Temporary Staffing Agency Insurance

Temporary staffing services supply workers to their clients’ businesses for a limited time to help supplement the workforce or fill temporary openings. Like any other kind of business out there, temporary staffing agencies have their own unique exposures that need protection. This can include fire damage to or theft of company property, employee lawsuits, and more.

Fortunately, an independent insurance agent can help you find the right kind of insurance for temporary staffing firms. They can easily get you matched to the right policy. First, though, here's a deep dive into temporary staffing agency insurance, what it covers, and more.

Why Do You Need Temporary Staffing Insurance?

Temporary staffing services are in the unique position of employing individuals who temporarily work for other businesses at their job sites. You may provide other businesses with various types of employees, such as:

As these workers perform widely varying jobs in different locations, you retain responsibility and liability for their actions even while they're at client worksites. In addition, you remain responsible for protecting these temporary employees from workplace injuries, illnesses, and discrimination. Insurance for temporary staffing agencies must protect each business in case the employees they provide cause property damage, commit theft, or otherwise cause harm to one of their clients.

What Does Temporary Staffing Firm Insurance Cover?

Insurance for temporary staffing agencies includes the basics of a standard business insurance policy plus specific coverages tailored to meet the needs of this unique industry. The insurance requirements for temporary staffing agencies vary by each company and their unique operations, but you can typically expect to find some or all of the following in most policies:

• Commercial general liability insurance: This covers the costs of third-party bodily injury and property damage claims and the resulting lawsuits that may arise.
• Commercial property insurance: This covers your business's buildings and their contents, such as computers, inventory, office equipment, and furniture, against theft, damage, or destruction by many perils, such as fire or lightning.
• Business interruption insurance: This compensates for lost business income and pays for continued operating expenses if your business must temporarily close following a covered loss, such as due to a fire.
• Computers and media coverage: This pays for lost data and related lost income if your computers or network are damaged by theft, vandalism, viruses, or malware. 
• Cyber liability insurance: This provides coverage in the event of a data breach or cyber-attack involving your business by covering the costs of notifying affected clients as well as for public relations, investigations, and more.
• Commercial vehicle insurance: This covers your company’s vehicles and can reimburse your business for losses due to accidents, lawsuits, and more.
• Employee dishonesty and crime insurance: This protects your temporary staffing firm from the costs of theft, dishonesty, and fraudulent acts against your business committed by employees or other criminals.
• Employment practices liability insurance: This protects your temporary staffing agency from employee claims of discriminatory employment practices (e.g., sexual harassment or wrongful termination).
• Professional liability insurance: This protects the staffing agency from lawsuits that arise from third-party claims of negligence in your professional services that cause harm to a client. 

An independent insurance agent can help you complete your temporary staffing agency insurance policy with every type of coverage it needs.

Save on Business Insurance

Our independent agents shop around to find you the best coverage.

Request a quote

Why Temporary Staffing Agencies Need Workers’ Compensation Insurance 

Another crucial form of protection for your business is temporary staffing workers' compensation insurance. This coverage ensures that injured workers get medical care and partial wage replacement while unable to work due to injuries or illnesses caused by the job site or work tasks.

Temporary staffing agencies have unique workers’ compensation concerns. You must provide workers’ compensation for your in-house employees, as well as for the temporary workers that you place with other firms. Exact coverage requirements vary by state, so it's important to review those for your area.

Temporary staffing agencies must be aware of the risks associated with each type of job they fill. Each employee must be covered with the correct amount of workers’ compensation insurance for the job being done. 

You must keep detailed records of job classifications, salaries, hours worked, and applicable work orders to ensure appropriate coverage and premium calculations for all workers. An independent insurance agent can also help your temporary staffing firm get set up with the appropriate amount of workers' comp coverage.

How Much Does Temporary Staffing Agency Insurance Cost?

The cost of temporary staffing agency insurance can vary based on a number of different factors. These can include things like:

• Your business's location
• Your business's size and annual revenue
• The number of employees you have
• Any previous claims history
• The types and amounts of coverage you need

However, an independent insurance agent can help your temporary staffing firm get matched to the most affordable coverage in your city.

An Independent Insurance Agent Can Help You Find Temporary Staffing Agency Insurance 

Finding the right business insurance is a complex process for any company, and the unique exposures faced by a temporary staffing agency can make it even more complicated. You can benefit from the advice and counsel of an experienced, knowledgeable independent insurance agent who has worked with businesses in your industry. 

Your agent can find tailored coverage from highly rated insurance companies specializing in temp agency coverage. They can shop and compare policies and quotes from multiple carriers for you to help you find the best coverage and rate.