Legacy Employer Concepts launches workers’ comp screening guide for tough risks

Legacy Employer Concepts has released a five-question screening approach to help insurance agents judge when a PEO may be a viable alternative for clients with hard-to-place workers’ compensation risks. The guidance is aimed at speeding up decisions, avoiding dead-end submissions and identifying when another placement path is worth exploring.

Why it matters: - Insurance agents facing difficult workers’ compensation placements now have a faster way to decide whether a Professional Employer Organization option is worth exploring. - The approach could help reduce wasted time on risks that are unlikely to fit the traditional market. - The screening is designed to preserve the referring agent’s client relationship while adding another placement path.

What happened: - Legacy Employer Concepts published a workers’ compensation placement screening approach for insurance agents dealing with commercial clients that are struggling in the traditional market. - The Florida-based PEO brokerage said the framework helps agents assess whether a PEO may provide another avenue when conventional workers’ compensation options are limited. - Brett Arthur of Legacy Employer Concepts said a workers’ comp declination does not have to end the client conversation and that a PEO may be worth evaluating when the actual risk supports it.

The details: - Legacy Employer Concepts recommends starting with five questions: what the company does, where employees work, payroll by classification, recent loss history and what caused the traditional market challenge. - Those questions are meant to show quickly whether there is enough information to begin evaluating PEO alternatives. - Industries often associated with tougher workers’ compensation placements include construction, roofing, transportation, staffing, tree service, agriculture and manufacturing. - Legacy Employer Concepts said class codes, claims history, startup status and the nature of the work can narrow carrier appetite. - PEO underwriting still depends on each provider’s requirements, so not every business will qualify. - The company said involving a PEO broker earlier in the process can save time before a traditional placement reaches its final stage. - Arthur said the more the broker knows about operations, states, payroll, loss history and prior market attempts, the easier it is to identify whether a realistic PEO path exists. - Professional Employer Organizations can bundle workers’ compensation with payroll administration, HR support and employee benefits, depending on the provider and arrangement. - Because the full PEO relationship is considered in underwriting and pricing, evaluating a PEO alternative is different from getting another standalone workers’ compensation quote.

Between the lines: - The move reflects a broader market reality: some risks are not missing coverage, but missing the right structure for coverage. - Legacy Employer Concepts is positioning itself as a placement resource for agents, not a substitute for the original client relationship. - Arthur said the goal is to avoid overpromising and to avoid pushing clients into solutions that do not fit.

What's next: - Insurance agents are being encouraged to bring complete and accurate information earlier in the placement process. - Legacy Employer Concepts will continue evaluating whether a PEO path exists when traditional workers’ compensation options stall. - The company said the objective is to determine whether another legitimate option exists, not to assume every hard risk can be written.