Working Compensation Insurance in California, for a staffing agency?

[teyo]

I been having this idea lately about starting a staffing agency and knowing that the insurance part may be one of the most expensive in this kind of business, naturally I would like to understand more about how it works and some round numbers if possible.

First let me tell you that at the beginning I will look only for people on the fulfillment area. That kind of employees that do the mailing orders when people by something in TV. I don't think they will represent too much of a risk when i comes to insure a worker.

So far I know I need a "working compensation Insurance" to be legally in this business.
I know the state has a lot of control about this matter. Can I deal with the state directly

There is another insurance that is call "umbrella". Is thas totally necessary?

[hewlett]

No, the umbrella isn't necessary - unless you have a contract with someone who requires it.

In CA, you need workers compensation, disability coverage, and general liability. Depending on what your contracts say, you might be required to carry business auto, and umbrella/commercial excess, as well. Likely, you'll need a license.

You'll have to talk to a local agent, to get quotes on all these. But you should be budgeting about $7,000 a year for your insurance, to start.

[curran]

Umbrella is not needed. Workers compensation is mandatory. The rate for clerical employees is about $0.80 per $100 of payroll.