Is Your Certificate of Insurance (Or Lack Thereof) Holding You Back?
By Debbie Fledderjohann, Top Echelon Contracting President
As the demand for contractors continues to increase, clients are getting more picky about the vendors they select to supply them with the help they need. One issue we are seeing companies scrutinize more closely is the Certificate of Insurance.
A Certificate of Insurance is a document that proves that the vendor is insured to take on the liability associated with employing the contractors. When you place contract candidates, most major clients will want to see a Certificate of Insurance to assure that all of the insurance policies are current and have acceptable dollar limits. You will need to have one if you are running your own back-office.
Typically, companies will not work with vendors who do not meet certain insurance requirements. These requirements usually include, at minimum:
► Professional Liability
► Commercial Excess Liability
► Employer Practices Liability Insurance (EPLI)
► Automobile Insurance
► Forgery and Bonding
These requirements prevent many smaller firms from taking contract job orders because this coverage is very expensive. But it is not necessary for you to purchase insurance to meet your clients' needs. You can outsource the employment of your contractors to a reputable contract staffing back-office that will then be responsible for carrying the required insurances. For example, Top Echelon Contracting carries a comprehensive Certificate of Insurance that meets the requirements of most companies.
Don't let the cost of insurance coverage rob you of the consistent cash flow that contract staffing can provide you. Let a contract staffing back-office, such as Top Echelon Contracting, take on that responsibility so you can enjoy all of the advantages contract staffing has to offer.