As an HR consultant, businesses turn to you for help on human resources-related needs. You are relied upon to offer these contracting organizations advice on how best to look after their employees. Unfortunately, things might not go as planned, and you might end up on the wrong side of the law, accused by the very clients you offer your services.
Similar to legal consultants, management consultants, engineering consultants, lactation consultants, environmental consultants, and other types of consultants, you might provide inaccurate advice. Look at it this way. You do your best to provide the best advice to your clients. Unfortunately, you are not in control of how the advice is acted upon. If things were to turn sour, there's the likelihood that your client will hold you personally responsible. Suppose, based on your advice, the client lets go of an employee who ends up filing an unfair dismissal claim and winning it. The business will likely sue you for professional negligence, likely citing poor advice.
Further, as an HR consultant, you are working closely with people at every turn. Suppose, in dispensing your duties, you visit the business, and in the hope of showcasing the policies and procedures that the organization must adopt, you plug in your computer. What if, in doing so, you end up being the avenue through which a cybercriminal gets access to the organization's IT ecosystem? Further, what if an employee at the organization trips on your cables and ends up getting injured? Your consultancy is effectively held responsible. Overall, from the commencement of the consultancy to the final catch-up, you are going to need protection. This is where HR consultant insurance comes in.
Suppose you run a recruitment business. You are going to need recruitment consultant insurance. The recruitment landscape is generally challenging. As a recruitment consultant, you are exposed to the risks of the candidates you have selected for a business ending up being a bad fit. In such a scenario, the insurance for recruitment consultants protects you from the liability that comes with such eventualities.
As you carry out your duties, there might be instances when the client you have worked with ends up believing that you didn't provide the best possible professional service. For instance, as a recruitment consultant, you might end up being sued for negligent recruitment.
Further, what if you ended up providing what could best be considered as the wrong advice? In this case, the HR consultant professional indemnity insurance ensures that you are covered for all costs associated with the case. This policy covers you in the event of any consulting errors and oversight or advice that caused financial loss. If you are also sued for professional negligence, the policy will sufficiently cater to all arising costs.
Overall, given how employment law is strict and the fact that you can never really guarantee that you'll never make a mistake while consulting, it is simply best that you invest in professional indemnity insurance for HR consultants.
Other than the PI policy for HR consultants, you are going to need general liability insurance. Look at this scenario. You or your employee visits a customer's premises, and your actions end up causing injury to another party. Further, what if an accident occurs whilst a member of the public is within said premises?
In all these scenarios, general liability insurance steps in to protect you in all subsequent claims. General liability insurance is best for all slip and fall accidents, damaged customer property, libel, slander, and copyright lawsuits. Consider investing in this policy just like education consultants, sleep consultants, marketing consultants, safety consultants, and other business consultants.
An additional cover you'll need is employer's liability insurance. In the event that a claim is brought against your business by an employee, you will be sufficiently covered. For recruitment consultants that often deal with physically active recruits, having this cover will ensure you do not have to pay out of pocket for any mishaps.
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HR consultancy is a relatively low-risk field, and just like financial consultancy, construction consultancy, immigration consultancy, and IT consultancy; the work is mainly on the desk. Still, your employees are susceptible to repetitive motion injuries and slip-and-fall injuries, among others. These expose your business to legal and financial consequences that could potentially take a toll on your business. That's why you ought to consider getting worker's compensation insurance. This cover protects you from three primary areas:
Employee work injury expenses
Employee injury lawsuits
State law compliance
It is prudent to mention that you will need to find worker's compensation requirements within your state. Note that there are certain states where your HR consultancy business is required to purchase worker's compensation insurance from state-run workers' comp agencies.
Suppose one of your clients ends up faced with a malicious cyber threat whose origin can be traced to you. Further, suppose while recruiting, you end up losing a client's data, or it is compromised by cybercriminals. In such instances, your HR consultancy business is likely going to end up in a legal tussle with the aggrieved party.
That's where cyber liability insurance comes in. This policy covers the costs of any legal proceedings and financial compensation that you might be legally mandated to pay.
There are a number of factors that affect the cost of your HR consultant insurance. These include firm size, number of clients, and the revenue you generate within a set period.
HR consultants pay $36.09 per month or $433.08 per year for a $1 million general liability coverage. If you run a smaller HR consultancy, you must secure savings by bundling your commercial property insurance and general liability insurance into a business owner's policy.
