Important Insurance Tips for Hiring Summer Workers

The Summer Surge in Temporary Employment

As the warmer months roll in, many businesses find themselves thriving with the increase in opportunities and projects. Take, for example, a small landscaping business that expands its team for summer contracts. While additional team members are essential for meeting seasonal demands, this influx of staff brings about increased obligations, particularly in the realm of insurance coverage. Ensuring that your business has appropriate insurance can help safeguard against potential liabilities. This post will discuss key insurance coverages you should consider.

Workers' Compensation: A Crucial Requirement

Workers' compensation is an essential part of employment insurance. With the exception of Texas, every state mandates that businesses provide workers’ compensation coverage — and this includes seasonal employees. Failing to do so could result in significant financial liabilities if a worker sustains an injury on the job.

Health Insurance Considerations

Businesses with 50 or more full-time employees must pay heed to their health insurance obligations under the Affordable Care Act. This is relevant even for seasonal employees who clock in 30 hours per week or 130 hours per month. Ensure that your company complies with these legal requirements to provide health coverage.

Employment Practices Liability Insurance (EPLI)

The processes of hiring, onboarding, and eventually parting ways with employees carry distinct risks. Employment Practices Liability Insurance (EPLI) offers protection against potential claims related to wrongful termination, discrimination, or wage disputes, mitigating potential legal troubles.

Review Your General Liability Policy

With the influx of new, and possibly less experienced, workers, your business's liability risks could increase. It’s prudent to evaluate your general liability insurance to ensure you have sufficient coverage in place to protect your business from claims of bodily injury or property damage. Remember, while hiring seasonal workers can help boost productivity, neglecting to carry the right insurance coverage can expose your business to unnecessary risks. It’s wise to consult with your insurance agent for an assessment, ensuring your policies are updated to accommodate the seasonal workforce.