Most staffing agencies’ insurance policies do not cover liability associated with job duties of their temps/employees.
One of the most misunderstood policies a staffing agency has is also one of the most critical – general liability. When an insurance company discovers they are quoting insurance for a staffing agency, they often limit the policy to only include liability associated with the office.
For a staffing agency with little office liability, that can be crippling. It means the policy would cover slip-and-falls at the office location, but not much more. The bulk of a staffing agency’s liability lies in what their temps are doing on the job. What if that temp you supplied runs a forklift into a building or break a $4,000 copier trying to clear a jam? Worse yet, what if their actions on the job somehow hurt another person?
Be sure your general liability insurance is issued from an insurance company with a staffing agency program. Yes, it costs more, but provides the coverage needed. We offer general liability policies that cover not only a staffing company’s office exposure, but follows their temps throughout their job duties.
Put our experience to work for you. We know the staffing industry and can offer tailored insurance solutions – no matter what your temps are doing.
I am the owner of a Staffing Agency in Laredo Texas and we currently have a contract with a municipality and the contract has a Hold Harmless and Indemnification Clause. Our Temporary Employees drive their vehicles and one of our employees had an accident. He hit another vehicle while driving. The driver that got hit sued my client and they passed it over to my company. What insurance would cover my employees driving their vehicles with these clauses in the contract??
Please let me know.
Thank you for your inquiry! A risk manager will reach out to you by email to address your questions.