Get a thorough understanding of recruitment consultant insurance cost by taking a look at this table showing the rates of the best companies:
|Cost per Month
|Cost per Year
|Best overall; Fastest general liability insurance for HR consultants
|HR consultant insurance quotes comparison online
|Comparing recruitment consultant insurance quotes over the phone
|Small consultancy firms
Compare quotes online to get the best protection. Start by clicking the “Get Quotes” button on this page.
Professional liability insurance costs HR consultants $48.50 per month or $582 per year.
The cost of workers' compensation insurance for an HR consultancy is $55.90 per month or $670.80 per year. Note that this cost will vary greatly, subject to the state in which you run the consultancy. Your history when it comes to lawsuits related to work injuries will also determine how much you ultimately pay for this policy.
Before providing the estimate of a business owner's policy for HR consultants, it is prudent to mention that most insurers will determine the pricing of this policy based on your firm's location, the value of the business property, and operations. The cost of a business owner's policy will be $47.86 per month or $574.32 per year.
If you run a small HR consultancy, you will pay $153.32 per month for cyber liability insurance. This translates to $1,839.84 per year.
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Here are the best recruitment consultant insurance companies in the market today. Read to know their pros, cons, and rate for a $1 million general liability insurance.
Issues an online proof of insurance instantly
Great customer service and reputation
Outstanding value for money
Get a 10% discount if you buy two or more HR consultant policies
Couldn't find any
You can get general liability, workers' compensation, and commercial property insurance policies from NEXT’s HR consultant insurance.
The general liability insurance of NEXT provides a $300,000 per occurrence limit with a $300,000 aggregate. You can upgrade to get increased limits and added coverage for professional liability.
Consultant’s commercial property insurance that NEXT underwrites provides a $100,000 building coverage and $65,000 contents coverage. You can also upgrade this to enjoy protection against business income loss, employee dishonesty, and destruction of money.
Best for: Best overall; Fastest general liability insurance for HR consultants
Average cost: $27.48 per month
Our rating: 10/10
Compare quotes online
General liability insurance offers non-owned/hired auto liability coverage
Name an unlimited number of additional insureds
Manage your insurance and pay premiums via the MyCoverWallet app
Not an insurance company but an insurance broker
CoverWallet only sells insurance policies. The insurance you get from this company is underwritten by partners.
CoverWallet’s general liability insurance has non-owned/hired auto liability coverage in its terms. This has a $1 million per occurrence limit with a $2 million aggregate.
The commercial property insurance from this company provides $50,000 building and contents coverage. Note that additional coverage for equipment breakdown is provided.
Use CoverWallet’s online quotes comparison tool to get the best HR consultant insurance at the most reasonable price.
Best for: HR consultant insurance quotes comparison online
Average cost: $34.34 per month
Our rating: 10/10
Compare quotes over the phone
Takes you to partners if it can’t provide coverage
Highly tailored coverage
Responsive customer service
Doesn’t issue online quotes
Tivly (formerly CommercialInsurance.NET) offers general liability insurance, cyber liability insurance, workers' compensation insurance, commercial auto insurance, and other business insurance policies for HR consultants.
This insurance company doesn’t sell pre-made coverage. Instead, you need to call an agent who will help craft a comprehensive and tailored insurance package that will suit your needs.
Note that Tivly can refer you to its partners. And so, you can quickly find other alternatives if this company doesn’t match your preferences.
Call Tivly now to compare recruitment consultant insurance quotes over the phone.
Best for: Comparing recruitment consultant insurance quotes over the phone
Average cost: $36.20 per month
Our rating: 10/10
You get a quote and buy your HR consultancy online in a matter of minutes and receive cover immediately
5% discount offered if you bundle two or more Hiscox products
Customizable quotes designed to meet the policyholder's needs
Not the best option for larger business
The claims process is a bit convoluted
HR consultant insurance is not available in Alaska
Hiscox has considerable experience in underwriting HR consultant companies. If you run a small HR consultancy firm, you will find that Hiscox has an excellent grasp of your unique challenges. They offer a customizable quote for your workers' compensation policy, BOP, cyber policy, PI, and general liability policy.
Note that if you are in need of short-term liability insurance, then Hiscox might provide it with the help of its partner. Further, if you were to purchase Hiscox's BOP, it would not cover any of the vehicles that you use to dispense your HR consultancy.
