Temporary workers can expose a staffing firm to risk if the firm’s liability policies do not include temporary staffing insurance. Even if a staffing firm carries a commercial general liability plan and other specific varieties of liability coverage including an employment practices plan, additional endorsements could be needed in order to cover temporary workers.
Why Are Temporary Workers Excluded From General Liability?
Although temporary workers can benefit client businesses in many ways, these workers are also exposed to much greater risks than either permanent employees or leased workers on longer contracts. Recent studies have indicated that temporary workers are much more liable to being seriously injured on the job. Limited training is one major cause of this heightened risk. Permanent and leased employees are usually sufficiently trained and are therefore covered by general business liability policies.
What Kinds of Protection are Available for Temporary Workers?
Staffing firms that place temporary workers will likely require endorsements or modifications to their liability coverage. An insurance provider that has extensive experience with temporary staffing insurance can modify an employment practices liability plan and close gaps in coverage. Adjusting liability plans can help to protect temporary workers and staffing firms from a wide variety of exposures to risk and claims made against either party.