PEO is the acronym for Professional Employer Organizations. This is a new and growing field that is becoming more prominent as many businesses look to cut costs by outsourcing human resources and staffing responsibilities. This co-employment with the staffing industry is set up to help them protect their assets and manage their risk exposures, thus setting up a situation where PEO insurance can be an important asset for the staffing company.
Especially for small to midsize organizations, this relationship can provide administrative help to free up your organization to focus their daily activities toward building the business. PEO’s normally do not supply labor; however, they provide benefits and services to both the employees and the employer. They can offer services such as management of:
- human resources
- employee benefits
- workers compensation
Once you set up a standard PEO, you still retain day-to-day control in the management of your employees. Your provider handles the benefits administration and HR management, freeing up your time and energy so they can be directed toward the building up of your business.
As this trend grows, clients may feel it is important to protect themselves and their company from growing risk exposures. Unique insurance solutions, such as PEO insurance, can provide this peace of mind for staffing employers and their temporary and permanent employees. This new and innovative insurance can help provide the extra protection needed for a company in a demanding field.