Staffing firms play an important role by supplying employees to businesses in need of them. But that role puts them in an awkward situation because most often their employees work off-site under the supervision of others. In order to protect themselves, staffing agencies should carry a portfolio of different types of staff insurance. Here are some of the most important.
- Professional Liability – This policy shields staffing agencies from legal action related to allegations of damage by clients. For example, if an employee fails to perform his or her job functions, a client may seek compensation.
- Auto Liability – Owned auto liability insurance covers vehicles owned by the staffing firm. Hired and non-owned auto liability protects against damages related to the use of vehicles not owned by the firm that are being used to conduct company business.
- Cyber Liability – Technology has brought many benefits to businesses. At the same time, it has created new liabilities. From breaches of data to identity theft, this type of insurance policy protects staffing firms from damages resulting cyber crimes.
- Employment Practices Liability – This policy protects staffing firms from claims related to harassment, discrimination and other actions that occur at a client’s workplace.
An agency with questions as to whether it is adequately protected against any of the aforementioned scenarios should have its staff insurance portfolio reviewed by a professional today.