The beauty and personal care industry is where businesses and professionals are exposed to many risks. And as a protection, carriers underwrite beauty insurance. Read to know what this is, how much it costs, and the best companies. To make your time more worthwhile, we’ll also discuss the different types of beauty industry insurance plans.
Carriers underwrite beauty insurance for businesses and professions in the personal care and beauty industry. Through it, a policyholder can enjoy the protection of different policies that cater to lawsuits, business property damage, and other exposures.
Businesses eligible to get beauty insurance are as follows:
In addition, this specialized insurance product is also available if you’re working as a:
General liability insurance for beauty business provides protection against personal injury claims or property damage claims customers, visitors, and other third parties file.
In other words, this insurance comes in handy when your beauty business inflicts third parties with injuries or property damage.
There are many situations where your beauty business can cause injuries or property damage. Here are a few examples:
A particular procedure was improperly done and resulted in wounds, muscle pains, dislocation, and other injuries to a client
Slip and fall accidents caused by poorly minded business premises, which result in injuries or property damage
Equipment used to provide a beauty service goes haywire and injures a client or damages their property
The coverage of beauty liability insurance is very broad. Nonetheless, we can summarize the primary functions of general liability insurance into the following:
Cover medical treatment or funeral expenses if your beauty business is liable for the injuries sustained by a third party who filed a claim
Reimburse the losses of a third party who holds your beauty business liable for his or her damaged property
Take care of attorney fees, investigation fees, court fees, judgments, and other defense costs if the claim is taken to court
So how much insurance money does general liability provide for you to cover a claim? Limits differ between companies. But for most beauty businesses, general liability insurance has a $1 million-$3 million per occurrence with a $2 million-$4 million aggregate. Don’t forget that deductibles might apply.
As we said earlier, general liability insurance is very broad. Why is this anyway? The reason is that you can include additional coverages to the terms of general liability insurance such as:
Advertising injury coverage-With advertising injury coverage included, your beauty business can use general liability insurance to cover settlements and defense costs if a third party files a claim for slander, libel, and copyright infringement
Rented premises liability coverage-Add rented premises liability coverage to general liability insurance to cover indemnification to the owner if a fire damages a space or building your beauty business is renting
Non-owned/hired auto liability coverage-By adding non-owned/hired auto liability coverage to its language, general liability insurance can cover expenses if an employee causes an accident while using his vehicle to run an errand for your beauty business. It also covers the cost of auto accidents caused by rented or leased vehicles
The advertising injury coverage of your beauty business has a $100,000-$500,000 per occurrence limit with a $1 million aggregate. Rented premises liability coverage has a $1 million-$2 million per occurrence limit.
General liability insurance doesn’t cover claims for bodily injuries or property damage filed by full-time employees, part-time employees, business partners, and others.
You can’t use general liability insurance to cover losses if your beauty business’s property is damaged or destroyed.
Another thing, your beauty business’s liability for auto accidents its commercial vehicle causes is excluded in the terms of general liability insurance.
Professional liability insurance is another policy that protects your beauty business against lawsuits customers file. It provides protection when a client files a claim because your beauty business committed:
Violation of good faith
Violation of fair dealing
The per occurrence limit of professional liability insurance is $1 million-$2 million. It has a $2 million aggregate limit.
But note that if your beauty business provides highly perilous services (e.g. surgery, tanning, microblading, etc.), beauty insurance companies will allow you to get professional liability insurance offering $5 million-$10 million coverage.
Consider purchasing product liability insurance if your beauty business generates money by selling cosmetics and other similar products to customers.
Your beauty business is liable to cover compensation for pain and suffering if a customer experiences allergic reactions after using the products of your beauty business.
And so, insurance companies underwrite product liability insurance that allows you to satisfy such a responsibility without losing money. The following costs are covered by this type of beauty treatment insurance:
Compensation for injuries (and even property damage) caused by the product of your beauty business
The product liability insurance of beauty businesses has a $2 million per occurrence limit with a $3 million aggregate. Note that you can get this as an add-on to general liability insurance.
