The Employer Services Assurance Corporation (ESAC) is an independent nonprofit corporation that is the official accreditation and financial assurance organization for the PEO industry. ESAC is managed by a board of directors that includes PEO industry attorneys, CPAs and independent directors representing more than 100 years of combined PEO industry regulatory experience. The independent directors make the final decisions regarding PEO accreditation. Earning accreditation demonstrates a PEO’s financial stability, ethical business conduct and adherence to operational standards and regulatory requirements.
What is accreditation?
The Employer Services Assurance Corporation (ESAC) provides independently verifiable assurance that accredited PEOs follow industry best practices and meet accreditation standards and government regulations.
Verified compliance with industry standards
Accredited PEOs are continuously monitored for adherence to over 40 financial, ethical and operational standards and submit quarterly independent verifications of their payment of key employer responsibilities.
ESAC provides over $15M in financial assurance backing the performance of accredited PEOs. Assurance is provided through surety bonds held in Trust and protecting accredited PEO clients, employees, insurers and taxing authorities. ESAC’s services and assurances are similar to the FDIC for the banking industry, SIPC for the securities industry and state insurance guaranty associations for the insurance industry.