Workers' Comp for distressed risks incl Staffing

Ken Heideger , 9/20/2016

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Dear Workers' Comp Professional:

Nationwide Employer Services LLC (NES) has Workers' Compensation (WC) solutions for Staffing and other distressed risks nationwide through our EXCLUSIVE Professional Employer Organization (PEO) and Contract Labor Service (CLS) programs. NES pays you competitive level commissions and will increase your agency's revenue stream.

PEO and CLS programs are very similar with the CLS being the more flexible and suitable structure for staffing risks. Under a PEO structure, the risk's workforce is covered for WC under a co-employer PEO master WC policy in the name of the PEO. Under a CLS structure, the risks workforce is covered under a sole-employer Staffing master WC policy in the name of the CLS. The PEO/CLS becomes the statutory employer of record for tax purposes which enables coverage under their master WC policies.

In practice, there is no loss of functional control over the risk's workforce in either a PEO or a CLS. The main purposes and goals of these relationships is to provide the risk with more suitable and economic WC and administrative functions on an outsource basis, including all management and navigation of the Affordable Care Act's (Obamacare) regulations and implementation. In the PEO and in some cases the CLS, the risk can retain their health program.

Most fitting for NES programs are WC distressed risks with:

Higher xmods
Higher cost class codes
In industries undesirable to carriers such as Staffing & Trucking
In or headed to state assigned risk pools
WC bare, being non-renewed, or cancelled

Submission info needed:

Detailed ACORD (must have est. # of ees/code)
3 yrs wc loss runs (no older than 60 days valued)
Xmod sheet
Current/renewal policy dec/rating pages
State assigned risk pool quote (preferred)

Please contact us with questions by phone or email or send a submission for review directly to: [email protected]. Thank you and let's make some money in 2016 together!

Best Regards,
Ken Heideger
Nationwide Employer Services
9858 Glades Road, Suite 125
Boca Raton, FL 33434
954.554.3456


	Back to main blog page Nationwide Employer Services LLC NES can write most risks in all states in our non-rated to "A"-rated Professional Employer Organization (PEO) and, in some cases, Contract Labor Service (CLS) programs. Basically PEO/CLS programs entail 2 main things….1) the PEO/CLS must be the statutory employer of record for all covered employees, and 2) the PEO/CLS must process and issue payroll drawn off the PEO/CLS bank accts. NES does best cost wise for risks with high xmods, high cost class codes, in state pools, with workers' compensation (WC) premiums of 50k or more, and generally considered highly WC distressed…..Under a PEO arrangement, a co-employer (primarily for benefits purposes) relationship is established between the risk and the PEO, with the PEO becoming the sole employer of record for IRS purposes. The PEO has a master "PEO" designated WC policy. The workforce is contracted back to the risk to operate and manage as usual. Under a CLS arrangement, primarily for Staffing, a sole-employer relationship between the risks employees and the CLS is established. The CLS has a master "Staffing" designated WC policy. No functional control is lost of the risk's business or labor force in either case, and in many cases, both the employer and employees receive more and less costly benefits, services, and WC coverage. In both the PEO and CLS structures, all WC covered employee payroll must be processed by (in most cases) and flow thru the PEO/CLS, with payroll checks drawn on the PEO/CLS bank accts. We look forward to working with you. Thank you! Ken Heideger [email protected] Offices in FL and CA 954-554-3456.