Where To Start with Services and More

  • Posted by: risa
  • 2017-03-17

Where To Start with Services and More

A Guide to Staffing Company Insurance If you are going to start a staffing company, you need to remember that before you send out your first temporary employee, you must have adequate business insurance in order to conduct business. The Worker’s Compensation and General Liability Insurance is the basic insurance that every staffing company has to purchase. Together with the basic insurance, it would be good for companies to also purchase a G/L policy that will include Professional Liability Coverage and Errors and Omissions(E & O) coverage. The biggest challenge faced by a staffing company is finding an insurance company that truly understands the staffing business. Working with someone who understands you business will help you secure proper insurances for your business. There is a challenge when underwriting an insurance policy for a staffing company and that is the fact that you will be sending out temporary or contract employees to remote, third party client sites, which can cause you to lose direct control over these employees. The risks are easier to assess if these employees simply worked for you at your location. in the staffing industry, employees work at client locations and in the perspective of insurance company, the risks are higher. When insurance companies take into effect that your employees may be asked to perform tasks at a client location that you may not otherwise ask them to perform if they were on-site at your office, they have a larger underwriting task. This task of researching an insurance company, finding the right one and the right insurance policies to purchase, and actually purchasing the policy can be likened to going on a regular visit to a dentist. They are both necessary but they are not fun. However, you company cannot operate if it does not have insurance for it.
The Essentials of Services – Getting to Point A
How much insurance to purchase and what types are right for your company is another concern to deal with. Being over-insured and under-insured are both not good for the company. The right insurance company will recommend that amount of insurance and the types of policies to purchase for your company. Ask for the standard staffing contract of your staffing clients or potential clients whom you will be doing business with. In their staffing contract, your client will surely have a section that covers insurance, how much and the types you need to have in order to do business with them.
Finding Similarities Between Services and Life
Always remember, that clients would want to deflect as much insurance risk on to you as possible. They are not willing to shoulder risk if your employees work on-site at their location. You should consider trying to renegotiate the contract, or forgo the business is a potential client asks for more insurance coverage than you are able to pay premiums for.