The May 2011 edition of Assurance Staffing Connection, including detail on a recent impactful court decision.

1. Market Update: Trusted, dependable, specialists.
New Illinois Court Decision Impacts Temporary Staffing Serving staffing clients since 1961.
Firms and PEOs Nationwide
Where we’ll be:
In a recent Illinois First District Appellate Assurance Staffing Practice
Court decision, the following Westfield representatives will be attending
Insurance Company additional insured or sponsoring the following
endorsement was evaluated: upcoming event(s):
CSP Staffing & Recruiting
Conference 2011
Who Is an Insured is amended to include as an additional insured
May 19- 21, 2011
any person or organization for whom you are performing
San Diego, CA
operations when you and such a person or organization
have agreed in writing in a contract or agreement that
such person or organization be added as an additional NACE Experience! 2011
insured on your policy. July 24-27, 2011
Reno, NV
Assurance speaking engagement
The First District construed this endorsement language narrowly,
finding that additional insured status would only trigger for
persons or organizations that are direct contracting parties with 2011 NISA National Convention
the named insured. The above additional insured language fails to September 7-9, 2011
provide coverage to any party without a direct contract with the Chicago, IL
named insured.
NAPEO
This ruling is important because it affects not only the parties one September 12-14, 2011
is seeking additional insured protection from, but also those Orlando, FL
parties one is expected to protect as additional insureds. Where
this language exists, a party seeking additional insured status
must have a direct contract with the party providing protection, 2011 Staffing Industry Analysts
and the contract must specifically require additional insured Healthcare Staffing Summit
protection. Although the case in question interpreted language September 22-23, 2011
found in a Westfield policy pertaining to a construction-related Philadelphia, PA
accident in Illinois, this or similar wording is found in additional
insured endorsements issued by other carriers and will likely be Assurance key facts:
adopted by other states. • Over 400 staffing clients
• Located in 50 states
Important Takeaways: • 22 workers' compensation markets
• 30 insurance professionals focused
• This is a ruling that can impact the staffing and PEO exclusively on staffing
industries • Dedicated claims advocacy team
• The referenced additional insured wording in this ruling is • Certified ASA continuing education
common in the insurance industry and is not unique to provider
any one insurance carrier

2. • Many staffing firms and PEOs enter into agreements with
third party vendors that require the staffing firm to name Proud members of:
the third party vendor and several others as additional • American Staffing Association
insured under the general liability; if this wording is found
• National Association of Professional
in your policy's additional insured endorsement, you
Employer Organizations
MUST have a direct contract or signatory relationship with
the third party vendor and each company you are naming • National Independent Staffing
as an additional insured Association
• Failure to have additional insured protections for the • Staffing Services Association of
contractually required parties may result in a lack of Illinois
anticipated additional insured protections; such lack of • TempNet
additional insured status could result in litigation brought • Over 20 state associations
against your company under the theories of breach of
contract, which is not covered under standard general
liability forms
Contact an Assurance
representative:
Important First Steps:
Mike Atieh, ARM, SCLA, CPCU
• Evaluate additional insured wording for all of your existing matieh@assuranceagency.com
contractual relationships and those going forward; if your 847.463.7207
policy has an additional insured form with limited
wording, work with your insurance broker and attorney to Robert Barrese
ensure contract compliance
bbarrese@assuranceagency.com
• If you request to be named as an additional insured on
847.463.7183
your client's policy, obtain an additional insured
endorsement from your client in addition to the Certificate
of Insurance and make sure you have a direct contract Jim Breck, SCLA
with each party you require to name you as an additional jbreck@assuranceagency.com;
insured 847.463.7165
• Develop a system to review the thoroughness of
additional insured language and confirm whether a direct Robert Dunn, CPCU, ARM, AU
contract is in place with each entity requiring you to list rdunn@assuranceagency.com
them as an additional insured 847.463.7258
We urge temporary staffing firms and PEOs to consider the Jeffery Friedrich, ARM,CPCU
potential impact of this ruling on their own business and consult jfriedrich@assuranceagency.com
with their insurance broker and their attorney as appropriate. 847.463.7236
Guy Jacobucci
Staffing Practice Update:
gjacobucci@assuranceagency.com
Assurance Ranked 2nd Best Place to Work in Chicago by
847.463.7233
Crain's Chicago Business
Kurt Murray
Assurance was recently named the 2nd Best Place to Work in kmurray@assuranceagency.com
Chicago according to the 2011 Crain's Chicago Business ranking. 847.463.7154
This is the fourth consecutive year Assurance has finished in the
top 10, climbing each year from number 9 up to number 2. Diane (Bozic) Poljak, ARM
dpoljak@assuranceagency.com
In determining their rankings, Crain's placed great emphasis on 847.463.7298
the degree to which employees feel involved and committed to
their work, which they referred to as employee engagement. Key Jeff Tuisl, CPCU
factors in engagement include open and transparent jtuisl@assuranceagency.com
management, clear communication of company goals and obvious 847.463.7245

3. paths to promotions. Quote of the month:
“To guarantee success, act as if it
Assurance has been privileged to be honored by some very highly were impossible to fail."
regarded publications over the years. Click here for a full list of
accomplishments. - Dorothea Brande
Client Resources (access additional resources online):
Risk Management Product Discounts www.assurancestaffing.com
Access discounted pricing on quality and innovative risk
management products such as background checks, drug testing,
integrity testing, safety videos, and protective equipment at
http://assurance.riskproducts.com.
Sponsor Highlights
CRC Insurance
Services is a leading
Wholesale Insurance
Brokerage Firm,
specializing in
Property, Casualty, and Professional risks. CRC wrote over $1.7B
in premium during 2010. Of that amount, roughly $315M came
from the placement of Professional Liability policies - including
those for staffing companies.
Philadelphia Insurance
Companies (PHLY)
specializes in the temporary
staffing industry. PHLY
understands how to provide
a flexible and comprehensive insurance program for risks all
across the United States. Below are 8 reasons to choose
Philadelphia Insurance Companies for Temporary Staffing
Agencies:
1. Admitted paper and solid AM Best rating of A+/XIV
2. Non-auditable
3. Claims Made or Occurrence coverage trigger options for
errors and omissions coverage
4. Employment Practice Liability coverage extends to “placed
employees” of the temporary staffing firm
5. Blanket Waiver of subrogation under the General Liability
6. Third Party Fidelity coverage (on client site) available by
endorsement
7. Business Income and Extra Expense – Actual Loss
Sustained coverage available
8. Interest-free installments available for accounts that
generate at least $2,000 in premium
Types of Staffing Firms We Serve:
• Temporary Staffing

4. • Recruiting and Placement Services
• Temporary to Hire
• Employee Leasing/PEO
• Independent Contractors
Work First Casualty is a
workers’ compensation
carrier providing insurance
solutions solely to the staffing
industry. As the only
insurance company focused exclusively on the staffing industry,
they understand the unique challenges you face every day. They
also understand that after people costs, workers’ compensation is
your company’s largest expense. A focus on performance and
service by a team comprised of staffing and insurance veterans is
supported by solid financial backing. By working with them, they
hope you will come to see the insurance premiums you pay as
more of an investment than an expense. Your investment in Work
First yields real dividends in the form of industry-specific and
industry-best claims management, loss prevention, and
underwriting services.
For additional information on any of our sponsors, please visit
their website by clicking on their logos.