For staffing agencies

Clear every placement against the client's insurance mandate.

Name: 2026 Subcontractor COI Compliance & Risk Transfer Benchmark
Creator: Pikorua Security
License: https://creativecommons.org/licenses/by/4.0/

Client MSAs ask for far more than a certificate: additional insured status on your GL, an alternate employer endorsement on your workers' comp, waivers, EPLI, crime coverage and the right workers' comp in the right state. Pikorua Security checks each client's requirements against your policies and holds the placement until they match.

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Job order JO-48213

Bullhorn · synced 8:14 AM

Machine operators (6)

Client: Carver Packaging Co. · Start Mon, Oct 19

Worksite state

Site: Toledo, OH · Monopolistic state fund jurisdiction

Client as additional insured, GLCarver Packaging Co. scheduled, edition 04 13CG 20 26
Primary & non-contributoryApplies to the client per MSA section 9.1CG 20 01
Workers' comp for worksite stateOhio is a monopolistic state: BWC certificate of coverage on file, verified 10/02/2026BWC
Employers liability (stop gap)Stop gap EL $1,000,000 endorsed on the GL policy for OhioStop gap
Alternate employerPrivate policy endorsement does not reach state fund coverage; client accepted the BWC certificateWC 00 03 01

Cleared to place: all client requirements met

Client contractual mandates

Your client signed an indemnity clause. It expects insurance behind it.

Industrial and healthcare clients write staffing MSAs that shift the risk of your workers' acts back to you. Each insurance clause in that MSA is a promise your policies have to keep, client by client.

What a typical client MSA asks for

Indemnity: Defend and hold the client harmless for claims arising from your workers' acts or omissions
General liability: $1,000,000 / $2,000,000 with the client as additional insured, primary and non-contributory (CG 20 26, CG 20 01)
Workers' comp & EL: Statutory, EL $1,000,000, with the alternate employer endorsement (WC 00 03 01) naming the client
Waivers: Waiver of subrogation on workers' comp (WC 00 03 13) and GL (CG 24 04)
EPLI: Often with third-party coverage for harassment claims by client staff
Crime: Third-party coverage for client property your workers handle

Who is the employer?

Your agency hires and pays the worker; the client directs the work. Whether the client counts as a special employer protected by workers' comp exclusivity varies by state. Clients do not want to litigate that question, so their MSAs ask for the alternate employer endorsement instead.

Three details that fail placements

Alternate employer schedule names the client's parent company, not the contracting entity
Worksite state sits under Item 3.C, where WC 00 03 01 does not apply
Payroll in a monopolistic state with no state fund proof and no stop gap EL

Client requirement matrix

Every client's insurance clause against every policy you carry.

Each MSA becomes a requirement profile. When a policy renews, a limit changes or a client signs a new agreement, the whole matrix re-checks. Click any cell to see the clause and what is on file.

Client requirement matrix · Frontline Workforce Solutions

6 active MSAs

5 gaps across 4 clients · new placements for those clients are held

Clients with gaps only

Client insurance requirements by coverage, with status against the agency's current policies
Client	GL limitsEach occ / agg	Client AICG 20 26	Alt. employerWC 00 03 01	WC waiverWC 00 03 13	EPLIThird-party	CrimeClient property	UmbrellaFollow form
Carver Packaging Co.OH · MSA 2025-014
Northgate Distribution LLCIL · MSA 2024-208
Mesa Ridge Foods Inc.TX · Staffing agreement 31
Halvorsen Medical SupplyWA · MSA HMS-77
Tri-County Cold StorageGA · MSA TCCS-2025
Bayview Assembly Corp.CA · MSA BAC-1102

Tri-County Cold Storage · Alt. employer

Gap

Contract requires

Section 7.3: Alternate employer endorsement naming Client

On file

WC 00 03 01 A schedule names 14 clients; Tri-County Cold Storage is not listed

Broker request sent with the clause attached. New placements for this client are held.

Workers' comp by state

The right coverage depends on where the worker clocks in.

In most states your private carrier's policy covers the payroll, and the ACORD 25 workers' comp section is the starting point. Pikorua Security reads past it: is the worksite state listed in Item 3.A, or only under Item 3.C other states coverage? Is the alternate employer endorsement attached and does its schedule name this client?

Four states run monopolistic state funds. Private carriers cannot write workers' comp there, so payroll in those states needs the state fund's own proof, and employers liability has to come from a stop gap endorsement because the state fund policy does not include it.

