Corporate America has transitioned to remote work during the COVID-19 pandemic because of social distancing requirements. Forced to work from home, many employees have found that they enjoy their home offices and are saving money on gas, parking, and mass transit costs. Likewise, employers have the potential to save money on commercial real estate expenses. The past few months have shown that a remote workforce is feasible without sacrificing productivity.
In the insurance industry, many coverages are based on the assumption that work will be performed in a centralized in-person location. The pandemic has highlighted that many employment practices were outdated before this crisis and the changes now underway will have a profound impact on workplace insurance.
In this article, Milliman actuary John Klodnicki explains that the insurance industry must adapt in order to function in a post-pandemic world and navigate the “new normal” of a work-from-home economy.