For retail agents placing Workers’ Comp, few phrases carry more frustration than “assigned risk pool.” When clients get stuck in the pool, it usually means they’ve been rejected by standard markets, often due to high mods, gaps in coverage, or high-risk class codes. For staffing agencies in particular, this situation is increasingly common. However, while the assigned risk pool may seem like a dead end, there are real strategies to help staffing clients transition into smarter, more flexible coverage.

In this article, we discuss why clients end up in the pool and how agents can use specialized markets to move them into more competitive programs. If you’re working with staffing agencies currently in the pool, our Workers’ Comp insurance for staffing agency clients can be the solution they need.

Why Staffing Agencies End Up in the Assigned Risk Pool

Staffing agencies face a unique set of placement challenges that often funnel them into their state’s assigned risk plan. Here are the most common causes.

New Ventures With No Prior Coverage

Many staffing agencies entering the market have no loss history or prior policy. Without a track record, most standard carriers shy away. The assigned risk pool becomes the default — not because the agency is a bad fit, but because the market lacks appetite for the unknown.

High Mods and Claims History

A history of frequent or severe claims will tank placement chances in traditional markets. When e-mods spike above industry averages, staffing clients can find themselves blacklisted by the very markets they relied on last year.

High-Risk Class Codes

From construction labor to event staffing, certain class codes are just more difficult to place. Many carriers avoid them due to perceived volatility, especially if paired with multi-state exposure or inconsistent job tracking. These are common challenges in placing high-risk Workers’ Comp clients.

Lapsed, Bare, or Cancelled Policies

If a client has gone bare or faced cancellation, even briefly, that gap can trigger automatic disqualification in many standard programs. The assigned risk pool is often the only remaining path, but it’s not the only long-term solution.

The Problem With Staying in the Pool

The assigned risk pool may provide compliance, but it’s a costly compromise that involves:

• Higher premiums with no tailoring to the client’s actual risk profile
• Limited carrier services, like safety programs or claims support
• No residual commissions for agents

Most importantly, staying in the pool prevents growth. Clients lose out on more competitive programs, and agents miss opportunities to expand relationships.

Real Strategies To Pull Staffing Clients Out

The good news: There are alternatives. Wholesale Workers’ Comp markets exist specifically for these scenarios. By working with wholesalers like Worksperity that understand high-risk industries and have access to niche carriers, agents can often move staffing clients out of the pool and into sustainable programs.

Consider the potential upside with these hypothetical scenarios:

• A staffing firm with a 1.89 e-mod and multiple loss runs gets placed through a wholesale market that evaluates full claims context, not just the number.
• An event staffing company previously stuck in the pool due to inconsistent payroll reporting transitions to a PayGo-style plan through a wholesale partner.
• A new staffing startup with no prior coverage gets placement via a wholesale MGA willing to write “clean-slate” clients using alternate rating methods.

These examples show how Workers’ Comp insurance for staffing agency programs can unlock real value.

What Agents Can Do Today

If your staffing client is in the pool, here’s how to start pulling them out:

• Review key documents. Loss runs, mod worksheets, and any prior declines will shape the strategy.
• Prepare a clean submission. Accurate payroll, job classifications, and current details improve turnaround.
• Contact a Wholesale Workers’ Comp partner. Worksperity specializes in Workers’ Comp for staffing agencies and tough placements.

For more tips, review our guide on moving clients from pool to placement.

Help Your Clients Get Out of the Pool

The assigned risk pool might be a safety net, but it shouldn’t be a long-term home for your staffing clients. With the right wholesale relationships, agents can turn tough-to-place clients into long-term partners.

Send a submission today to secure Workers’ Comp insurance tailored for staffing agencies and other high-risk clients.

About Worksperity

Worksperity is a specialized wholesale brokerage focused exclusively on Workers’ Compensation. We partner directly with retail agents to simplify placements for hard-to-place industries and clients with coverage barriers. Our deep expertise, rapid quote capabilities, and access to 90+ niche markets empower agents to win more business, faster. Learn more at worksperity.com.