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If your beauty business is a spa, salon, or bodywork clinic, a commercial building and pieces of beauty equipment will surely be a part of your investment.
In connection, consider getting commercial property insurance to have a countermeasure in case something happens to such business properties.
Commercial property insurance will allow you to recoup lost investments if your beauty business’s building is damaged or destroyed by:
Refunds for your losses is also provided by commercial property insurance if the perils above cause the damage or loss of your beauty business’s equipment such as:
Electric massage beds
Before we discuss the amount of coverage you can get from commercial property insurance, you must understand the terms replacement cost and actual cash value.
Replacement cost and actual cash value are two types of commercial property insurance policies available.
A replacement cost commercial property insurance refunds your financial losses as per the original value of the covered property. On the other hand, actual cash value commercial property insurance reimburses lost capital based on the depreciated value of the property it covers.
The amount of coverage you can get from commercial property insurance depends on which particular carrier you decide to work with.
You’ll find insurance companies that only allow you to get $10,000-$25,000 building and contents coverage from the policy. Others are more generous and allow commercial property insurance to offer more than $1 million.
Your beauty business can’t use commercial property insurance to recover losses if its building and equipment got lost or damaged due to war, terrorism, mudslides, earthquakes, and floods. Nonetheless, you can get endorsements to include these perils in the policy’s language.
Another thing to remember is that commercial property insurance doesn’t provide coverage if business property damage or loss is intentionally caused by an employee or you yourself.
Also, commercial property insurance doesn’t cover equipment that got damaged or lost while being shipped. You can’t also use the policy to recover the monetary value of the properties of other persons that got damaged or lost while in your beauty business’s custody.
Workers compensation insurance is handy if your business employs one or more full-time or part-time employees. This policy covers the following costs if an employee sustains a work-related injury or disease.
Ambulance fees/medical treatment-Workers compensation allows you to cover private EMT fees and hospital emergency treatment fees if an employee sustains an injury or experiences the onset of a work-related injury at the workplace
Hospitalization-Workers compensation insurance covers bills if an employee of your beauty business needs to stay in the hospital to receive intensive medical attention for a work-related injury or disease
Medication-Workers compensation insurance will cover expenses if your employee needs a specific medicine for a work-related injury or disease
Rehabilitation-Workers compensation insurance allows your beauty business to cover the rehabilitation of an employee who sustains permanent or temporary impairment due to a work-related injury or disease
Lost wages-Workers compensation insurance covers lost wages if your employee needs to take a break because of a work-related injury or disease. Compensation for lost wages is a weekly allowance equal to two-thirds or 67% of the average weekly wage
Death benefits-If your beauty business’s employee dies, workers compensation insurance will pay for funeral costs and provide an allowance to dependents
Your beauty business will face hefty fines and penalties if it doesn’t get workers compensation insurance for employees. Punishment depends on which state you’re in. But usually, authorities impose an accumulating fine, a stop-hold order, or a criminal charge to violators.
Commercial auto insurance is available as an optional policy in beauty insurance programs. You need this if your beauty business has a commercial vehicle registered under its name.
There are several types of protection you can get from commercial auto insurance. Each caters to specific undesirable situations that can happen while your beauty business is utilizing its commercial vehicle. Namely, these are:
Auto liability coverage-Your beauty business’s commercial vehicle will cause an accident, and auto liability coverage can wrap things up. It will pay for the medical treatment or property damage of the victims. Plus, if someone files a lawsuit, auto liability coverage will also take care of defense costs
Physical damage coverage-Available as a comprehensive and collision policy, physical damage coverage will cover costs if your beauty business’s vehicle needs to be fixed. Collision physical damage coverage pays for expenses if the commercial vehicle got damaged because of a crash. On the other hand, comprehensive physical damage coverage shoulders cost if the damage is caused by fire, theft, vandalism, and other covered perils
Uninsured/underinsured motorist coverage-Another driver can cause an accident and your beauty business’s commercial vehicle might get involved. If the other driver doesn’t have enough insurance or is uninsured and can’t take care of indemnification, underinsured/uninsured motorist coverage covers your losses instead
Medical payments coverage-Medical payments coverage will pay medical or funeral expenses of the driver and passengers in case of an accident. Coverage applies regardless if the accident was your commercial vehicle’s fault or not
Business interruption insurance covers your beauty business’s lost income. If you need to stop business operations, this insurance will supplement lost revenues and enable you to cover payroll, bills, taxes, loans, etc.
