OnForce - Peter

OnForce - Peter Cannone CEO I feel like we are being Extorted Internet

8th of Mar, 2011 by User612390

Buyer and Contractor BEWARE!!!!! Yesterday a business associate received the email from a company we both do subcontract work through. This company already takes a 10% fee from us independent contractors not only for our labor but parts and travel fees also. Now they want to force us into getting insurance that is not required for our type of work. OnForce is going too far!!!!Most of us agree as professional we should carry General Liability, Auto, and Workman’s Compensation (or Wavier per state requirement) but not Errors and Omissions Insurance but we are under direction to acquire this unnecessary insurance or they will fine us even more money. Oh and by the way OnForce has teamed up “Our trusted broker, Wells Fargo Insurance Services” to offer this type of insurance (VERY STRANGE). I feel something is not right and I say Buyer and Contractor BEWARE!!!!! OnForce Email "March 9, 2010 Dear XXXXXX, As your partner in service, we have made great progress in providing you with the best-of-the-best in field services: the best work opportunities, the best service delivery for our service buyers, and the best technology platform available in the market. We have implemented new processes to help talented OnForce Pros thrive, expanded our portfolio of offerings, and have made important technology advancements. We keep a pulse on the IT services industry through our constant interaction with OnForce Pros and service buyers. Through our research, we have received overwhelming evidence that leading companies have strong interest in embracing the on-demand service delivery model that OnForce offers, but they have business requirements that warrant us making some changes. The companies we spoke with included large IT service organizations, telecom/internet companies, technology manufacturers and others that manage thousands of service events every day, nationwide. Our most important role is to bring you more quality work opportunities. In the coming weeks, we will be implementing the following changes that will undoubtedly bring more work volume to OnForce and to you. I. Insuring All OnForce Service Events
One key requirement of these leading companies is for OnForce to cover each service event with industry-standard insurance, including: Workers’ Compensation (personal injury to an OnForce Pro)
General Liability (property damage caused by the actions of an OnForce Pro)
Errors & Omissions (financial loss caused by the actions of an OnForce Pro)
As of April 3, OnForce corporate insurance policies will cover all service events that are performed through the platform. What Does This Mean For You? If you currently have insurance coverage (i.e., Workers’ Compensation, General Liability, and Errors & Omissions), your policy information must be verified by OnForce. To satisfy all requirements, all documentation must be received by OnForce by March 28 and verified by no later than April 3, 2011. Please note that we are now tracking Workers’ Compensation insurance. If you carry this, please add this to your service profile or re-verify that we have all of your information. Go here for details. If You Decide Not To Carry Insurance
We know that many OnForce Pros are sole proprietors without employees and that Workers Compensation coverage does not apply. We also recognize that we have a diverse OnForce Pro community and carrying General Liability and Errors & Omissions insurance may not be a financially viable option for everyone. However, this same community provides outstanding work for service buyers and we would like you to continue to be successful with OnForce. If we have not verified insurance for your business for all three types by April 3, an insurance fee will be applied to the work order to cover our costs: No verified Workers Compensation, 3.2% insurance fee applied
No verified General Liability, 0.8% insurance fee applied
No verified Errors & Omissions, 0.7% insurance fee applied II. New Terms and Conditions with Service Buyers and OnForce Pros
To enable us to provide insurance coverage for every service event, we will also be changing our legal terms and conditions with service buyers and OnForce Pros. Later in March, you will get an opportunity to review and agree to a direct Independent Contractor Agreement with OnForce. Please note that this new contractual relationship will not alter how you interact with service buyers today, through the OnForce platform, to complete quality service events in the field. We are excited about bringing new work opportunities to OnForce Pros and engaging with more leading IT service companies to use OnForce. I hope you share my enthusiasm and I look forward to revolutionizing the service industry as your partner. If you would like more information, we have provided a number of resources within this letter. Thank you, Peter Cannone
CEO, OnForce
Your Partner in Service Additional Details Obtaining Your Own Insurance
There are good reasons to insure your business rather than rely on OnForce corporate insurance policies. If you do not carry insurance, any service work that you perform outside of OnForce will not be covered. General Liability and Errors & Omissions. If a mishap occurs during an OnForce service event that results in a General Liability or Errors & Omissions claim, the claim will likely be directed to OnForce or the service buyer. However, if a claim is directed only at you, the OnForce insurance policy will not apply and you will not be protected. Workers’ Compensation. Note that OnForce Workers’ Compensation insurance will cover you in the event of an injury during an OnForce service event. However, if you are a business with employees, most U.S. states require you to obtain Workers’ Compensation insurance as a matter of law. Since requirements vary by state, we highly recommend that you consult with an insurance broker you trust to provide you with the best advice. Our trusted broker, Wells Fargo Insurance Services, can provide you with competitive quotes for General Liability and Errors & Omissions coverage. Currently, Wells Fargo Insurance Services is offering special, no financing insurance options for all OnForce Pros. For more details, go here. "Errors and omissions insurance is business liability insurance for professionals such as insurance agents, real estate agents and brokers, architects, attorneys, third party administrators, quality control workers, NDE Persons, and other business professionals. An error or omission, a mistake, which causes financial harm to another, can occur on almost any transaction in any profession. This type of insurance helps to protect; a professional, an individual or a company, from bearing the full cost (up to amount of policy) of defense for lawsuits and related cost of lives or property lost relating to an error or omission in providing covered Professional Services. This insurance is extremely cost prohibitive and unless required by contractual needs should be avoided.

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