Staffing Employee Benefits Liability Insurance

Under the Affordable Care Act (ACA), large employers must offer health insurance benefits to their full-time employees (those that work an average 30 or more hours a week). This can include eligible temp employees, which further increases the staffing firm’s exposure in the administration of employee benefits for both their temporary and in-house employees. Employee Benefits Liability insurance is needed to protect an employer for any act, error or omission in the administration of the offered employee benefits program.

The types of acts, errors and omissions covered under Employee Benefits Liability insurance are:

• Counseling employees including their dependents with respect to offered available Employee Benefit Plans.
• Handling records in connection with Employee Benefits Programs.
• Effecting or terminating an employee’s participation in a plan included in the offered Employee Benefits Programs.