Don’t overspend on your workers compensation insurance.
If you run a temporary staffing agency, then managing your workers comp coverage can be difficult. Because the number and types of employees working for you are constantly changing, securing comprehensive coverage that you can actually afford seems nearly impossible. Fortunately, there are some things that you can do to lower the cost of your workers compensation insurance for staffing agencies. Here are some of the ways that you can save on your workers comp coverage.
Keep Up with Changing Worker Classification
Misclassification of employee job codes and inaccurate payroll reporting are ongoing problems for many temporary staffing agencies. Because you constantly have new employees going off to do different jobs, it can be difficult to track who works for you and how you should classify them for workers compensation insurance. As a result, many staffing agencies tend to carry extra coverage to ensure that they can protect all the employees under their care. To make your insurance more affordable, you should look for an insurance provider who offers a “pay as you go program.” These programs adjust workers compensation insurance premiums on a monthly or quarterly basis according to actual payroll data. Enrolling in these types of programs will ensure that you are not paying for coverage that you do not actually need.
Vet Companies Thoroughly Before Placing Employees
You can also save on your workers compensation costs by making sure to place your employees in safe work environments. This can be accomplished by thoroughly investigating and vetting companies before letting members of your agency work there. When vetting a company, you should check to make sure that they offer comprehensive health and safety training, enforce strict safety protocols, and employ other safety and security measures. When your employees are sent to a safe work environment, you will reduce your chances of having to file a costly workers compensation insurance claim.
These are some of the steps that you should take to reduce your workers comp costs. Do you have additional questions regarding your workers compensation insurance for staffing agencies? If so, then contact the experts at PMC Insurance Group. Our highly-trained professionals are eager to assist you with all your commercial coverage needs today.
