Hypnotherapy Insurance & Hypnosis Insurance: Quotes From $5

Hypnotherapy uses hypnosis techniques to create a patient state of mind during therapy or counseling treatments by licensed medical health practitioners. Hypnosis is also a form of entertainment. There is a subsection of practitioners who will need to consider the potentially unique insurance requirements of hypnosis when used in non-therapeutic situations.

All service industries and business professionals, including hypnotherapists, hypnotists and businesses offering hypnotherapy, must carefully consider the need to have adequate insurance coverage. As with any medical treatment, hypnosis carries with it the possibility of an unpredictable outcome that requires risk mitigation strategies, including appropriate hypnotherapy insurance coverage, similar to the provisions of other complementary therapy insurance practices such as reflexology insurance, acupuncture insurance, chiropractor insurance or aromatherapy insurance .

Also read:

• Physical Therapy Insurance

Hypnotherapy Insurance

The American Hypnosis Association and the Hypnotherapists Union Local 472 are the organizing bodies for hypnotherapist professionals in the US. Certification under the auspices of these organizations requires the purchase of insurance. General liability and professional liability insurance for hypnotherapists are the primary requirements.

Hypnotherapists and hypnotherapy clinics need to hold a general liability insurance policy to cover incidents where business operations cause harm to third-parties. You’ll have protection against the following exposures by having this type of hypnotherapy liability insurance:

Coverage	Function
Third Party Personal Injuries	Hypnotherapy can have adverse side effects such as headaches and dizziness. When a client experiences these, stumbles, sustains injuries, and files a claim, general liability insurance will see to it that you can cover medical expenses without using business or personal funds
Third Party Property Damage	Your hypnotherapy service might also cause property damage. It’s also the job of general liability insurance to reimburse the value of a damaged property if an aggrieved third-party decides to file a claim
Legal Defense Costs	If the aggrieved third party decides to take legal action after sustaining personal injuries or property damage due to your hypnotherapy service, general liability insurance will provide money you can use to pay for attorney fees, administrative costs, compensatory payments, and other legal expenses

Many decide to get general liability insurance as the first line of defense against business exposures. This insurance can be modified and made more comprehensive by adding optional policies to its terms. And for hypnotherapists and hypnotherapy clinics, general liability insurance offers:

Rented Premises Liability Coverage	Hypnotherapists and hypnotherapy businesses sometimes rent a commercial space for business operations. When a rented commercial space becomes damaged due to a fire and the renter is liable for it, rented premises liability coverage will reimburse the losses of the landlord
Advertising Injury Coverage	Facing claims for slander, libel, copyright infringement, and other forms of advertising or reputational harm is another exposure you’ll have to face as a hypnotherapist or hypnotherapy business owner.  Advertising injury coverage provides protection against this. It will cover attorney fees, compensatory payments, administrative costs, and other legal expenses on your behalf
Products and Completed Operations Coverage	Products and completed operations coverage will cover attorney fees, court payment orders, administrative costs, and other legal expenses if a past client comes back and files a personal injury claim or property damage claim

How Much Money Can You Get from General Liability Insurance?

Hypnotherapy general liability insurance offers $1 million up to $2 million coverage. But this doesn’t apply to all.  This hypnotherapist insurance can offer $300,000 - $500,000 minimum coverage. You can also find options where the coverage can exceed $2 million provided that you meet specific requirements. The bottomline is that it all depends on the carrier underwriting the insurance. 

Professional Liability Insurance for Hypnotherapists

Professional Liability Insurance (known as an E&O policy as it covers “errors and omissions”) for hypnotherapists may be provided through your national or regional accreditation body. This type of hypnosis insurance kicks in when a client files a claim after experiencing financial or economic loss because of your services.  Professional liability insurance primarily covers the following perils:

• Negligence, mistakes, oversight, errors

• Violation of good faith

• Violation of fair dealing

• Violation of confidentiality

• Inaccurate advice

• Other acts constituting errors and omissions 

Many insurance companies will suggest you get both professional liability insurance and general liability insurance. These two liability insurance work hand-in-hand to provide your business a trusty shield against third-party claims. With that said, while you can choose to have one without the other, doing so might result in vulnerabilities. 

How Much Money Can You Get from Professional Liability Insurance?

Professional liability insurance provides $1 million up to $2 million.  But still, you can find insurance companies offering up to $10 million coverage. Again, it all depends on where you get the insurance from. 

Other Insurance Policies for Hypnotherapy Businesses

Additional policies, riders, endorsements, and coverage can be obtained for a variety of individual circumstances, including damage to business property, exposures associated with automobile use in the course of business, loss of business income, and more. Let’s discuss other types of hypnotherapy insurance coverage you’ll find useful. 

