t work for a long period of time.  That is where income insurance comes in.

Evaluating Priorities

Although freelancing or being self-employed can be empowering and exciting; especially for those innovating new ideas as entrepreneurs, it can also be somewhat stressful.  Without firm long-term contracts or the traditional employment agreement, weekly or monthly incomes may not be as predictable.  Without employer resources, like HR, accounting or admin, freelancers have to determine how best to manage their situation and where to spend budget most effectively.  Those in the early stages might struggle to justify a financial commitment related to insurance, but in reality, it's a risk they can’t afford to take.   

We all have financial responsibilities, be that rent or dependants, car payments, or groceries.  If you suddenly find yourself unable to work, how will you meet those obligations?  What happens if you can’t pay rent for several months?  Those with the drive and creativity to pursue their own career path shouldn’t have to contend with these questions more than others – nothing should hold them back from following their dreams. 

Stress-free Productivity

We know those scenarios can sound bleak, but the risk doesn’t go away just because we don’t like talking about it. At Asteya, we want to help you face your fears and empower your future so that you can lift that stress for good.  If you have peace of mind about your financial safety net, you can get on with living today to the fullest. Income insurance can alleviate your worries and protect your financial future, for you and your family.   No matter what industry you work in, the impact of being unable to work for a year or longer could be devastating. You need to ensure that you are protected so that if the worst happens you aren’t also faced with crippling financial issues or an inability to pay for essential treatment.  It isn’t rocket science; a small commitment now could save you dividends in the future. What are you waiting for?

See our income insurance pricing here.

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