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How Staffing Agencies Avoid Legal Trouble

Staffing agencies are vital to the modern marketplace. Not only do they connect employees with employers, they help an organization avoid work stoppage issues. Still, if you own a staffing agency, you must worry about legal liability that other companies often easily avoid. By purchasing staff insurance, you can likely keep your organization out of legal trouble.

Buying a General Policy

Like other companies, staffing agency owners often choose to purchase a general business policy. These policies usually cover errors and omissions, giving you the peace of mind you need to do business with confidence. You also probably want to include property insurance in your overall staff insurance coverage.

Adding Workers’ Compensation Coverage

Depending on the nature of the employer/employee relationship within your organization, you may need to purchase workers’ compensation coverage to protect your workers from on-the-job injuries. Generally, staffing agencies must purchase this coverage separately from other types of coverage.

To avoid legal liability, you must do what you can to run your staffing agency professionally. You also must meet your employees’ needs and address their concerns. You also must have a comprehensive staff insurance policy to avoid potentially costly lawsuits. By working with a competent, skilled agent, you can likely find the right policy for protecting your staffing business.


Henry Henrynms (Author)