To protect recruitment agencies against the increasing risks when placing contractors in an uncertain business climate, insurance specialist, Qdos, has launched a commercial services division in which it offers a suite of insurance solutions tailored specifically to the needs of agencies.
In addition to consultancy and training services, Qdos Commercial Services offers a range of insurances for agencies, including IR35 insurance and Professional Indemnity, Public and Employers Liability insurances.
Amid reform to the IR35 legislation, which will see agencies placing contractors become liable when operating as the fee-payer from April 2020, much like in the public sector currently, recruiters find themselves exposed to numerous risks.
Seb Maley, Qdos CEO, commented on the offering:
“From the scrapping of employment tribunal fees in 2017, which could implicate agencies, to the pending arrival of IR35 reform in the private sector, recruiters find themselves exposed to various risks when placing independent workers.
“With regards to IR35 reform in particular, what is often overlooked or perhaps even misunderstood, is that recruitment agencies can insure themselves against incoming changes. Given that agencies will not make the IR35 decision, but will carry the liability when handling payments to contractors, insurance is no longer a luxury. It’s arguably a necessity.
“The tax and employment landscape is changing and the recruitment industry relies on temporary placements for the vast majority of its turnover. Our commercial services division was launched with this in mind – to offer peace of mind to recruiters in a changing landscape.”