Bond Insurance and Guarantees for Temporary Employment Agencies
It ensures compliance with labor obligations and improves creditworthiness.
Bonds or guarantees for temporary employment agencies are essential to ensure liabilities for compensation, salaries, and Seguridad Social (National Health Service), in accordance with current regulations.
Bond insurances or guarantees for temporary employment agencies are a modality in which the policyholder is the natural or legal person operating as a Temporary Employment Agency (ETT in Spain). Its objective is to guarantee debts arising from compensations, Seguridad Social (National Health Service), and salaries that may arise from its activities, according to what is established in Law 14/1994, of June 1, which regulates Temporary Employment Agencies. This insurance is presented to the provincial directorate of employment services or the employment department of the relevant autonomous community, dependent on the Ministerio de Trabajo (Ministry of Labor).
Coverages
The surety insurance responds for the debts arising from compensations, salaries, and Seguridad Social (National Health Service) that may arise from its activity as a Temporary Employment Agency, in accordance with Law 14/1994. Furthermore, it guarantees the payment of such debts even if they were generated from the day of the initial authorization of the activity as a ETT (TEA).
Bond Insurance and Guarantees for Temporary Employment Agencies
How can we help you?
Contact your specialists for Bond Insurance and Guarantees for Temporary Employment Agencies
Frequently Asked Questions
How do I take it out?
With our tool AvalesNet or by filling out the following online questionnaire, you can have your guarantee/bond insurance in approximately 48 business hours, provided that the questionnaire is completed and the necessary documentation is submitted.
Advantages of Bond Insurance
The bond insurance for temporary employment agencies is an excellent alternative compared to other options like bank guarantees, due to the following advantages:
Increase in Credit Capacity: Not computed in the CIRBE.
Decrease in Balance Requirements: It improves the company's financial situation.
Lower Costs: Thanks to the exact scheduling of coverage days.
No Commissions: No study or opening fees.
No Pledge of Advances: Financial resources remain available.
Legislation
Law 14/1994 of June 1: It regulates temporary employment agencies. Royal Decree 4/1995 of January 13: It establishes the applicable regulations.