Monopolistic workers' compensation states and the proof Pikorua Security collects
State	State fund	Proof Pikorua Security collects
North Dakota	Workforce Safety & Insurance (WSI)	WSI Certificate of Premium Payment for the employer account
Ohio	Bureau of Workers' Compensation (BWC)	BWC certificate of coverage, or proof of self-insured status
Washington	Department of Labor & Industries (L&I)	L&I account verification and certificate of coverage, or self-insured status
Wyoming	Department of Workforce Services, Workers' Compensation Division	Certificate of coverage or good standing from the Division

In all four, the state fund provides statutory benefits only. Pikorua Security also checks for stop gap employers liability, endorsed on the GL policy or on a workers' comp policy covering your other states.

Placement gating

No worker starts until the client's requirements are met.

The check runs where recruiters work, not in a separate compliance queue. Branches see one status and one reason.

01
Job orderRecruiter
A job order is opened in Bullhorn or TempWorks
The client, worksite address and job category come across to Pikorua Security with the order. The worksite state decides which workers' comp proof applies.
02
CheckPikorua Security
The client's requirement profile runs against your policies
GL limits and AI wording, the alternate employer schedule, waivers, EPLI, crime and umbrella are compared with the MSA, by form number and edition.
03
GapPikorua Security
Your broker gets the exact fix
A deficiency checklist quotes the MSA clause and names the endorsement needed. Your broker uploads it through a zero-login link.
04
HoldBranch
The placement waits with a visible reason
The placement or assignment cannot be approved while the flag is open. A Risk Manager can override with a written reason, and the override is logged.
05
ClearPikorua Security
Verified and released
Once the endorsement verifies, the flag clears on its own and the client's compliance packet updates for their vendor management team.

Staffing systems

Holds inside the ATS and back office you already run.

Bullhorn
Each client company in Bullhorn carries a requirement profile in Pikorua Security. When a job order's client or worksite state changes, Pikorua Security re-checks and sets a compliance flag that keeps the placement from being approved until the gaps close.
- Client companies
- Job orders
- Placements
- Worksite state
How the Bullhorn sync works
TempWorks
Customer records in TempWorks map to client requirement profiles. Assignments for a customer with an open gap are held, and the branch sees the exact clause and the broker request status.
- Customers
- Orders
- Assignments
- Compliance flags
How the TempWorks sync works

What changes when the matrix runs itself.

endorsement verification accuracy across ISO forms: 99.4%; endorsement verification accuracy across ISO forms; Pikorua Security customer data
average broker resolution time, down from 28 days: 4.2 days; average broker resolution time, down from 28 days; Pikorua Security customer data
hours of manual broker chasing eliminated: 250,000+; hours of manual broker chasing eliminated; Pikorua Security customer data

Read the industrial staffing agency case study

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FAQ

Questions staffing risk teams ask first.

Pikorua Security is an automated compliance verification software platform. Pikorua Security does not provide legal advice, insurance underwriting, or claims adjusting services, and is not an insurance agency or broker. Receipt of a certificate of insurance does not guarantee coverage under the underlying policy.

Talk to sales

What is the alternate employer endorsement, and why do clients require it?

WC 00 03 01 is the NCCI Alternate Employer Endorsement. It extends your workers' compensation and employers liability coverage to the client as if it were an insured, for injuries to your employees while placed with that client, and it applies on a primary basis. Clients ask for it so a temporary worker's injury does not land on their own workers' comp policy. Clients can be scheduled by name, and an agency whose business is supplying temporary workers may have the schedule read "all". The endorsement only works for states listed in Item 3.A of your policy.

How does Pikorua Security verify workers' comp in monopolistic states?

North Dakota, Ohio, Washington and Wyoming require workers' comp from the state fund, so a private carrier's ACORD 25 does not prove coverage for payroll there. Pikorua Security collects the state fund's own proof (WSI Certificate of Premium Payment, BWC certificate of coverage, L&I account verification, or the Wyoming Division's certificate), checks the employer account and dates, and confirms stop gap employers liability is in place because state fund policies do not include it.

Can placements be held automatically?

Yes. When a client requirement is not met, Pikorua Security sets a compliance flag on the Bullhorn placement or TempWorks assignment so it cannot move forward. Recruiters see the clause and the open broker request. An override requires the Risk Manager role and is written to the audit log with a reason.

Can we send a client proof that we meet its MSA?

Yes. Pikorua Security builds a client-specific packet: the certificate naming that client, the endorsement pages (AI, alternate employer, waivers), state fund certificates for its worksites, and the date each item was verified. You share it as a link, and it refreshes itself when a policy renews.

Will Pikorua Security tell us whether a client's indemnity clause is enforceable?

No. Anti-indemnity statutes and special employer rules vary by state, and that question belongs to your counsel. Pikorua Security is software: it records the clause, checks that your policies carry the coverage the clause relies on, and flags the gaps. It does not provide legal advice and is not an insurance agency or broker.

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Find out which client MSAs your policies do not meet.

Upload your current certificate, endorsements and three client MSAs. Pikorua Security maps every requirement against your coverage in about 10 minutes.