Best for: Small consultancy firms
Average cost: $39.16 per month
Our rating: 9/10
Online quotes in 90 seconds for PI, PL, and more
24-hour advice helpline and legal hub
No hidden charges
Discounted contract reviews
Public relations crisis management services on offer
Cyber response helpline
No online quoting available
No product reviews are available on the website
$2,500 deductible limit in the event of property damage
Markel has a flexible specialty insurance for consultants and business advisors. This extensive experience means that the insurer has a good understanding of the challenges that face these professionals. Their HR consultant insurance offers comprehensive coverage.
What stands out most about Markel's HR consultancy insurance is the insurer's risk solution services. The insurer takes a keen interest in guiding the HR consultant through the maze of risks that they are exposed to. They then customize the policy specifically for your needs, thus ensuring you get comprehensive coverage.
Unfortunately, Markel doesn't provide HR consultant insurance quotes on its website. To provide an accurate quote, you are advised to provide your location, gross revenue, number of employees, payroll, suitable policy limits, and claims history on their website. A Markel agent will then get in contact with you to discuss the specifics of the HR consultant insurance policy.
Best for: Flexible terms
Average cost: $43.25 per month
Our rating: 8/10
Lonnie Bell Insuranker
Policy Type: Business Insurance
Company name: Employers Insurance
Use anyone except Employers. Period. They are non-transparent and shameful. After I complained long enough to warrant a call from a supervisor, the supervisor called back from a PRIVATE NUMBER (no caller ID), left a message that they are not reversing their decision (without any communication with me), and failed to leave a phone number for me to call back. She was hiding! They also fact find via email and phone calls, which is terrific for speed and communication. However, after setting a precedence of email or phone calls, they send time sensitive information via email, without any heads up... they are hoping you miss it and forfeit via expiration. Evil policies. Go elsewhere.
This place is an absolute joke of a company and should be ashamed of the way they conduct business. I was hurt on the job at the end of July and it took them just shy of 7 weeks to issue out a paycheck to me. Yes the amount was back dated but still. Not many have the luxury of not receiving a paycheck for almost 2 months. To top it all off, the original adjuster marked me down for the wrong state which caused a problem from the get go, I've had 3 different adjusters now since each one can't seem to figure out the simplicity of my claim. All my paperwork which includes, my job, house, and drs visits all are from the same state and city but yet some how I have been filed under a completely different state 1500 miles away. They do not answer your phone calls or emails no matter how many you leave. I've had to escalate my frustrations to the supervisors of each of these individuals in order to even get some kind of response. I've had more communication and information given to me about my claim from the customer service representatives then the actual adjusters.......... please tell me how that works?! A serious overhaul needs to happen here in order to serve your clients the way they deserve to be taken care of. 10/10 do not recommend this company to a single soul on earth
I have never had the displeasure of working with a more incompetent and disrespectful person in my life. I’m an injured worker and the adjuster that was assigned to my case was named Carrie Furgeson. In the past 6 weeks that I’ve been injured and out of work I have only been able to get ahold of her twice, not for lack of trying. I have left countless voicemails, countless emails, and she ignores them all. When I am finally able to get ahold of her I’m greeted with terrible customer service. She is rude, she talks over me and I’m hardly able to get a word in edgewise. She spelled my name wrong on my documents even after I spelled it for her properly countless times, this caused a whole new issue with my bank. I have bill collectors from the hospital calling me demanding payment and Carrie Furgeson won’t do a single thing to help, or to get them paid. All of my documentation is in Colorado, my job is in Colorado, my address is in Colorado, all my Dr offices and appointments have been in Colorado and Carrie still managed to hold my claim because she wasn’t sure what state she needed to file it under. It’s been 6 weeks since my Injury and my company still hasn’t received the wage paperwork to fill out so they can get me my correct wages. When she’s not ignoring me she’s answering my questions with “I don’t know” well I don’t know how she got this job, because apparently she doesn’t know anything about it. She is a disgusting morose individual inside and out and I genuinely wish her the worst in all of her future endeavors. I highly recommend you don’t use this company. Please if you are a business owner and your looking into this company please don’t use them. I’m sure they have the cheapest payment and that’s why companies use them in the first place, but you will be doing your employees a grave disservice by forcing them to venture into this absolute dumpster fire of a company. I would rate 0/5 if possible but 1 was the lowest I was allowed.
Their general liability insurance purchase process is simply the best online experience I've ever had in my life!
As long as they cover your line of business, you're literally covered! best rates, best coverage, best online experience, best professionals, can't be happier that I chose them!