The staffing industry has moved beyond temporary clerical or line workers and branched out into professional positions for accounting, bookkeeping or even data entry positions. These employment contracts come with their own liabilities, making it necessary to carry a PEO insurance policy. Obtaining Professional Employee Organizations (PEO) coverage protects the company itself and its employees from potential employment-related claims.
Bodily injury and property damage are often excluded from traditional coverage because of the location and classification of the temporary employee.
Property damage or physical injury that arises from an accident caused by an employee of the staffing agency while on the company time or business and in the client’s vehicle.
Employee activity for the client creates a liability needing error and omission coverage to address financial or other loss.
Employee behaviors at the job site could create liability if theft or fraud is involved. Property theft both on the job site or while in-transit would need coverage.
PEO insurance offers coverage to address the specific needs of temporary and permanent placement contracts. You may think your coverage is adequate but check on potential exclusions that could accompany any of the situations listed above.