Commercial Property Insurance

Commercial property insurance is very useful if you’re running a hypnotherapy clinic instead of working for one.  This insurance will help you recover losses if the following happens:

Building Destruction	Building Damage
A fire will occur and burn your hypnotherapy clinic to ashes. Storms and typhoons can also destroy your hypnotherapy clinic. When any of these happens, commercial property insurance allows you to start all over again. It will reimburse your losses based on the actual cash value or replacement cost of your destroyed hypnotherapy clinic	Fire, extreme weather, theft, vandalism, and other covered perils might only damage your hypnotherapy clinic’s structures. In such a situation, commercial property insurance will reimburse losses based on the replacement cost or actual cash value of damaged roofing, signage, doors, gutters, and others

Your hypnotherapy clinic can get more from commercial property insurance if you decide to get the additional coverages it offers. Such additional coverages are:

• Stocks and contents coverage - Stocks and contents coverage is insurance for the valuable items inside your hypnotherapy clinic. Items covered are only those considered as non-business equipment and tools. With that said, if CCTV cameras, furniture, important documents, television, and other items inside your hypnotherapy clinic become damaged or lost due to theft, vandalism, extreme weather, and other covered perils, stocks and contents coverage will reimburse your losses. 

• Business equipment and tools coverage - A hypnotherapist, such as you, uses numerous business equipment and tools to provide a service. The job of business equipment and tools coverage is to reimburse your losses if hypnotherapy devices become lost or damaged due to theft, fire, vandalism, and other covered perils 

Remember that commercial property insurance doesn’t cover earthquakes, floods, and mudslides. If your hypnotherapy clinic is in an area prone to these, consider getting earthquake insurance, flood insurance, and mudslide insurance. These are available as stand-alone policies. However, the majority of insurance companies offer earthquake, flood, and mudslide insurance as a floater or endorsement to commercial property insurance. 

Replacement Cost vs Actual Cash Value 

Exactly how much money you can get from commercial property insurance depends on the replacement cost or actual cash value of the scheduled property.  The bullet below briefly discusses the difference between actual cash value and replacement cost:

• Actual cash value - Actual cash value means that the reimbursement you’ll get through commercial property insurance will be equal to the depreciated worth of the scheduled property. For example, if your hypnotherapy clinic is worth $300,000 and it depreciates 3% until burning to ashes, commercial property insurance will give you $90,000.

• Replacement cost - Replacement cost means that the reimbursement you’ll get through commercial property insurance will not take depreciation of the scheduled property into account. So if your $300,000 hypnotherapy clinic burned, you’ll also receive $300,000 from the carrier underwriting your commercial property insurance

What Business Property Can’t You Cover with Commercial Property Insurance?

Commercial property insurance won’t provide coverage to plants, trees, and other installations around your hypnotherapy clinic. Also, it won’t cover credit cards and cash that got stolen or damaged while inside your clinic’s commercial space.

Workers Compensation Insurance  

Workers' compensation insurance is a useful insurance for hypnotherapists and hypnotherapy clinics.  This covers all resulting expenses when an employee suffers from a work-related injury or disease. 

Coverage	Function
Employee Treatment/Medical Procedure	Common work-related injuries in hypnotherapy are carpal tunnel, eye strain, and repetitive motion injuries. When an employee suffers from any of these, workers' compensation insurance will pay shoulder all of the cost of the required medical treatment/procedure
Hospitalization	Work-related accidents will happen that will result in an employee being hospitalized. Workers' compensation insurance also covers this regardless of how costly the bills may be and where the employee is admitted
Medication	Upon sustaining a work-related injury or disease,  an employee of your hypnotherapy service business might need medicines. Workers compensation insurance also takes care of this and will provide the money your employee needs
Rehabilitation	Your employee might need rehabilitation to recover from a work-related injury or disease. Workers' compensation insurance also covers this. Specifically, it will pay for therapist fees, rehabilitation equipment, and other related expenses
Lost Income Compensation	Healing from an injury is to stop working for a while. Workers' compensation insurance will help you compensate for the lost earnings of an injured or sick employee. Lost income compensation will be equal to two-thirds or 67% of the average weekly wage
Death Benefits	Workers' compensation insurance provides death benefits if your employee dies from his injury or sickness. Death benefits include but are not limited to funeral payments and allowance to dependents

Commercial Auto Insurance 

Commercial auto insurance for hypnotherapists and hypnotherapy businesses provides coverage for an owned vehicle that’s being used to transport employees, haul supplies, meet clients,  and other related purposes. This provides the following protection:

