Breaking Down the Average Salon Insurance Cost

By Darragh Timlin on June 13th, 2023

You’re probably aware that running a successful salon business involves more than just providing top-notch beauty services. One crucial aspect of managing your salon is ensuring that it’s adequately insured against potential risks and liabilities. But how much does the average salon insurance cost, and what factors influence this expense?

In this comprehensive blog post, we’ll break down everything you need to know about salon insurance costs in the UK. If you’ve ever wondered: “How much should I expect to pay for my salon’s insurance?”, “What coverages do I really need?”, or “How can I save money on my premiums?”, then keep reading – because we’ve got all those answers (and more) right here!

Understanding the Components of Average Salon Insurance Cost

The average salon insurance cost is a figure that can vary significantly based on several variables. Depending on your salon’s location, size, and type of services offered – as well as the level of coverage chosen – your insurance premiums may come to anywhere between £250 and more than £500 per year.

To truly understand the costs and risks associated with insuring your salon, it’s essential to break down the various components contributing to this expense.

These components typically include general liability insurance, professional liability insurance, property coverage for physical assets like furniture and equipment, and business interruption coverage. By examining each of these individual aspects in greater detail, you’ll gain a better understanding of how they contribute to your overall salon insurance cost.

Factors Influencing the Cost of Salon Insurance

Several key factors influence the average salon insurance cost. Some of these elements include:

  • Type of services offered: Salons offering more specialised or high-risk procedures, such as UV tanning, may face higher premiums. This is due to the increased potential for accidents, injuries or client dissatisfaction.
  • Number of employees: Larger salons with a higher number of staff members will generally require more extensive coverage plans than smaller establishments. This simply comes down to more employees and clients leading to a higher risk of incidents.
  • Claims history: A salon with previous claims or legal issues related to its operations may experience increased premiums. This is because insurers may view them as riskier investments.

There are various additional factors which may affect how much your salon insurance may cost, such as its location. Contact Salon Saver today to find out more and get a free personalised quote.

Types of Coverage Included in a Typical Salon Insurance Policy

A typical salon insurance policy consists of several types of coverage designed to protect your business from various risks associated with operating within this industry. The more types of cover your policy offers, the more expensive your insurance premiums will be. For example:

  • Public liability insurance: This type of protection covers third-party injuries or property damage resulting from incidents occurring at your establishment.
  • Professional indemnity insurance: Also known as treatment risk or treatment liability, this component helps safeguard against financial losses stemming from errors made during service provision.
  • Employer’s liability insurance: This is a legal requirement for any business that employs staff. It protects you financially in the event that one of your employees makes a claim against you, e.g. due to an accident in the workplace.
  • Property and contents insurance: This aspect of your salon insurance policy protects physical assets, including equipment, fixtures, and inventory as well as the building itself.
  • Business interruption coverage: This helps cover lost income and ongoing expenses when your salon is unable to operate due to circumstances like natural disasters.

If you sell goods at your salon, such as beauty products and accessories, your salon insurance policy should also include product liability cover. This will protect you if a customer makes a claim against you regarding a product you sold them.

The Role of Location and Size in Determining Salon Insurance Costs

Your salon’s location and size will also have a direct impact on the costs associated with insuring it. Salons operating in urban areas or larger cities generally face higher insurance premiums than those in small towns. This is due to increased risk factors, such as crime rates and higher footfall, as well as higher property values.

Additionally, larger salons with more square footage may require more extensive coverage plans than smaller establishments—thus increasing overall insurance costs.

Tips For Reducing Your Salon’s Overall Insurance Expenses

There are many things you can do to minimise your salon’s overall insurance expenses without sacrificing vital protection. For example:

  • Ensure all employees receive proper training in safety protocols
  • Implement security measures such as surveillance cameras and alarm systems
  • Regularly inspect equipment and facilities for potential hazards
  • Bundle various types of coverage under one umbrella policy
  • Maintain a clean claims history wherever possible

Additionally, obtaining several salon insurance quotes from multiple carriers is essential. By comparing these proposals side by side, you’ll be able to discern which provider offers the best combination of value and protection tailored specifically for your business needs.

Don’t forget to compare quotes every year – you may save money by switching to a different insurance provider when your current policy runs out.

Find a Great Deal with Salon Saver

At Salon Saver, we specialise in affordable yet comprehensive insurance policies designed specifically for salons. With many years of experience in the industry, we understand the unique needs, challenges and risks associated with running a salon business. Our mission is simple: to provide core protection at competitive prices without unnecessary extras that could drive up your premiums.

Take control of your financial future and safeguard your business with Salon Saver today. Contact us and our helpful team will happily provide you with more information, along with a personalised no-obligation quote.

Darragh Timlin

With over 25 years’ experience, Darragh is an expert in all things insurance. Starting his career in commercial property underwriting, Darragh has worked for a number of global insurers and is now Managing Director of Salon Saver, part of the wider Henry Seymour Group.

All articles by Darragh Timlin

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