Skip to main content

Why Your Recruitment Business Needs Professional liability Insurance

Work in recruiting ?

Getting hit with a lawsuit must be a recruiting firm’s worst nightmare. It may or may not be your fault and it may or may not even happen. But if it does and you aren’t prepared, you could find yourself involved in a long, expensive and arduous court battle. Negligence; inadequate work;  erroneous advice;  breach of trust. These are only some of the risks facing your business each and every day.

Recruiters constantly leave themselves open to disagreements with clients. Unfortunately, in our litigious society,  when a disagreement arises, clients are less inclined to solve disputes amicably. Instead, they’re far more likely to pursue compensation through legal means. And, if you aren’t properly covered, a lawsuit can be a financial nightmare for your business. Despite your best efforts to vet candidates, provide sound guidance and make the right decisions on behalf of your clients, the smallest mistakes can rack up massive legal bills and tarnish your firm’s reputation.

Here’s why the top recruiters and recruiting agencies protect themselves with professional liability insurance.

An accusation of negligence can happen to anyone

Regardless of effort or fault, if the proposed candidate doesn’t work out, you could find yourself at the receiving end of a lawsuit.  As a professional recruiter, we know that you do your very best to rigorously vet your candidates. Unfortunately, some things are beyond your control. Candidates have been known to exaggerate the truth and at times, misrepresent themselves and their abilities.  If this happens, you could find yourself in a legal battle defending accusations of  negligence or inadequate work.  It’s absolutely imperative that you protect yourself and your business.  Lawsuits are costly and have been known to bankrupt companies.   

An accidental breach of confidentiality

It could be as simple as forwarding a document to the wrong email address and in the process, exposing sensitive client information to a third party. Or discussing private details without realizing someone is listening to you. Your firm is constantly tasked with handling private information and so, the slightest mistake could instantly cause damage to your client.  In this case, the client would have every right to take legal action against you.

Peace of mind – for you and your clients

At the end of the day, you’re a service provider and you dispense advice. Like any business that consults and advises, you need to provide your clients with peace of mind, assuring them that you can deliver, as promised. A Professional Insurance Policy eases any fears your clients – and potential clients – may have about losing time and money over mistakes that you, or your candidates, might make. As well, selfishly speaking, knowing that you have the proper coverage to mitigate any costly lawsuits, will help you sleep better
So, here’s the good news:

Finding the right coverage is easy – and quicker than you might think

Finding a plan that fits your needs has never been simpler. Ensurco’s Staffguard Advantage is a plan designed specifically for your business. In today’s business world the risk of lawsuits is growing.  You need a plan tailored to fit your unique requirements.  With Staffguard Advantage, your physical assets, general liability and professional liability, are all taken care of! 
Learn more about this plan, exclusive to the Canadian staffing industry, at
  • Rasoul K.

    What our clients say

    After talking to many different insurance companies, I spoke to Ensurco New Business Team. They returned my call quickly, provided the best rate and helped me set up a home insurance policy within an hour. Great service!

    Rasoul K.
  • Edward L.

    What our clients say

    I recently sent Ensurco an email requesting changes to my auto policy. I got a quick response. All the changes were completed in a timely manner and I received a detailed email with my billing schedule attached.

    Edward L.
  • Maria L.

    What our clients say

    Amazing staff to deal with. Very fast and efficient. My broker explained the difference between condo insurance and condo corporation insurance.  Thank you!

    Maria L.
  • Michelle B.

    What our clients say

    I was in a time crunch to get an auto application done on a Friday afternoon as I was picking up a new car. I called my customer service rep at Ensurco and she was able to get me a quote, provide an application and even send confirmation to my dealer with a liability slip. Keep up the good work.

    Michelle B.
  • Kelly S.

    What our clients say

    As a high risk driver, I was looking for a good rate as well as good coverage. I spoke to an Ensurco broker who helped me set up a 6 month policy so that I can eventually move to a regular market at less premium. You guys came through when no one else cared.  Thank you so much for your help. :)

    Kelly S.
  • Mark C.

    What our clients say

    When my son and I decided to travel to Calgary for a week, I called my broker at Ensurco who was able to provide me with great coverage at a really good price. I got my travel documents by email within 10 minutes. Exceptional timing!

    Mark C.
  • Don S.

    What our clients say

    Claims service! Most people dread talking to an insurance company or broker to report a claim. But I recently called my insurance broker at Ensurco about a possible water damage claim. He was able to guide me through the process.  The decision was mine as to whether or not I would proceed with the claim.  If so, he explained that he could connect me directly with the insurance company adjuster and resolve the issue. Great advice and great service.  Thanks Ensurco!

    Don S.


Car Insurance QuoteCAR Home Insurance QuoteHome Business Insurance QuoteBusiness