Gig Economy in Insurance - Thematic Intelligence
Summary
The gig economy is a predominantly IT-enabled workplace for jobs, where jobseekers can opt to do certain jobs and be paid upon the completion of the task. The rise in smartphones and job platforms over the last decade has seen the trend explode and become a key technology theme. The basis of the gig economy - people wanting to outsource tasks to temporary workers - has always been around, via word of mouth or job postings on town hall noticeboards. It is the technology that has turned the gig economy into a key theme across a range of industries and consequently created a large and sudden insurance gap.
The sharp rise of the gig economy in recent years has created an insurance gap. More and more people entering the gig economy - often without experience of freelancing and the risks associated with not being a full-time employee - has created a high level of underinsurance. This gap is growing according to GlobalData survey data, so this represents a significant opportunity. The challenge insurers face is reaching these freelancers (who range across various sectors of the gig economy) and then convincing them they need insurance. This will be even more difficult in a cost-of-living crisis, when people taking up extra jobs to top up their income may be reluctant to give some of it away to insurers.
Scope
- GlobalData’s 2022 Financial Services Consumer Survey found that among the 40 geographies covered, an average of around 10% of consumers are part-time workers.
- 14.5% of UK adults intended to take up a second job in the gig economy in the immediate future according to GlobalData’s 2022 UK Insurance Consumer Survey
- Allianz, Zurich, and AXA are gig economy leaders among the traditional players, while Zego is the standout among startups.
- Benchmark yourself against the rest of the market.
- Ensure you remain competitive as new innovations and insurance models begin to enter the market.
- Be prepared for how regulation will impact the gig economy in insurance theme over the next few years.
- Executive Summary
- Players
- Thematic Briefing
- Insuring the gig economy
- What is the difference between the gig and sharing economies?
- A broad range of companies in the gig economy impact the insurance industry
- Trends
- Technology trends
- Macroeconomic trends
- Regulatory trends
- Industry Analysis
- Market size and growth forecasts
- Gig economy use is substantial and varied around the world
- Gig economy workers in the UK
- High underinsurance means the gig economy has vast untapped potential for insurers
- Automation and regulation represent the biggest threats to the industry
- Use cases
- Uber is a strong example of high-profile partnership opportunities for insurers
- Zego has become an insurtech unicorn due to its rise in the gig economy
- Mergers and acquisitions
- Company filings trends
- Patents trends
- Social media trends
- Timeline
- Value Chain
- Product development
- Insurers
- Regulators
- Brokers
- Marketing and distribution
- Insurers
- Brokers
- Aggregators
- Independent financial advisors (IFAs)
- Embedded insurance
- Underwriting and risk profiling
- Claims management
- Customer service
- Companies
- Public companies
- Private companies
- Sector Scorecard
- Gig economy in insurance sector scorecard
- Who’s who
- Thematic screen
- Valuation screen
- Risk screen
- Glossary
- Further Reading
- GlobalData reports
- Our Thematic Research Methodology
- About GlobalData
- Contact Us
- List of Tables
- Table 1: Technology trends
- Table 2: Macroeconomic trends
- Table 3: Regulatory trends
- Table 4: Mergers and acquisitions
- Table 5: Public companies
- Table 6: Private companies
- Table 7: Glossary
- Table 8: GlobalData reports
- List of Figures
- Figure 1: Who are the leading players in the gig economy in insurance theme?
- Figure 2: Global food delivery is becoming nearly as popular as eating in restaurants
- Figure 3: Asia and Australasia has the highest level of food deliveries
- Figure 4: Over half of global consumers order a food delivery multiple times a month
- Figure 5: Over one in 10 consumers from the Middle East and Africa have food delivered daily
- Figure 6: Older generations are much less likely to work in the gig economy
- Figure 7: The cost-of-living crisis has driven people into the gig economy
- Figure 8: The gig economy covers a wide variety of skills
- Figure 9: There remains vast potential for growth within the insurance space
- Figure 10: Handymen and taxi drivers are the most likely gig workers to have taken out insurance
- Figure 11: Gig workers are vulnerable due to the lack of workers’ benefits they receive
- Figure 12: Full-time workers are over twice as likely to receive private health insurance through work
- Figure 13: Nearly one in two part-time workers would like to be offered critical illness cover
- Figure 14: Over half of part-time workers would like to be offered income protection insurance
- Figure 15: Part-time workers are less likely to want life insurance
- Figure 16: There remains vast potential for growth within the insurance space
- Figure 17: Uber now makes almost as much money from delivery as mobility
- Figure 18: Uber’s active users bounced back after COVID impacted its 2020 results
- Figure 19: Zego offers cover by the hour, day, and month
- Figure 20: Gig economy-related mentions in insurance company filings, 2016–22
- Figure 21: Key words associated with the gig economy in insurance theme in company filings
- Figure 22: Patents for the gig economy in insurance theme, 2020–22
- Figure 23: Key words associated with the gig economy in insurance theme on social media
- Figure 24: The gig economy in insurance story
- Figure 25: The insurance value chain
- Figure 26: Who does what in the gig economy in insurance space?
- Figure 27: Thematic screen
- Figure 28: Valuation screen
- Figure 29: Risk screen
- Figure 30: Our five-step approach for generating a sector scorecard
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