Insurance companies sell self employed beauty insurance in the form of a short-term general liability policy that lasts for hours, days, weeks, or months. A policyholder also has the liberty to upgrade this freelance beauty insurance into an annual policy. The coverage limit for bodily injuries or property damage is $1 million-$2 million.
Holistic beauty insurance is for salons and other beauty establishments that provide a wide array of services to clients. Inclusions are general liability, commercial property, workers compensation, and more.
Insurance companies underwrite specialized insurance plans for specific types of beauty businesses. Here’s a quick discussion of each.
Compared to freelance beauty insurance, beauty salon insurance is often a lot more expensive. This is because beauty salons tend to see far more people over the course of a month or a year, increasing the chances that you may have to file a claim with your insurer and increasing their risk.
Out of all forms of beauty and aesthetics insurance, tanning salon insurance tends to be more expensive because of the exposure to UV lights that your clients have to endure. This is due to the risk of skin cancer associated with UV exposure, which means that many insurers refuse to cover these businesses.
Hair and beauty insurance quotes for barber shops tend to be a little bit higher than in other industries because of the sharp objects involved in most cases. While it’s rare that someone ends up getting injured at a barber shop, insurance companies will still charge a bit more for barber shop insurance.
Spa insurance is usually a little pricey because of the slick surfaces that are relatively common in spas. Many spas have trouble with customers and workers slipping and falling, which often leads to bodily injury suits. This means that insurance carriers don’t hesitate to charge a bit extra on their premiums.
Nail salon insurance is a coverage for manicurists and other similar professionals. Whether dealing with manicures or acrylic nails, insurance companies usually won’t charge too much for nail salon insurance if you operate such a business.
Cosmetology insurance is usually a little more expensive because of how much training the beauty professional performing the procedure needs. Because of the risk of an unqualified worker making a mistake, insurance companies charge slightly higher premiums for cosmetology coverage.
Bodywork insurance is also pretty pricey due to the hands-on nature of bodywork procedures, increasing the chances of someone filing a lawsuit or pressing charges. As we’ve established, a higher risk of a client getting charged or sued over their job means that insurance carriers will charge more for coverage, and this is the case for bodywork coverage.
There are insurance companies that include all types of salons in their underwriting appetite. They sell a salon insurance plan offering all the business insurance policies salons need. Those who work for salons are offered salon chair and booth rental insurance.
The same circumstances apply for esthetician insurance. Since estheticians need to be more qualified than in many other fields (in the eyes of insurance companies), their insurance premiums are usually higher. Thankfully, it’s usually only a difference of a couple dollars per month.
Microblading insurance is a specialized coverage for microblading clinics and specialists, inclusions are general liability, workers compensation, commercial property, and professional liability insurance.
Insurance companies underwrite makeup artist insurance for wedding makeup artists, fashion makeup artists, cinema makeup artists, and more. Inclusions are professional liability, general liability, commercial property, public liability, and workers' compensation insurance.
Beauty therapist insurance is a specialized coverage for beauticians that offers general liability, professional liability, product liability, and workers' compensation insurance. This is also available to other professionals in the beauty industry who are not eligible for the insurance plans above.
Massage therapist insurance is a coverage that caters to the needs of massage clinics and massage professionals. Its primary components are general liability and professional liability insurance.
Beauty insurance costs aren't the same for all customers. Beauty insurance companies take a lot of factors into account when determining rates such as location, business experience, business size, claims history, and more.
