8 Essential Facts About Salon Services Insurance: Understanding Your Coverage

Whether you own a hair salon, beauty salon, or spa, understanding the complexities of salon services insurance is crucial. Let’s uncover eight factual aspects of this specific type of insurance to help you make an informed decision about your business’s coverage.

Fact #1: Salon Insurance Covers a Broad Range of Risks

Salon services insurance is designed to protect salon owners and their businesses from a variety of risks that they may face in the course of operations, such as property damage, professional liability claims, and employee injuries. The main purpose of this insurance is to offer financial protection so that salon owners can focus on providing excellent services to their clients without having to worry about potential lawsuits or damages that could harm their reputation and bottom-line.

In general, it covers three main areas: professional liability, property insurance, and employers’ liability. Each of these aspects provides coverage for different scenarios that may pose a risk to your business.

Fact #2: Professional Liability Insurance is a Must-have

Also known as treatment risk insurance, professional liability insurance protects salon owners if a client alleges that a service resulted in physical harm or was not done correctly, leading to dissatisfaction, injury or even a lawsuit.

Fact #3: Business Interruption Insurance is a Lifesaver

Business interruption insurance compensates you for lost income if your salon has to close temporarily due to a covered loss like fire or flood. It can help pay for rent, employee wages, and other business expenses during the closure.

Fact #4: Special Treatments Often Require Additional Coverage

Salons offering unique or potentially hazardous services, like laser hair removal or chemical peels, may need additional coverage. These services can expose your business to increased risks, making additional liability insurance necessary. You therefore have to accurately describe the services you offer when you apply for insurance. Otherwise, you won’t be appropriately covered.

Fact #5: Mobile Salon Services Present Unique Risks

If your salon provides services outside your physical location, mobile salon insurance can cover the specific risks associated with providing services on-the-go, such as injuries to clients or off-site property damage.

Fact #6: Policies are Typically Customisable

You can usually customise your salon services insurance to fit your business’s specific needs. This might involve adding additional coverage types, increasing your policy limits, or excluding certain coverage you don’t need.

Fact #7: Your Salon’s Location Influences Your Insurance Premium

Factors such as the crime rate, weather risks, and average cost of business property in your salon’s location can affect the cost of your insurance premium. High-risk areas typically lead to higher insurance costs.

Fact #8: Claims History Will Impact Insurance Premiums

The claims history of your salon can have an impact on your insurance premiums. Insurance providers often consider the frequency and severity of previous claims when determining the cost of your coverage. If your salon has a history of frequent claims or high-value claims, it may result in higher premiums. Conversely, a clean claims history with no or minimal incidents can help lower your insurance costs. Therefore, implementing risk management strategies and maintaining a safe working environment can not only protect your business but also contribute to more affordable insurance premiums.

Need Salon Insurance? Contact Salon Saver Today

Understanding your salon services insurance is vital for protecting your business from potential risks and liabilities. Armed with these eight key facts, you’re better equipped to review your current policy or to consider new coverage options, ensuring your salon stays protected as it continues to grow and serve your clientele.

Salon Saver is the next evolution of salon insurance. A new wave that excludes nobody from achieving their ambitions. Our insurance policies are strictly no-fuss – they don’t have all the same bells and whistles, but what they do have is all the core covers that you need to keep your business safe. And that’s what really matters. Our objective is simple; to bring low-cost core protection to those businesses that know what they need and don’t want to pay for more than they have to.

Dean Laming

Dean Laming is a Chartered Insurance Broker with more than 25 years insurance experience. Through various underwriting, operational and management roles, Dean has built up extensive knowledge of the hair and beauty sector and is now Managing Director of Salon Saver, part of the wider Henry Seymour Group.

All articles by Dean Laming