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DECEMBER 2018 | FUTUREOFBUSINESSANDTECH.COM

An Independent Supplement by Mediaplanet to USA Today

Empowering Freelance Workers

Caitlin Pearce shares how freelancers are changing the workforce despite several occupational risks

DISCOVER Lindon Leader’s top rules for starting a successful design career while satisfying clients LEARN why it is essential for freelancers to consider professional and general liability insurance

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geico.com/business | 1-866-509-9444 Some discounts, coverages, payment plans and features are not available in all states, in all GEICO companies, or in all situations. Commercial auto coverage is underwritten by Government Employees Insurance Company. Business operations and property coverages, and in some cases commercial auto coverage, are provided through GEICO Insurance Agency, Inc., either under an arrangement with Berkshire Hathaway afﬁliates or with non-afﬁliated insurers. GEICO is a registered service mark of Government Employees Insurance Company, Washington, DC 20076; a Berkshire Hathaway Inc. subsidiary. GEICO Gecko image © 1999-2019. © 2019 GEICO

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Small Business Isn’t Simple Business From restaurants to real estate, lawyers to landscapers and accountants to antique dealers, small business insurance is rarely straightforward. Small business owners face several difficulties when attempting to find the right coverage. However, only 21 percent of small businesses are leveraging recommendations about coverage from outside experts. There are tens of millions of small businesses in the United States, and trends such as the gig and sharing economy suggest that the number of Americans working independently outside traditional business models is growing. However, going it alone means that these individuals must face an array of insurance challenges themselves. Finding the right coverage For instance, many home-based businesses believe their homeowners policy covers business exposures, but there is likely no protection for business liability, property damage or business-interruption coverage. Options for homebased businesses, such as an in-home business owner’s policy and incidental business endorsements, can be obtained, but depending on a business’ activity, may not provide complete coverage. Furthermore, business owners must consider other protections such as life insurance, health insurance, disability protection and workers’ compensation. The same applies for working via app-based companies like Uber, GrubHub or Upwork. Unfortunately, there’s no one-size-fits-all coverage, and even though your business might seem small, your insurance needs are never simple. Additionally, your small business might not stay small for long, which means frequently reviewing your insurance needs with a qualified and licensed insurance professional is imperative. Will Jones, Assistant Editor, IA Magazine

How Freelancers Are Changing the United States Workforce Freelancing has seen tremendous growth in the past decade. There are 57 million independent workers across the United States, and at its current trajectory, freelancing could represent a majority of the workforce in the near future. Caitlin Pearce

ity, which makes it difficult to save money and can result in debt. Freelancers are navigating this new economy by adapting, learning and re-tooling. Freelancers are constantly looking for work and testing the market, and they realize they need to have cutting-edge skills. They value training and seek it out actively at a much higher rate than traditional employees, although many struggle with the cost.

Executive Director, What was once considered a niche Freelancers Union way of working has now become mainstream, as technology has A need for political support enabled employers to access a fluid, remote and global As freelancers grow in number, they are starting to workforce. Meanwhile, more and more people are collectively establish a political voice that will only transitioning into freelancing for the flexibility and grow more organized. We’ve seen some early signs autonomy it can offer. When asked whether they that freelancers are going to be a politically importwent independent by choice or out of necessity, 61 ant voice, and policymakers on both sides of the aisle percent of freelances answered “by choice,” which is should take notice. Freelancers badly need better proup 8 points since 2014. tections and a stronger safety net, and a large majority of freelancers say they would cross party lines to Workforce risks vote for a candidate that supports their cause. That said, freelancers shoulder a great deal of finanYounger generations are freelancing at a higher cial risk and face the burden of managing a business rate, and many may never have a traditional job. on their own. They often lack basic workplace protec- As we look toward the future, we need to design an tions and access to employer benefits, which makes updated system for this new era of work so indepenit especially difficult to find affordable insurance. dent workers can have the strong workplace protecAs a workforce that must piece together an income tions and safety net they need to thrive. n stream gig by gig, freelancers often aren’t getting paid on time and experience great income unpredictabil- Caitlin Pearce, Executive Director, Freelancers Union

