Why Third Party Staffing Agencies Need Insurance

staffing agency insurance
staffing agency insurance

In order to have a safe working environment, a company needs to provide specific benefits to its employees. Among these benefits is industry related insurance coverage to protect both individuals and businesses from injury, wrong-doing, and unexpected unemployment. A third party staffing center often needs to provide such protection for the workers they contract out. Staffing agency insurance allows both contracted employees and the participating businesses to be protected as either national or state regulations require.


Protection From the Unexpected


Insurance is often required to protect people against loss in a crisis. Manufacturing industries in particular are often associated with substantial risk to workers in and around heavy machinery. For example, if a staffing agency provides a manufacturer with a contracted welder, someone must be able to protect the welder in the event of a workplace related accident. Coverage provided by staffing agency insurance can include:


  • Workers compensation
  • Abusive acts
  • Crime
  • Employment practices
  • Auto liability


Adequate Coverage Brings Peace of Mind


Both temporary workers and the businesses who hire them through a staffing company need to know that both their rights and safety are protected. Because of this, staffing agency insurance is required so that even workers who are only on the job for a few months can be protected in the event of an accident or incident. With the right insurance, employee and employer can be more relaxed knowing that they have coverage.


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