On average, a $1 million general liability insurance for beauty businesses costs $36.12 per month or $433.34 per year. Take a look at the table below if you want to know the individual pricing of the best companies.
|Cost per Month||Cost per Year||Best for|
|NEXT||$7.92||$95.04||Best overall; Fastest general liability insurance for beauty businesses|
|CoverWallet||$34.25||$411.00||Beauty insurance quotes comparison online|
|Tivly||$36||$432||Comparing beauty insurance quotes over the phone|
|Hiscox||$49.31||$591.72||Beauty business general liability insurance with worldwide coverage|
|Thimble||$53.13||$637.56||Short-term general liability insurance for freelance beauty professionals|
To get the best beauty insurance, consider comparing the rates of different companies. Start comparing cheap beauty insurance quotes by clicking the “Get Quotes” button on this page.
There are many things you can do so lessen rates. The first is to pay high deductibles. Second, you can bundle policies to be eligible for a discount. Finally, don’t pay monthly beauty insurance but pay premiums in one go.
Get all the best quotes from leading providers in a click of a button!
We’re now going to take a look at some of the best beauty insurance companies out there. Picking out the right company will ensure that you get the best possible customer service and that you get quick responses to your claims. Read the reviews below to know the best companies’ pros, cons, and rate for a $1 million general liability insurance.
Cheap general liability insurance
Excellent customer reputation
Issues a certificate of insurance online that you can send to anyone easily
Great value for money
Fastest GL policy online
10% discount if you purchase two or more policies
Doesn’t cover all types of beauty businesses
NEXT offers beauty business insurance policies to cosmetologists, estheticians, barbers, nail technicians, and hairstylists.
This company’s general liability insurance for the aforementioned businesses has a $1 million per occurrence limit with a $2 million aggregate. Workers compensation and commercial property insurance are available as add-ons.
Work with NEXT because it issues a live certificate of insurance online you can easily send as a text message, social media post, or email through its website or mobile app. It also offers a 10% discount if you purchase two or more policies.
Best for: Best overall; Fastest general liability insurance for beauty businesses
Average cost: $7.92 per month
Our rating: 10/10
Compare quotes online
Unlimited certificates of insurance
Cancel a policy anytime
Doesn’t underwrite policies, only sells them
CoverWallet covers tanning salons, hair salons, barbershops, makeup artists, microblading clinics, and more. Its general liability insurance for beauty businesses has a $1 million-$2 million per occurrence with a $2 million aggregate. Non-owned/hired auto and products and completed operations coverage are included in its terms.
Aside from general liability, other business insurance products available are workers compensation, commercial property, and commercial auto insurance.
Don’t forget that CoverWallet has an online quotes comparison platform you can use to find other companies that ensure beauty businesses.
Best for: Beauty insurance quotes comparison online
Average cost: $34.25 per month
Our rating: 10/10
Build your beauty insurance plan from scratch
Compare quotes over the phone
Fast to process claims
Doesn’t provide instant online quotes
Similar to CoverWallet, this insurance company covers a wide array of beauty businesses. What makes Tivly (formerly CommercialInsurance.NET) different is that it takes you to other carriers if your business’s profile doesn’t match its underwriting appetite. Policies you can purchase from this company are general liability, cyber liability, product liability, commercial property insurance, and more.
The estimate of your insurance rates will be given by a representative. And so, call Tivly now to compare beauty insurance quotes over the phone.
Best for: Comparing beauty insurance quotes over the phone
Average cost: $36 per month
Our rating: 10/10
Sells a short-term general liability insurance
General liability insurance has business equipment coverage
Doesn’t allow you to customize the limits of its professional liability insurance
Thimble’s beauty insurance policies are made for makeup artists, salons, barbers, and other similar professionals. It offers workers compensation, general liability, professional liability, and workers compensation insurance.
Your general liability insurance from Thimble has a $1 million-$2 million per occurrence limit with no deductibles. Business equipment protection is added to its terms.
This company’s professional liability insurance for beauty businesses has a $2 million per occurrence limit. As for commercial property, you get $2,500 contents coverage and $30,000 building coverage.
