Professional employer organizations or PEOs play a special role in the operations of many small- to medium-sized businesses. Your PEO provides support to these businesses with outsourced services such as HR management, legal compliance, tax solutions and more. This special relationship with your clients requires a special type of coverage, PEO insurance, to help cover risks and exposures in doing business.
What Kind of Protections Come With PEO Insurance?
PEO insurance offers your company many of the same type of protections that would be advisable for an employer:
- Errors and Omissions: Protection against claims due to flaws or negligence in work product or business judgment
- General Liability: Coverage for various types of liability, especially in an office or work site
- Auto: Insurance for operation of owned, hired and non-owned vehicles
- Employment Practices: Protection for violation of various acts related to employment
- Employee Benefits: Coverage for risks associated with employee benefits
What Else Should I Consider?
No two PEOs are the same, so it’s important to work with an insurer who can put together a plan that covers your specific operational needs. Look for customizable products that are tailored to address your specific risks as a PEO. This type of coverage is not only beneficial for your business, but the other businesses you support also.