Employment Agencies

What Does GL Code 43200 Cover?

ISO GL class code 43200 covers employment agencies that provide services such as temporary staffing, permanent placement, and executive search. This code classifies businesses involved in recruiting, screening, and placing individuals in various employment roles for their clients. It encompasses operations where the agency acts as an intermediary between employers and job seekers.

Who Uses This Class Code?

This code applies to a range of businesses including temporary staffing agencies, permanent placement firms, executive search consultants, and headhunting services. It also covers businesses that specialize in temp-to-hire programs and contract staffing solutions across various industries.

Common GL Claims for This Class

Common GL claims for employment agencies include slip-and-fall incidents by job applicants or visitors at the agency's office, and property damage occurring during an agency representative's visit to a client's premises.

Coverage Tips for Code 43200

• Secure Professional Liability (Errors & Omissions) coverage, as General Liability policies typically exclude claims arising from negligent placement or inadequate screening of candidates.
• Ensure your Workers' Compensation policy accurately accounts for all temporary employees, as misclassification can lead to significant audit penalties and uninsured claims.
• Implement robust screening and background check protocols, as claims for negligent hiring or supervision can arise if a placed employee causes harm to a client or third party.
• Verify compliance with Florida's employment agency licensing requirements and labor laws, as regulatory non-compliance can lead to fines and impact insurability.