Beauty Insurance

In the heart of any town or city, there’s likely a variety of stores offering beauty treatments. Of course, there’s a simple reason for this, everyone likes to look good! 

Clients put their trust in beauty professionals to provide a safe and reliable service – and they want to walk away feeling great. Whether they’re visiting your business for a haircut, pedicure, massage, it’s important to make sure they’re well looked after throughout their treatment. Even if you take every precaution, there is always a risk that an accident could happen beyond your control. For example, beauty salons contain dangerous equipment such as professional-grade chemicals and sharp tools that could injure a client. And in a bigger loss (e.g. a fire or flood) expensive equipment could be damaged. It’s important to protect yourself, your clients, and your business with a risk management strategy.

As beauty professionals, we know your business risks are unique. We’ve helped more than 100,000 entrepreneurs protect their businesses with insurance policies that are designed to cover their needs.

At Zensurance, we’ve made it our mission to make insurance as accessible as possible. Below you’ll find helpful information to get you started on the basics of beauty insurance.

As there are a variety of services found within the beauty industry, there are many factors to consider when insuring your business. For example, a mobile hairdresser would need very different coverage from a hair salon owner. This can make it challenging to find comprehensive coverage that’s right for you.

Our beauty insurance policy packages are specially designed to protect beauty professionals against specific risks associated with beauty services, including equipment- and treatment-related accidents and injuries.

Beauty insurance describes several insurance policies that are combined to provide comprehensive coverage. Typically, beauty insurance includes the following coverages:

• Commercial General Liability Insurance: Also known as “slip-and-fall insurance,” CGL is basic coverage that protects you against day-to-day risks that could be encountered while running your business. It protects your business against claims of third-party bodily injury or property damage that occur at your business location. CGL generally covers medical fees and legal expenses, regardless of the lawsuit’s outcome.

• Commercial Property Insurance: Commercial Property Insurance protects your business location and the property within from an insured peril. An insured peril (an event that is covered by your insurance policy) is a listed risk that occurs beyond your control, such as a fire or theft. There are a lot of components within this coverage, and one of our brokers can happily walk you through the policy to ensure you know what events are covered by this insurance. Commercial Property Insurance policies often include business interruption (a.k.a. business income) coverage, which provides reimbursement for net income lost following an insured event.
  • Please note, business interruption coverage will not cover income lost due to a pandemic, infectious disease, or government-mandated closure.

• Professional Liability Insurance: Also known as Errors & Omissions Insurance (E&O), PLI offers coverage for misconduct, negligence, or failure to deliver a service as advertised. If a client feels your professional advice didn’t have the expected results, they could sue. For example, a client took your professional advice and purchased a face cream that you assumed was safe for sensitive skin. After using the product, the client has a bad reaction. They then discover the ingredients are harmful sensitive skin so sue you for negligence. Professional Liability Insurance typically covers legal fees and damages, including monetary judgments.

• Product Liability Insurance: Product liability coverage protects against claims alleging that a product used during a treatment, or sold to a client caused bodily injury or property damage. Damages ordinarily covered by product liability are usually the result of a design, manufacturing, or marketing defect, such as an incorrect label or a lack of safety warnings.

Any professional or business providing beauty services should protect their business from common risks with a Beauty Insurance policy package.

We’ve insured more than 1,000 beauty professionals. Some of our clients include:

Many factors go into the total cost of your beauty insurance policy. To give you a rough estimate, a low-risk, small-business can expect to spend approximately $450/year on a Commercial General Liability policy with a limit of $2M.

Want to make sure you get the best price for your business? We do too. That’s why we’ve partnered with over fifty insurance providers to offer you a variety of options that’ll suit your business needs.

When you complete our online application for a free quote, we will ask questions about your business that will help us to determine what coverage you should have.

Here are some of the main factors we take into consideration:

• Services offered
• Years of experience
• Claims history
• Training and education

Spa or beauty salon owners

If you own a spa (or another kind of beauty salon), you need comprehensive coverage to cover the property, your employees, and general business liability risks. Whether you rent or own the location, it’s usually required to have General Liability Insurance and Commercial Property Insurance. Still, several other policies can protect your business from claims and lawsuits unique to your beauty services.

As beauticians often provide professional advice, Professional Liability Insurance could protect your business from claims alleging negligence or misconduct. On a similar note, if any of the products you use or sell are defective, Product Liability Insurance may cover injuries or property damage caused by the product.

Suppose you have full-time employees working at your spa or salon. In that case, they may be covered by your Commercial General Liability insurance. However, your policy limit typically applies to all employees under your policy rather than individual employees. You have the option to increase your limit to accommodate your entire staff. Alternatively, if you offer your space to freelance beauticians, you can ask them to carry their own Liability Insurance. 

Lastly, if you use a booking system to store clients’ data (e.g., financial, medical), it’s your legal obligation to protect this information. Cyber Insurance covers costs like legal fees associated with electronic incidents (e.g., a cyber hack) involving your technology systems and data.

Suggested Coverage:

• Commercial General Liability Insurance
• Commercial Property Insurance
• Business Interruption Insurance
• Product Liability Insurance
• Professional Liability Insurance
• Cyber Liability Insurance

Mobile Beauty Professionals

Working as a mobile beauty therapist allows you to offer treatments at locations convenient for your clients (generally at their homes). From an insurance lens, operating as a mobile beauty professional has unique risks.

Chances are, you work for yourself (an employer does not cover you), so you need comprehensive insurance that travels with you. Suppose you provide your services at various locations. In that case, General Liability Insurance may cover any injuries that occur during treatment (e.g., a client slips on massage oil) as well as any potential property damage at a client’s home (e.g., you dent a floor while setting up your massage table). 

If you distribute, use, or sell beauty products, Product Liability Insurance could provide coverage should a client claim your products cause property damage or bodily injury (e.g., an allergic reaction to the shampoo you use). 

If you provide professional advice that results in an injury, Professional Liability Insurance may provide coverage for any negligence claims filed against you.

Suggested Coverage:

• Commercial General Liability Insurance
• Product Liability Insurance
• Professional Liability Insurance
• Cyber Liability Insurance