Liability Insurance for Staffing Firms

Staffing Industry

In today’s wide-ranging international labor markets, staffing agencies are playing a bigger and bigger role. Not only do agencies allow companies to find the best talent for short-term contracts and eventual full-time placement, but they also take a lot of administrative overhead off the shoulders of HR departments. To top it all off, their recruitment efforts can bring a wider pool of candidates from more places than many in-house hiring drives are capable of doing. When you run such a vital service and your choices have a big impact on your clients’ operations, you need PEO professional liability insurance that can keep up with your risk exposure, no matter which industries you recruit for.

How Staffing Firms Have Specialized Risk Exposure

As the primary employer of the contractors you send out to clients, you take on many of the risks that are traditionally associated with the workplace. That means requirements for workers compensation protection and other vital forms of coverage are yours, and that’s part of the business model. It also means you pick up certain professional liabilities having to do with the quality of the work your staff provides, as well as liability exposure if it turns out someone is acting in bad faith in the workplace. For more information about how PEO insurance is designed to protect you, check out the resources available at