Publisher Shira Peretz Business Developer Gretchen Pancak Managing Director Luciana Olson Designers Chris Espino, Tiffany Pryor, George Kalache Copy Editor Lauren Hogan Director of Sales Shannon Ruggiero Director of Business Development Jourdan Snyder Director of Product Faye Godfrey Lead Editor Mina Fanous Production Manager Josh Rosman Production & Social Media Coordinator Bria Mastroianni Cover Photo Hatnim Lee All photos are credited to Getty Images unless otherwise credited. This section was created by Mediaplanet and did not involve USA Today. KEEP YOUR FEED FRESH. FOLLOW US @MEDIAPLANETUSA

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Why Freelancers Need to Consider Professional and General Liability Insurance SPONSORED

insurance before they’ll hire a freelancer or consultant. “Not having the appropriate protection could slow down the process, or cause the job or contract to go to another business or freelancer with the appropriate coverage,” says Keohane, noting freelancers can sign up quickly and get immediate proof of insurance so there’s no disruption in getting work. Business liability insurance isn’t expensive, especially when you factor in the peace of mind that comes with being protected. Nine in 10 freelancers surveyed by Freelancers Union say the industry’s best days are still ahead. Protecting yourself and your business against claims can help keep that optimism alive. n

One in 3 Americans did freelance work in the past year and as that number continues to grow, so too does the necessity for freelancers to consider insurance. Fifty-seven million American workers are freelancing, compared to 53 million four years ago. That’s according to Freelancers Union, a labor organization representing independent workers across the country. For their “Freelancing in America” report, Freelancers Union and Upwork surveyed 6,001 U.S. adults who had done paid work in the past year. They found Americans are spending over 1 billion hours per week freelancing and 84 percent say they’re living their chosen lifestyle. Still, all that hard work presents other challenges: income predictability, access to affordable health care and wanting to get paid more. Sixty-three percent of freelancers report feeling anxious about the things they have to manage such as financials, taxes and insurance. Preparing for risks “It’s incredibly important for any business owner or freelancer to understand and prepare for potential risks associated with the work they do,” says Shannon Keohane, Director of Commercial Sales and Service at GEICO. “Even with the best intentions, the services they provided may ultimately result in damage to a client or customer.”

Kristen Castillo

She advises freelancers to get insurance for greater peace of mind. Luckily, GEICO offers a variety of business insurance products to fit your needs. Their licensed, professional agents can help you obtain the policy that’s right for your business; from Commercial Automotive, General Liability, Professional Liability and more. “So, when you’re out there doing what you love to do, you can rest assured that you have coverage for those potential risks,” she says. Choosing coverage Professional liability insurance (PL) or errors and omissions coverage, typically covers alleged mistakes or negligence, copyright infringement and personal injury claims, including libel and slander, whether or not those claims are valid. PL protects freelancers against business mistakes made through decisions or advice, as well as for

the legal defense costs associated with those claims. This type of insurance is available for a wide variety of independent worker fields, including IT consultants, photographers, beauticians, mental health counselors and real estate professionals. If the advice or consultation you provide causes damage, you could be liable. For example, if a client hires a photographer but then doesn’t feel the end product meets the original contract or specifications, the photographer may be liable. “This exposure is often overlooked in the freelance arena, but coverage is vital to ensure the appropriate protection,” says Keohane. General liability insurance (GL) covers claims that happen as a result of doing regular business. For example, it will protect freelancers if their client is physically injured or their property

is damaged as a result of their business operation. “If the services provided create the opportunity to cause damage to a third party, GL coverage is critical,” says Keohane. GL coverage is recommended for many freelancers, including real estate agents, landscapers and contractors, marketing and IT professionals. The danger of not having PL or GL insurance policies means that freelancers could become personally liable for damages arising out of the services they provide. Good business Freelancers may not realize the risks associated with their work, or they may think they’re OK since they’re not an incorporated business. But neither is true. Having insurance is simply good business. These days, it’s common practice for businesses to require proof of liability

