Professional Liability Insurance for Staffing Agencies

If personnel placed by your employment agency engage in illegal behavior in the workplace or fail to meet a contract’s conditions, you may be held accountable. Professional liability insurance for staffing agencies protects you from expenses associated with legal claims filed against you.

Does Your Staffing Agency Need Liability Insurance?

All staffing firms need professional liability coverage. The three main types of exposure your agency might face are the following:

  • Failure to provide proper, skilled workers to the client
  • Financial loss to the client resulting from work performed by an employee you placed
  • Professional negligence occurring within additional services supplied by your staffing company

What Does Professional Liability Insurance Cover?

This type of insurance provides essential protection if an employee or business sues your company for professional mistakes. It can be quite costly to defend yourself from legal actions, even if your business is not at fault.

Professional liability insurance for staffing agencies covers court costs and attorney fees. It will also likely cover lost income and any client’s settlements you are required to pay.

The services that staffing agencies offer leave them vulnerable to some significant liability risks.

An employment service business works with employers and employees and therefore has an obligation to both parties. Professional liability insurance can keep your company running while addressing unexpected legal matters.

Three Easy Insurance Coverages For New Business Owners

As a business owner, you have a lot on your plate. As a result, you don’t have time to sift through various business insurance coverage options to find the right one for you. Rather than figuring out which business insurance options best fit your needs, work with an experienced agent who can help you create a policy that’s perfect for you. In the meantime, here are three simple coverages that you should expect to see in your policy.

General Liability Insurance

General liability insurance covers you in case a third party sustains an injury or property damage on your premises. Slip and fall accidents are examples of incidents that are covered by general liability insurance.

Professional Liability Insurance

Professional liability insurance covers you in case a third party claims that an error or omission on your part led to them experiencing a loss. In the medical industry, this is also known as malpractice insurance.

Property Insurance

Property insurance covers your business property including your building, equipment, furniture and electronic data. If your covered items become damaged or lost because of a fire, storm, vandalism or theft, your policy will cover the cost to replace or repair your items.

There are other insurance options that you can take advantage of depending on your industry. Agents who are well-versed in New Mexico business insurance can help simplify the process for you.