It isn’t a stretch to say that significant societal, economic and political changes can lead to new legal issues. Think about the last massive shift we saw – the Covid-19 pandemic. Everything in our lives changed in literally one week.
And now, just a few months into 2025, we find ourselves on the brink of another cultural shift. Inflation is rising again, social norms are changing and we recently elected a new administration.
So what does this mean for employers?
In simple terms, things are changing again. In not-so-simple terms, we’re likely about to see employees’ needs shift as they try to address these emerging and potentially complex issues, which may increase their demand for valuable benefits like legal insurance.
As a benefits professional, it’s important to understand these changes so you’re able to anticipate and address new legal needs for employees.
The Impact of Economic Fluctuations
During times of economic downturns, there are short-term effects and long-term effects. In the short term, more unmarried couples may start to move in together to share some of the costs of home ownership.
You might be wondering how this connects to legal insurance. If the unmarried couple who lives together breaks up, it leaves many questions about how to split up the assets and can lead to property disputes – especially if they had purchased a home together.
Additionally, people start to rely on credit cards more, and this debt can quickly pile on top of student loans, car payments and other bills. In fact, according to the Federal Reserve Bank of New York, non-housing debt increased over 25% between 2019 and 2024.
If employees are dealing with these financial issues on their own – without a legal plan – they may be distracted at work and overwhelmed by the attorney costs and time involved.
Social and Environmental Changes
Socially and environmentally, changes from the pandemic are still being felt today and leading to many of the trends we’re seeing for 2025.
During Covid, as more people worked from home, traffic violations declined. However, five years later, return to work orders and increasing travel have boosted traffic back to pre-pandemic levels. Because of this, we’re seeing a jump in traffic-related legal issues, like speeding tickets, DUIs and non-moving violations.
Also during the pandemic, courts were closed, which made it harder for some unhappy couples to get divorced. Additionally, many couples decided not to divorce so that they could keep their family life more stable during unprecedented times. But now, “gray divorces” – divorces between adults over 50 – are spiking around the country. This can lead to more complicated separations due to larger assets.
Political and Legal Landscape Shifts
When the new administration took office in early 2025, there were many immediate reversals and policy shifts from the prior presidency.
With the new administration, there will be an increased focus on immigration and its impact on legal issues. We anticipate seeing increases in work permits, family reunification and potentially adoptions.
This shift in the political landscape will increase the need for legal insurance plans. Employees will need to be protected from new and emerging legal issues, especially around immigration, DEI coverages and more.
Solutions for Managing Change
So as you review employee benefits in the coming year, don’t forget that significant societal, economic and political changes inevitably lead to new legal issues for employees. As a trusted partner, you can help give employees a place to turn for help when these issues come up.
For employers, this means adapting to these changes and anticipating the evolving needs of employees, which may include an increased demand for valuable benefits like legal insurance. By understanding these impacts, you can better support employees to ensure they are protected from emerging legal challenges.