THE ABOVE IS MEANT AS GENERAL INFORMATION AND AS GENERAL POLICY DESCRIPTIONS TO HELP YOU UNDERSTAND THE DIFFERENT TYPES OF COVERAGES. THESE DESCRIPTIONS DO NOT REFER TO ANY SPECIFIC CONTRACT OF INSURANCE AND THEY DO NOT MODIFY ANY DEFINITIONS, EXCLUSIONS OR ANY OTHER PROVISION EXPRESSLY STATED IN ANY CONTRACTS OF INSURANCE. WE ENCOURAGE YOU TO SPEAK TO YOUR INSURANCE REPRESENTATIVE AND TO READ YOUR POLICY CONTRACT TO FULLY UNDERSTAND YOUR COVERAGES. COMMERCIAL AUTO COVERAGE IS UNDERWRITTEN BY GOVERNMENT EMPLOYEES INSURANCE COMPANY. OTHER BUSINESS INSURANCE AND IN SOME CASES COMMERCIAL AUTO PRODUCTS ARE PROVIDED THROUGH GEICO INSURANCE AGENCY, INC. UNDER AN ARRANGEMENT WITH AFFILIATED AND NON-AFFILIATED INSURERS. GEICO IS A REGISTERED SERVICE MARK OF GOVERNMENT EMPLOYEES INSURANCE COMPANY, WASHINGTON, DC 20076; A BERKSHIRE HATHAWAY INC. SUBSIDIARY. © 2018 GEICO

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The gig economy — a labor market of freelancers doing shortterm contract work outside the norms of traditional employment — is alive and growing. We’re experiencing a fundamental shift in the employment landscape that attracts individuals who want to build a flexible work schedule around their chosen lifestyles. The gig economy does that for many freelancers, but this new work ethic carries risks as well — the loss of job security and irregular paychecks among them. A new way to work Newcomers to freelancing face a strange and sometimes daunting new world. Their former workplace colleagues are now their competitors for work, and their employers have signed on for short-term contracts only. Working without a formal support system, freelancers often battle insecurity and depression while facing the stresses of uncertain assignments and isolation from colleagues, friends and family. There are no reliable estimates for the number of freelance writers working today, whether they’re writing full-time or as a side hustle, but it’s fair to say that we are a relatively small segment of the entire gig economy. It’s also fair to say that freelance writers may be the best qualified segment of the entire freelance labor market to successfully balance the opportunities and the pitfalls of living in the gig world. We’ve been freelancing for a long time, and along the way, we’ve learned a few things about making it work. Most important is the realization that being a freelancer doesn’t always mean that you must go it alone. Finding community A community of independent entrepreneurs competing for the same jobs sounds like a contradiction in terms, and in some ways that’s true. But a community of freelancers can provide benefits that would be difficult or impossible for an individual to obtain on his or her own. Find your community, even if you must build it. Navigating the gig economy will be easier with colleagues who will inspire you, who will encourage you and who will have your back no matter what happens. Milton C. Toby, J.D., President, American Society of Journalists and Authors

An Expert’s Rules for a Successful Design Career “Simplicity and clarity” is the twoword design philosophy of Lindon Leader, a preeminent corporate designer known for numerous ubiquitious logos, such as FedEx’s. Companies of all sizes are increasingly seeking out a brand identity to set them apart. Brand identity, Lindon Leader, founder of Leader Creative, explains, “provides the client with an integrated system of graphic and verbal elements that serves to distinguish the client’s offering from competitors.” Leader reminds designers that when it comes to working with clients, you’re there to advise, not insist. At the end of the day, it’s the client’s role to make the decisions. However, you should still approach client work with consistency, clarity and confidence.

ILLUSTRATION: GEORGE KALACHE

Why Freelancers Need a Community Too

Working with clients “If a client asks why you recommend a particular design and you respond, ‘I don’t know, I just really like it,’ you won’t get very far in the corporate design world,” Leader says. When you present your work with objectivity, creativity and responsibility, “the client will make the right decision.” Though it may seem that good work speaks for itself and will catapult its creator to design-world glory, the creative product is only a small piece of the puzzle. For example, being able to work with clients and research a client’s competition aren’t just nice additions to your main offering. Pure creativity is a mere 20 percent of a corporate-identity project, Leader’s first boss told him, and “the other 80 percent is consumed by new business marketing, writing proposals, strategy, research, client service, billing and running an office.” Leader now offers the same caution he was given to aspiring firm owners: “If you can’t deal with the other 80 percent, become a sculptor.” Advice to beginners Reflecting on his early days as a designer, Leader acknowledges that young freelancers may both accidentally and deliberately undervalue themselves, engaging in projects for less than the going rate as they’re building their portfolio. “A little money is better than no money when one is just starting out,” he shares, adding that it can be “hard to walk away from a project even though you know the prospect is taking advantage of you.” Leader recommends all designers pick up a copy of “Graphic Artists Guild Handbook: Pricing & Ethical Guidelines,” which is updated to reflect inflation, and is now in its 15th Edition. Finally, Leader reminds freelancers that though they may feel like they have a lot on their plate, one thing they shouldn’t concern themselves with is copyright infringement. “Trademark search and registration is rightly the obligation of the client, not the designer,” he shares. n Emily Gawlak

