Host Employer Insurance
Cover for businesses that host workers they don't employ - labour-hire workers, GTO apprentices and work experience students. Your workers comp generally covers your own staff. This is the cover for the gap the others can leave.
Hosted
Worker Claims
3
Routes Into Hosting
PL+
Extension or Standalone
Recognition
THE SHORT ANSWER
Host employer insurance covers a business against injury claims from workers it hosts but doesn't employ - labour-hire workers, apprentices placed through a group training organisation, and work experience students. The worker's agency or GTO generally holds the workers compensation; host employer liability responds to the common-law claims and recovery actions that can land on the host instead, subject to the policy terms, limits and exclusions.
It's often arranged as an extension to public liability, and sometimes as a specific cover. The trap is assuming your existing public liability picks it up - many wordings exclude injury to people performing work for you. If labour-hire workers, apprentices or students are in your workplace, this is worth a wording review.
A host employer takes someone else's worker into their workplace and directs the daily work. That arrangement splits the insurance picture in a way that's easy to miss until there's an injury.
If anyone works in your business who isn't on your payroll, you're likely a host. The agency, GTO or education provider generally holds the worker's cover, while a negligence claim against you as the host sits with your own.
With labour-hire arrangements, the first questions are structural: who controls and directs the workers day to day, and how the contracts between the parties are set up. Those two answers decide whose policy is meant to respond - which is why we ask them before anyone talks about a premium.
Running the agency instead of hosting the workers? Labour-hire agencies and GTOs carry their own distinct program - see our labour hire insurance page for the agency side of the relationship.
THE LIABILITY GAP
Why Hosts Fall Between Two Policies
Four reasons the claim can land on you rather than on the policies you'd expect to answer it.
The Worker Isn't Your Employee
Labour-hire workers, GTO apprentices and placement students are usually employed (or covered) by the agency, GTO or education provider. Their workers compensation policy generally responds to the statutory injury claim, not yours.
Your Workers Comp Generally Doesn't Respond
Workers compensation arrangements vary by state, but a host's own policy is built around its direct employees. If a hosted worker sues you at common law for negligence, that policy generally won't pick up the claim.
Public Liability Often Excludes Injury to Workers
Check the wording: public liability policies often exclude injury to people performing work for you, which can catch labour-hire workers and apprentices under your direction. The host employer gap sits right at that boundary.
Recovery Actions Can Flow Back to You
If the agency's workers compensation insurer pays a statutory claim and considers the host was negligent, it may seek to recover its outlay from you. Host employer liability cover is designed to respond to that exposure, subject to the policy terms.
THE PRACTICAL POINT
Statutory Side, Common-Law Side
The agency's workers comp handles the statutory claim, your workers comp handles your own employees, and neither is built for a negligence claim against you by a worker you host. This is general information - workers compensation arrangements vary by state, so check the rules that apply to you.
STATUTORY SIDE
The employer's policy
The worker's agency, GTO or education provider generally holds the workers compensation that responds to the statutory injury claim - not you as the host.
COMMON-LAW SIDE
Host employer liability
A negligence claim against you by a hosted worker, or a recovery action from the workers comp insurer, is exactly the space host employer liability cover is designed for, subject to the policy terms.
WHO NEEDS IT
Who Should Look at Host Employer Cover
If anyone works in your business who isn't on your payroll, you're likely a host. These are the three usual routes in - plus the other side of the arrangement.
01
Businesses Using Labour Hire
If an agency supplies workers to your site and you direct their day-to-day work, you're a host employer. The agency's workers compensation generally covers the statutory side, but a negligence claim against you sits with your own cover.
02
Hosts of GTO Apprentices
Group training organisations employ the apprentice and place them with you. You supervise the work; the GTO runs payroll and workers comp. Your host agreement will usually spell out the insurance you're expected to hold.
03
Work Experience Hosts
Taking on school, TAFE or uni placement students puts young, inexperienced people in your workplace. Education-system arrangements vary by state, and they generally don't cover a negligence claim made against you as the host.
04
Agencies & GTOs
Running the agency instead of hosting the workers? Labour-hire agencies and GTOs carry their own distinct program - see our labour hire insurance page for the agency side of the relationship.
WHAT IT RESPONDS TO
What Host Employer Cover Typically Addresses
Every wording differs, so treat this as a map rather than a policy summary. Cover is always subject to the policy terms, limits and exclusions.
Usually Covered
Not Typically Covered
This is a general guide only. What is and isn't covered depends on the terms, conditions, limits and exclusions of your specific policy.
HOST EMPLOYER FAQS
Common Questions About Host Employer Insurance
RELATED COVER & GUIDES
More on Hosting Workers
Hosting labour-hire workers, apprentices or students? Send us your current public liability wording and we'll check whether the host employer gap is covered.
Talk to Our Team →
Get a Host Employer Insurance Quote
Tell us about your workplace and the workers you host. We'll check where your current cover stops and arrange host employer liability that fills the gap, alongside your broader business insurance.