Staffing agency E&O — sometimes called professional liability for staffing firms — covers claims arising from the staffing service itself: negligent hiring, failure to properly screen or credential a placed worker, misrepresentation of a candidate’s qualifications, breach of a placement contract, or a placed worker’s theft or vandalism at a client site. A $1M policy typically runs $1,800 to $7,500 per year depending on state and industry mix.
Most enterprise clients — particularly hospitals, automotive manufacturers, and film-production companies — require the agency to carry E&O with the client named as additional insured. For deeper background, see the American Staffing Association or contact us at (877) 418-2484.