Best for: Short-term general liability insurance for freelance beauty professionals
Average cost: $53.13 per month
Our rating: 9/10
Responsive to claims
Doesn’t sell all of its business insurance online
Hiscox has been in business for long, and they began as a marine underwriter for Lloyd’s of London, one of the biggest insurance companies in the world. Since then, Hiscox has become a specialty underwriter, working in fields like beauty to provide tailored coverage to its clients.
Hiscox offers general liability and professional liability coverage to beauty professionals and they pride themselves on offering their clients a wide range of flexible payment methods. They also have more responsive claims than many of their competitors and their coverage applies worldwide.
Best for: Beauty business general liability insurance with worldwide coverage
Average cost: $49.31 per month
Our rating: 9/10
Lonnie Bell Insuranker
Policy Type: Business Insurance
Company name: Employers Insurance
Use anyone except Employers. Period. They are non-transparent and shameful. After I complained long enough to warrant a call from a supervisor, the supervisor called back from a PRIVATE NUMBER (no caller ID), left a message that they are not reversing their decision (without any communication with me), and failed to leave a phone number for me to call back. She was hiding! They also fact find via email and phone calls, which is terrific for speed and communication. However, after setting a precedence of email or phone calls, they send time sensitive information via email, without any heads up... they are hoping you miss it and forfeit via expiration. Evil policies. Go elsewhere.
This place is an absolute joke of a company and should be ashamed of the way they conduct business. I was hurt on the job at the end of July and it took them just shy of 7 weeks to issue out a paycheck to me. Yes the amount was back dated but still. Not many have the luxury of not receiving a paycheck for almost 2 months. To top it all off, the original adjuster marked me down for the wrong state which caused a problem from the get go, I've had 3 different adjusters now since each one can't seem to figure out the simplicity of my claim. All my paperwork which includes, my job, house, and drs visits all are from the same state and city but yet some how I have been filed under a completely different state 1500 miles away. They do not answer your phone calls or emails no matter how many you leave. I've had to escalate my frustrations to the supervisors of each of these individuals in order to even get some kind of response. I've had more communication and information given to me about my claim from the customer service representatives then the actual adjusters.......... please tell me how that works?! A serious overhaul needs to happen here in order to serve your clients the way they deserve to be taken care of. 10/10 do not recommend this company to a single soul on earth
I have never had the displeasure of working with a more incompetent and disrespectful person in my life. I’m an injured worker and the adjuster that was assigned to my case was named Carrie Furgeson. In the past 6 weeks that I’ve been injured and out of work I have only been able to get ahold of her twice, not for lack of trying. I have left countless voicemails, countless emails, and she ignores them all. When I am finally able to get ahold of her I’m greeted with terrible customer service. She is rude, she talks over me and I’m hardly able to get a word in edgewise. She spelled my name wrong on my documents even after I spelled it for her properly countless times, this caused a whole new issue with my bank. I have bill collectors from the hospital calling me demanding payment and Carrie Furgeson won’t do a single thing to help, or to get them paid. All of my documentation is in Colorado, my job is in Colorado, my address is in Colorado, all my Dr offices and appointments have been in Colorado and Carrie still managed to hold my claim because she wasn’t sure what state she needed to file it under. It’s been 6 weeks since my Injury and my company still hasn’t received the wage paperwork to fill out so they can get me my correct wages. When she’s not ignoring me she’s answering my questions with “I don’t know” well I don’t know how she got this job, because apparently she doesn’t know anything about it. She is a disgusting morose individual inside and out and I genuinely wish her the worst in all of her future endeavors. I highly recommend you don’t use this company. Please if you are a business owner and your looking into this company please don’t use them. I’m sure they have the cheapest payment and that’s why companies use them in the first place, but you will be doing your employees a grave disservice by forcing them to venture into this absolute dumpster fire of a company. I would rate 0/5 if possible but 1 was the lowest I was allowed.
Their general liability insurance purchase process is simply the best online experience I've ever had in my life!
As long as they cover your line of business, you're literally covered! best rates, best coverage, best online experience, best professionals, can't be happier that I chose them!