Why it is Important for Employment Agencies to Have Insurance

Why it is Important for Employment Agencies to Have Insurance

People who are having trouble finding a job often turn to a temp agency to help them secure employment. These employment agencies help individuals who need work and companies that need skilled employees find each other. While these agencies are providing everyone involved with an excellent service, there is no guarantee that issues will not arise that may cause problems. It is possible that an employee will become injured on the job and need workers compensation. An employee may also get accused of causing someone bodily harm, or losing a company money. If this happens the employee and the employment agency could be in a lot of trouble if they do not have insurance. Employment agency insurance can provide everyone involved with financial protection.

Possible Insurance Policy Requirements

Insurance companies that write policies for temp agencies need to do a lot of research in order to provide adequate coverage. Employment agencies could potentially have employees working in a variety of fields, which means that the insurance needs are diverse. A policy that has been well researched may provide coverage in the following areas:

  • Professional Liability
  • General Liability
  • Employment Practices Liability
  • Workers Compensation
  • Auto Liability
  • Crime

An insurance policy that provides adequate coverage can make all the difference in the world to a temp agency and its employees. That is why it is important for employment agencies to choose an insurance company that will work hard to provide excellent employment agency insurance.