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Old 21st October 2008, 04:38 PM   #1

Join Date: May 2008
Posts: 1
Default Insurance For A Recruitment Business

Hi there. We are working towards opening a recruitment business where we find appropriate employees (W2) and place them at various locations.

1) In what possible ways can we be sued by our EMPLOYEES.

2) In what possible ways can we be sued by the COMPANIES we provide staff to.

3) What type of insurance would be the best to cover our needs.

Thank you for your time.

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Old 21st June 2012, 11:52 AM   #2

Join Date: Apr 2012
Posts: 43

Recruitment insurance is really helpful as it protects your business from the risks it faces like the negligent actions of a contract worker, a client who believes you misrepresented a candidate's qualifications for a job position or an employee who gets injured at work.

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Old 29th January 2013, 01:56 PM   #3
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Join Date: Jan 2013
Location: Scottsdale, AZ
Posts: 10

You are going to need general liability insurance to protect your business from your employees (in case they injure themselves while working at your office).

As for the companies you provide staff to, you will want to look into errors and omissions insurance. You will also want to have a good lawyer create the contracts between your company and the companies your provide staff to. A good lawyer will help limit your liability.

I assume you have already done this, but make sure you have a corporate veil in place (LLC, C Corp, S Corp, etc). You always want your personal items protected.

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