Regulatory Agency Benefits
ESAC has been providing services to state PEO registration and licensing agencies for more than a decade.
Agencies retain full regulatory authority, and ESAC’s review of PEO filings identifies and resolves most errors and omissions that otherwise would require time-consuming investigation and correction by regulators. ESAC’s services and eMAC can be customized to meet each state’s requirements and are provided at no cost to the state.
ESAC helps regulators be more effective in several ways, including:
- Providing access to an additional level of compliance verification and certification based on ESAC’s quarterly review of the multi-state operations of all PEO entities under common control, and
- Certifying accredited PEOs’ compliance with state regulatory requirements so that agency staff has the time to focus more on other PEOs that may have financial or other compliance issues requiring regulatory action.
Comprehensive multi-entity, multi-state compliance monitoring is the single most important reason that ESAC has successfully accredited both large and small PEOs (representing more than half of the total industry’s service volume) for almost two decades without a single financial default.
By working with ESAC, regulators not only gain the benefit of an additional layer of compliance monitoring at no additional cost, but also are able to learn and apply reliable PEO financial solvency monitoring methods that have stood the test of time.