With many job seekers finding placement through third-party agencies, staffing agency insurance becomes a problem-solver for hosting companies. There are unique risks with these temporary to long-term employment relationships, and standard business policies will not fully address these.
With temporary employment, a business is able to fulfill short-term labor needs such as a placement for a position that has yet to be filled. The staffing agency offers candidates from their pool of available workers, then oversees the individual’s performance and conduct despite being placed at a location offsite. Because of this direct connection, the agency must assume liability in the event of an incident involving the employee. This could be in relation to theft, property destruction or even personal injury.
This insurance is good for agencies who work with:
- Clerical or administrative workers
- Bookkeepers or data entry clerks
- Janitorial or maintenance workers
- Warehouse or manufacturing workers
- IT and computer professionals
- Hospitality workers
While a business or commercial insurance policy would address workplace injury, harm, discrimination or damaging behaviors, these policies are not written to include coverage for off-site occurrences. The difference with staffing agency insurance is this gap coverage. These policies will specifically include or exclude the actions, scenarios, encounters and liabilities associated with the potential working environments of your employees.