Successfully running a beauty business is a rewarding and very beneficial experience, but can come with its fair share of unforeseen challenges! There are occurrences such as allergic reactions or injuries that could prove to be troublesome. The esthetician business room is much like many others, in that you could face serious repercussions if you’re not prepared with the right kind of coverage.
What is Esthetician Insurance?
This is a specialized policy that consists of several different types of insurance that can meet the unique risks that come with this type of profession. If you have a client suffer an adverse reaction they may take legal action, and your general liability portion of your coverage would help you with your legal costs. This type of coverage from us here at the Alexander Agency of St Charles is essential for this type of profession because it will safeguard your business and personal assets from the numerous risks and liabilities that can come with the turf.
Who Needs Esthetician Insurance?
If you specialize in making your customers look good, we can specialize in providing you with peace of mind. Here are some examples of the types of professionals who will benefit from this comprehensive form of coverage.
- Barber shop owners
- Hair and nail salon owners
- Massage therapists
- Nail salons
- Spa owners
What Does Esthetician Insurance Cover?
Esthetician insurance includes several types of small business insurance that will cover incidents such as lawsuits, stolen inventory, damaged tools, lost income, and outright accidents. The standard business owners policy is a good place to start and provides a foundation with three essential coverages. The following three types of coverage are usually included in the business owners policy, with the ability to add extra coverage on top to customize it for your own specific needs.
Business Liability Insurance:
This coverage is the solid foundation for your esthetician insurance policy. It covers accidental injuries and property damage to others, as well as coverage for copyright infringement, harmed reputation, and injury that stems from advertising. If your floor happens to be slippery and a client falls down, the general liability portion will cover their medical expenses.
Commercial Property Insurance:
This type of coverage is typically included if you own a rental salon or spa space and protects your assets in case of damage or extreme theft. With intense weather becoming more commonplace across the nation, events such as fires and storms can wreak havoc on a well-functioning business. If your business falls prey to vandalism or acts of civil unrest, this type of coverage will cover the damage.
Business Interruption Insurance:
This type of coverage will help you if you temporarily close your business due to a problem already covered by your existing policy. Business interruption insurance will cover your lost income, while also assisting with the mounting expenses you’ll incur in the days after the event.
Commercial Umbrella Coverage:
Commercial umbrella insurance is an extra layer of protection on top of your general liability coverage. If your esthetician encounters the misfortune of being sued for $500,000 and your general liability limit is $200,000, your umbrella insurance would cover the $300,000 remainder.
Errors and Omission Insurance:
This covers your business for claims of professional mistakes and services, even if the claims are seemingly unfounded. For example, if your esthetician business gets sued because your treatment plan fails to deliver results, your errors and omissions coverage would pay for your legal costs. This type of coverage is also known as professional liability insurance.
What is not Covered by Esthetician Insurance?
There are some types of incidents that your esthetician insurance policy cannot cover. Here are some of the common exclusions:
- Deliberate or fraudulent acts
- Earthquakes (this requires the purchase of a separate policy)
- Confiscation of goods by the government
- Infectious diseases
- Radioactive fallout
- Wrongful dismissal
Ways to Save on Esthetician Insurance:
Here are some ways to lower your costs for esthetician insurance:
Compare multiple quotes:
While many insurance companies use similar factors to set rates, each has its own procedure for coming up with the final tally. That’s why it’s important to compare several business insurance quotes to find the best coverage and price for you.
Bundle your policies:
Combining coverage types is an excellent way to save money. A BOP will effectively bundle general liability, commercial property, and business income insurance for convenience. If you decide to purchase the BOP, it can be much less expensive than “cherry-picking” separate policies.
Increase your deductible:
Your deductible is the final amount that is subtracted from your claim’s payout disbursement check. You can enjoy savings on your business insurance premium when you opt for a higher deductible. Making this decision requires you to talk with your co-owners and employees about which application would best fit the needs of your business type.
Verify Worker Categorization:
Any job entity to have very detailed job descriptions for its entire staff. As you staff-only performed duties within their classifications this will help you save on workers compensation insurance. You can speak with us here at the Alexander Agency of St Charles if you’re not certain which classifications apply to all areas of your staff while you are working through this task.
Create a safety program:
Having a well-organized and implemented safety program in place is always a great idea. This can help qualify you for savings if you have documentation that you have incorporated into this practice. Having employees officially sign off on this type of training can provide a solid form of documentation that they are aware of risks and standard procedures if things go wrong on the job.
Pay your premium in full:
You could be eligible for a sizable discount by paying your entire premium upfront instead of by spacing it out monthly. As this has become more difficult for business owners to do since the pandemic and other rising economic pressures, insurance providers are willing to offer attractive discounts for those who can cover their premiums in full.
Policies for Staying Pretty: Protecting Your Beautification Business with Insurance
When it comes to esthetician business insurance, there are many variables to consider. We have long understood the range of coverage options designed to meet the diverse needs of skilled beauty professionals. A local touch can make a world of difference, and a firm with your success in mind is crucial. With extreme affordability, an excellent reputation, and responsive customer service as front-running traits, we can assure you that your business is consistently well-protected.