There are many components to temporary staffing insurance that are important when it comes to protecting your company from liability. One of the most vital forms of insurance is Professional Liability. This type of policy is structured to protect staffing firms from legal actions that can result in financial loss if not properly insured. There are a variety of companies and organizations which specialize in these types of policies and who can help to minimize the significant losses that may occur in the unfortunate case of litigation against a company. When an organization uses contract workers, there are many risks that may be involved. Architects, engineers, accountants, and medical professionals are just a few examples of the type of workers that may require some form of temporary staffing insurance.
What is Professional Liability?
Also known as errors and omissions (E&O) insurance, Professional Liability can help protect companies and organizations from loss incurred from unintentional negligence or misinformation claims that might be made by clients or temporary employees. This type of coverage is designed to focus on alleged failure to provide information that results in financial loss, thus the name errors and omissions. The coverage provided by a professional liability policy targets loss that is usually not covered by a common general liability policy. In addition to minimizing loss in the case of litigation, professional liability may also cover defense costs in court. This serves to save both the insurance company and their clients money if the attorneys manage to produce a favorable outcome for the client company.