When your human resources needs are growing, it can be difficult to know exactly what to do. Companies that expand rapidly have to face a number of different choices, which makes it somewhat inevitable for certain issues to go ignored. But you don't have to put your human resources needs on hold. A Professional Employer Organization (PEO) can help you figure out what you need when it comes to payroll, compliance, management, and employee benefits. However, to fully understand what a PEO does, you need to find out more about what you owe the PEO before hiring them. Find out more about how you can use this service to help, and what it means to have PEO employee leasing insurance to cover your company should something go wrong. How It Works

A PEO is there for companies to take a lot of the HR tasks off their plates. Most companies will rely on them when they realize that their employee base has grown far too quickly, and they need someone to take the reins or risk the future of the company. A PEO may start to research better insurance coverage for everyone, leveraging group rates to get the company a better deal. They may simplify payroll tasks or do research into how the company can stay more compliant. They can even start finding new and better talent to strengthen the company. Every PEO is different, so it's important to do some research before choosing one. The exact relationship that you have with them will depend on your exact needs. But what you may not know is that you're still technically responsible for providing some type of PEO employee leasing insurance. This is what's known as a co-employment situation, which means that some of the responsibility will fall on you to look out for your PEO employee's well-being. This coverage is especially important for companies with operational hazards or job-site risks, such as contractors or service providers who may utilize leased employees in various work environments. Why You Need Insurance

A PEO is made up of people, and they may come to you should something go wrong when on the job. While an office may not seem like a dangerous place, there are always accidents that may occur. But what's more likely to happen than a freak accident is the development of some type of chronic injury. Carpal tunnel and back pain are just two injuries that can develop from being in the office day in and day out. If the PEO has to make any type of additional effort to attract the right talent for you, then you may be liable for anything that may occur during that time on the job. And of course, there's another reason to consider getting the right insurance besides just covering (or partially covering) direct bills: the threat of litigation. Most employers underestimate just how much responsibility they have when it comes to keeping everyone safe. It's necessary for owners to take a sharper look at what their coverage is (and what their limits are) before doing anything else. What may have seemed like an exceptionally high limit when you first took out a policy may in fact only cover a small percentage of the bills you'll face. While PEO services can provide a good deal of help for companies who need it, they do have another side. Getting the right amount of insurance can go a long way in letting a company continue to expand. A PEO promotes better efficiency throughout a company, which can bring in more profits. PEO employee leasing insurance pays the bills in the unlikely chance that something occurs, so that a company can continue to conduct business without a major disruption. To learn more about the types of coverage available, visit Understanding PEO Employee Leasing Insurance or explore additional options through Leasing and PEO Firms Insurance.

Frequently Asked Questions

What is PEO employee leasing insurance?

It’s a type of insurance coverage that helps protect employers in co-employment situations involving leased employees. It can help cover liability exposures such as workplace injuries or claims related to HR services provided by the PEO.

Who is responsible for providing coverage—the PEO or the employer?

In a co-employment arrangement, both parties share responsibility. Employers are often required to carry specific types of coverage to help protect against liability exposures related to leased employees.

Does this insurance cover remote workers?

Coverage may extend to remote workers, depending on the terms of the policy. It’s important to review the specifics with your insurance provider to ensure all employee arrangements are properly insured.

What risks does this insurance typically address?

It may cover injury claims, errors in payroll or benefits administration, and other employment-related liabilities. This helps mitigate legal and financial risks for growing businesses.

How can I get a quote for PEO employee leasing insurance?

You can request a customized quote by visiting our quote page and providing a few details about your business and employee structure.

Still have questions? Talk to a local insurance expert.