Lighthouse LLC, has consummated an agreement to provide workers’ compensation programs for the Professional Employer Organizations (PEO) industry and employers with under $100,000 in premium.
The agreement is with a B+ rated insurance carrier that currently holds licensure in 41 states. The initial focus will be in Florida, Georgia, South Carolina, Alabama and California. Previously, PEOs and small employers have reportedly had limited options when seeking workers’ comp coverage.
This agreement will reportedly likely afford PEOs, small employers and their insurance agents greater flexibility and cost-effectiveness in securing coverage. This is the second exclusive relationship Lighthouse has retained to serve the PEO community and the agents that represent it.
This new relationship will allow Lighthouse to provide workers’ comp to its PEO clients and appointed agents in three different manners: master policies, multiple coordinated policies (MCPs) and on a
traditional stand-alone basis.
In addition, Lighthouse will be administering a “pay as you go” format that will allow the PEO or payroll company to bill and remit their clients’ respective workers’ comp premiums on a real-time basis as payrolls are run. To help support this directive, Lighthouse has purchased specialty software that will allow its PEO and agent partners to quote business on-line, as well as enable the PEO to run a multitude of profitability reports down to the employee level.
To support this initiative, Lighthouse has recently hired Rick Kirsch, formerly of CNA and AIG, as its director of underwriting. Michael Bass, formerly with Aon and Marsh, will serve as the director of marketing. They will be charged with the distribution of these products through their existing agency contacts.
“This new relationship allows us to expand our PEO offerings outside of the State of Florida, as well as provide a true self-audit program for PEOs when individual policies are used in lieu of a master. The PEO will be able to provide its true value proposition whether by master or multiple coordinated policies,” said Paul Hughes, CEO.
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