Employment agencies are hubs of activity. As the business owner, you have responsibilities and commitments to many people. You have to manage and maintain employees, attract customers, and negotiate corporate contracts. Protect your company and its assets by making sure you have the right amount of small business insurance coverage to meet your company’s needs.
General Liability Insurance For Employment Firms
General liability insurance grows as your company grows. It provides basic liability protection, product and services coverage, and protection against everyday hazards or unexpected events such as fire. General liability protects your company from losses that can cause severe financial strain to you and your company.
Business Owners Policy (Bop)
A business owners insurance policy protects you from specific types of problems or losses. It includes general liability along with specific types of property protection that you can tailor to meet your employment agency’s needs.
- Equipment Breakdown – Any equipment you use as a part of your business operation will be covered under your BOP in case of a breakdown. BOP pays for repairs and replacements in case of malfunction.
- Buildings and Contents – Whether you own or rent the office space your employment agency uses to conduct business, a BOP can protect it from damages caused by different losses. If you own the building you operate your business from, BOP gives you the option to add protection to the structure. The BOP will cover the physical building itself along with any improvements, interior decorations, furnishings and other tangible office equipment.
- Business Income and Extra Expense – If your office building is shut down due to damages from fire, would you be able to continue operating? You may need to rent a temporary office space for your agency to prevent interruptions. A BOP can provide for lost income due to suspended operations and temporary expenses.
- Electronic Data – Whether you use custom scheduling software to fulfill your customer’s contract needs or you keep all of your contact data in digital form, losing these files can be expensive. Data can be corrupted by computer viruses and power surges and a BOP can help with the costs of repairing or replacing these files.
- Newly Acquired or Constructed Buildings – As your employment agency expands, your BOP also expands its coverage protection.
- Employee Dishonesty Coverage – Employee dishonesty accounts for as much as $400 billion in annual revenue losses for small businesses. Protect yourself from dishonest actions such as fraud and theft through your BOP.
Commercial Auto Insurance Coverage
If your agency uses vehicles for any business purpose, protect them with a commercial auto insurance policy. Business auto insurance can pay for damages to vehicles that are involved in auto accidents. It can also pay medical expenses for anyone injured in the accident.
Workers Comp Insurance For Employment Agencies
In the United States it is required by law for each employer to carry workers comp insurance for their employees. Workers compensation protects your employees from financial ruin caused by accidents and injuries on the job. If an employee is injured while working for you, workers compensation will pay their medical, prescription and related recovery bills.
A surety bond provides a guarantee to your clients that you can fulfill the obligations you have agreed to in your contract. For example, if you contract with a company to provide 100 temporary workers, a surety bond may pay your customer for financial damages if you are unable to fulfill all of those positions.