Coverage	Function
Auto Liability Coverage	Auto liability coverage in commercial property insurance kicks in when your commercial vehicle causes an accident and injures third parties or damages properties. If a claim is filed, this will cover the medical expenses of people injured and reimburse the owners of damaged property
Physical Damage Coverage	Physical damage coverage will mitigate the hefty cost of vehicle repair and parts replacement. This is available as collision coverage or comprehensive coverage. Collision physical damage coverage will cover parts repair or replacement if the vehicle you’re using for hypnotherapy service becomes damaged after colliding with a vehicle or object. Comprehensive physical damage coverage, in contrast, will cover parts repair or replacement if the fire, hail, winds, theft, vandalism, and other covered perils damaged the vehicle
MedPay/Personal Injury Protection	MedPay and personal injury protection take care of the driver and passengers who get injured after the commercial vehicle causes an accident or gets involved in an accident. If you get involved in an accident, personal injury protection will cover your medical treatment, ambulance fees, after-hospital visits, and funeral expenses (in case of death). On the other hand, MedPay will only cover your medical treatment and funeral expenses

Business Interruption Insurance and Loss of Income Coverage 

There are many uncertainties when working as a hypnotherapist or running a hypnotherapy clinic. Some of these uncertainties might force you to stop work or close business for a while, resulting in loss of income. And so, it might be a smart decision if you decide to get business interruption insurance or loss of income coverage. 

Business interruption is what you need to get if you’re running a hypnotherapy clinic. This will supplement lost income if you need to stop business operations to relocate, renovate, or let an economic crisis pass by. On the other hand, if you’re working as a hypnotherapist, consider getting loss of income coverage. Loss of income coverage will supplement lost income if you can’t work due to a disability.  

Business interruption insurance provides money for 30 days. However, you can extend the duration to 360 days through an endorsement. On the other hand, loss of income coverage will last 120 days.

Employee Dishonesty Insurance

Get employee dishonesty insurance if you’re worried about the losses resulting from an employee’s crime. In practice, employee dishonesty insurance will reimburse financial losses if an employee commits fraud, social engineering, embezzlement, destruction of money and other securities, etc. Note that employee dishonesty insurance comes two types:

• Discovery based -  A discovery based employee dishonesty insurance will cover incidents the moment they’re discovered. Coverage applies even if the discovery happened while the policy is active or has expired

• Loss sustained - Loss sustained employee dishonesty insurance will only cover incidents reported to the insurance company while the insurance is active. 

Employer’s Liability Insurance

An employee files a claim for negligence upon experiencing a hypnotherapy-related injury or disease. Employer’s liability insurance helps with this by covering attorney fees, administrative costs, and other legal expenses. Before getting employer’s liability insurance, check with the workers' comp department of your state. It’s because your state might have a worker comp law that prohibits employees from suing employers with workers' compensation insurance. And if this is the case, investing in employer’s liability insurance might be a waste of money. 

Hypnotist Insurance

To this point, we have considered the insurance available to hypnotherapists and hypnotherapy businesses. But what about hypnotists who provide the same service but are not certified? The insurance available for hypnotists is tailored hypnotist insurance that provides coverage in the event of an unexpected injury, damages, etc. Professional liability, general liability, commercial auto insurance, and other specialized insurance products are included.

Local regulations covering hypnosis will need to be carefully understood and, if an individual is running a business involving the use of hypnosis without belonging to an accredited body of professionals, it is likely that insurance companies will have many questions, may refuse coverage and, certainly, will demand high premium compensation. Careful consideration of industry accreditation should be undertaken before approaching insurance brokers and underwriters.

Hypnosis has transfixed our imaginations for generations as a form of alternative medical therapy for a wide variety of disorders and conditions. Qualified hypnotherapists and hypnotists value the professional credence and peace of mind a well-planned insurance and risk mitigation strategy provides for all stakeholders, including those employing their services.

Hypnotherapy Insurance Cost

Hypnotherapy insurance cost is about $30 per month or $360 per year on average. However, as with any coverage, costs vary, and must depend on the type of policies required.

For professional liability insurance , there may be a relatively low cost to the business if the hypnotherapist is accredited by a recognized body that carries a policy for all certified professionals under their jurisdiction. If the claim payout maximum is considered insufficient, additional coverage can normally be arranged for an additional premium. 

It is important to understand your state’s legal requirements regarding medical practitioner insurance coverage and to confirm with your broker that your business is adequately covered. Annually, it is prudent to review your policy with a broker familiar with the hypnotherapy industry to be certain that you are adequately mitigating your risks.

Commercial property insurance for hypnotherapists will depend on the size of the company, its location, the number of employees, historical annual sales, insurance claim history and the underwriter’s assessment of industry risk. Although often as low as $40 per month .

By clicking the 'Get Quotes' button and completing the questionnaire, you can compare hypnotherapy business insurance quotes online from the best hypnotherapy insurance companies and choose the coverage options at the most reasonable possible rates thanks to the competition between them.