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The Freelance Engagement Formula That Will Supercharge Your Workforce

We recently conducted a survey of over 1,200 women from diverse backgrounds, some currently in the workforce and others not, and asked them to rank 10 workplace factors — ranging from role clarity to leadership — in order of importance. Here are the top 5 ranked from greatest to lowest impact score. Flexibility Make it widely understood that your company offers flexibility in all of its various forms. Respect While many look at freelancers as additional to full-time, salaried employees, it is important to make your freelance talent feel included and valued throughout the organization, from both leadership and their peers. Development Your freelance talent craves the same type of accountability and opportunities for growth as your full-time staffers. Be sure to connect with your freelancers regularly and provide them with productive feedback so they can continue to grow. Leadership This one starts at the top. Make sure your leadership team demonstrates early and often that people — regardless of their role or working status — are the most important factor in determining your company’s success. Role clarity Make sure your freelance talent has a clear understanding of what their role is, how it connects to the larger team, and how their work is helping the company to achieve tangible success. While some require a heavier lift to implement than others, these factors can all have an incredible impact on your company’s ability to get the best work out of freelance talent and retain them for the future. Building a culture of shared success and happiness is the best way to catapult your organization to the next level — and invite your freelance talent along for the ride. Dr. Pamela Cohen, Ph.D., Principal Researcher, The Mom Project

5 Fundamentals for Taking Charge of Your Career There’s no such thing as an instruction manual for success. It’s up to you to ensure that you make the most of your time.

ILLUSTRATION: GEORGE KALACHE

Over 40 percent of workers in the United States are now employed in “alternative work arrangements,” and in the past five years, that number has increased by 36 percent.

e still operate in a work world governed largely by men, but happily, women can equip themselves to succeed even on an uneven playing field. As president of the National Association for Female Executives, I offer a handful of strategies shared with me by successful female executives: five fundamentals for firing up your own career.

targeted advice, but who also will use their clout to land opportunities for you. Unlike a mentor who advises you privately, your sponsor actively advocates for your advancement. But remember that since they will spend their capital on you, they must know and admire your work and capabilities, so you must earn their trust and respect.

1. Plan it out If you aspire to reach the top ranks, clarify your career direction early. In corporations, firms, foundations and nonprofits alike, you’ll find two paths. One includes jobs running the business (“line” or operations positions), and the other includes the support functions (“staff” jobs like human relations, communications, legal and finance). Chief executives must have had bottom line, profit and loss (P&L) responsibility with direct involvement with products, services and/or customers. You may love the influence that comes with these roles. To date, few women have trickled through this requisite pipeline to the top, so if your ambition inclines you in this direction, set yourself a two-year goal to land a P&L position.

4. Network Nobody makes it alone. Consider networking as part of your job. Women tend to focus on getting tasks done, but men understand that hanging out and talking also equals working — they’re making connections and learning about opportunities. So join company networks, industry groups, nonprofit boards, PTA. Networking is the process of building mutually beneficial relationships, so encourage your networks to rely on you as you do on them — for job openings, new connections and hot tips.

2. Perform beyond expectations Always deliver more, on time or ahead of schedule. Impress people over and over, and build a track record, which counters the competency barrier that women still face. Results take time to accrue, so keep it up. Rocksolid performance — day in and day out — garners attention and respect.

5. Don’t hide your light Boys start boasting early, while girls learn modesty — and may face real penalties when not demure. But women don’t get ahead if people don’t know about their accomplishments and skills. Develop a three-minute story about yourself that includes your key successes and captures your enthusiasm and excitement. Practice it in front of your spouse, your friends, your mirror. And don’t neglect to report your achievements to your boss, sponsors, mentors and even your network. n

3. Find sponsors These are people who will offer critical feedback and

Betty Spence, Ph.D., President, National Association for Female Executives

Are you ready? Join the movement.

The Mom Project connects talented professionals with employers for high-skill freelance opportunities.

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