The Ultimate Insider’s Guide to Salon Insurance Cost & Coverage
Salon insurance is your safety net for your career in beauty. Elite Beauty Society was built around providing the real protection that today’s professionals need to showcase their skills with confidence. Here, we’ll cover everything you need to know about the cost and coverage behind salon insurance and just how vital this risk management tool can prove to be for anyone seeking a long-term future in the business of beauty.
First On Everyone’s Mind—Cost. How Much is Salon Insurance?
Okay, so we know that cost should not be the only thing you look at when you are shopping for salon insurance but we also live in the real world too and know that cost is important to everyone. As a salon owner or booth, chair, or suite renter, you are effectively your own small business. Paying attention to the dollars and cents is how you create a healthy bottom line and a bigger paycheck you get to take home. So, while cost alone shouldn’t be your only priority with salon insurance, you should pay close attention to what you are paying for and what you receive for that investment.
Elite Beauty Society does salon insurance a little differently from other insurance programs out there. We never make you fill out a questionnaire that can take forever and even change the rate you will pay based on where you will be located and what services you offer. Straightforward insurance means providing price and plan information right upfront. No questionnaires, no mini-applications just to get a price.
Our salon insurance page carries the most up-to-date information but current pricing stands at $169 per year for a full year of coverage or $139.97 when you go ahead and purchase a two-year term policy. There’s also the option to finance the cost of salon insurance and depending on your credit can pay as little as $15.49 per month.
Salon Insurance Coverage Breakdown
Looking over the insurance side of the equation should be an easy task but different carriers can refer to similar coverages differently and why certain coverages are included isn’t always clear. Below we’ll cover each of the major coverage types you should find with a quality salon insurance plan.
What it is: professional liability insurance for beauticians protects you from claims arising out of the services you provided. Often, you will hear this referred to as either malpractice insurance or errors and omissions insurance. Claims related to professional liability could take the form of a client saying that their appointment with you left them with some form of injury (wax burns are quite common) and now they would like compensation.
How much you get: with Elite Beauty Society, you get $2 million for each occurrence up to a $3 million individual annual aggregate.
What it is: general liability provides protection for someone else’s injuries or damage to their property in, or around, your place of business. This is one you’ll hear called “slip and fall insurance” since that unfortunate event has happened to way too many business owners. A client that slips on some loose hair you missed sweeping up and fractures their hip may decide to sue to get their medical bills covered.
How much you get: as with professional liability, Elite Beauty Society provides $2 million for each occurrence up to a $3 million individual annual aggregate for general liability, as well.
What it is: in the business of beauty you rely on many different products every day. Even the cleaners you use around your station are important for the health and safety of clientele. However, a big liability exists when you use a product that causes a bad allergic reaction. Product liability coverage covers both the cost of the claim and legal defense fees when they become necessary.
How much you get: Elite Beauty Society salon insurance comes with up to $2 million in product liability coverage.
Rental Property Damage Protection
What it is: renting a booth, suite, or chair means you can be held responsible by your landlord if anything is broken. This could be as simple as spilling a product on the expensive hardwood floor and causing damage that your landlord says you need to pay to have fixed.
How much you get: with Elite Beauty Society, our members get up to $100,000 to help cover the cost of repairs when damage to a rented space occurs.
Identity Theft Protection
What it is: in the world we live in there has never been a greater reliance on digital tools. You use them to market your services, accept payments, connect with your clientele, and more every single day. Identity theft protection included with our salon insurance provides you a dedicated identity restoration specialist to help get your life back on track if your identity is ever compromised.
How much you get: you get up to $25,000 in identity restoration services.
Stolen/Damaged Equipment Protection
What it is: the tools of a beautician's trade are many and having a high-priced piece of equipment break or get stolen in a robbery can be both frustrating and costly. This coverage helps cover the cost of replacing the valuable tools you rely on to do your job.
How much you get: you get up to $1,000 with a $250 deductible.
Important Terms To Know From the Wide World of Salon Insurance
There are several key components to any salon insurance program to hone in on as you compare your options for insurance and choose the best plan for your situation. All of these provisions can mean the difference between full and out coverage versus less than adequate, or, worse, no coverage at all.
- Individual vs. Shared Aggregates: some plans out there use shared aggregates. These types of plans put several members under the same limit to bring down costs. However, this can be a risky move since you are putting your insurance coverage at risk of being diminished should others in the group have covered claims before yours. Elite Beauty Society only uses individual annual aggregates which means the entirety of the plan’s limits are yours and yours alone.
- Occurrence Form vs. Claims Made Policies: a truly crucial aspect of your salon insurance is between these two policy types. By far, the industry-preferred type is occurrence form but you will still see claims made policies out there. Claims made says you have to file a claim while the policy is active for it to be considered. This can really stink if you have an accident near the end of the term but don’t go to file the claim until after your policy expires.
Occurrence form says that since the event happened when the policy was active, it doesn’t matter if you file it after the policy expires, it should still be considered for coverage. Because this can mean the difference between full coverage and none at all, all of our salon insurance policies are set up as occurrence forms.
- Portability: if you move jobs or move across the country, we believe your insurance policy should follow you without you having to jump through additional hoops. Portability is a provision we built into our policies and means that your insurance through Elite Beauty Society is still active and in effect no matter where you choose to move to during your term.
- Covered Modalities: this term means the services you can provide that are covered under an insurance plan. At present, we cover more than 350 different beauty and wellness modalities, with more services being offered all the time. Other plans can limit what’s covered to a select few and then charge a premium on additional services or not cover them altogether.
Providing a service without insurance coverage is risky but beauty pros offer a ton of different services, often in the same appointment. That’s why our plans cover hundreds of the most popular services that today’s beauticians provide.
What Else Comes With a Salon Insurance Policy?
Maximizing the value of insurance in your beauty career takes getting a great product at a great price. The product part is actually two-fold with both coverage and benefits providing the framework of a solid plan. Elite Beauty Society has partnered with some of the top names and service providers in beauty today to get discounts and exclusive offers just for our members. There’s also a free professional website and a free 3-month trial to GlossGenius all to provide the best value to our members.