Companies Now Can Decline PEOs' Work Comp Coverage and Purchase Own Instead

Gov. Chris Christie has signed a law that gives companies that work with professional employer organizations the option to choose where to purchase workers' compensation coverage. Before Christie signed Senate Bill 2512, PEO clients were bound to the workers' compensation coverage the PEO provided. The National Association of Professional Employer Organizations supported the bill, which it said "modernizes the state's PEO statute." Introduced by a trio of Democratic senators and cosponsored by a Republican, the bill passed unanimously in the Senate and House. ...