Hair Salon Insurance
Hair salon owners know that the services you provide entail some level of risk.. These risks may not seem significant, but a multi-million-dollar lawsuit is not insignificant. The right coverage in place allows you to provide your services with confidence and peace of mind.
Every salon needs to have the proper insurance., whether you’re a one-person operation or run a large salon or spa.
Types of Hair Salon Insurance….
General Liability
If you’re ever sued, general business liability coverage, or GL, will protect your salon’s assets whether you’re at fault or not, for causing personal injury or property damage. This policy can be purchased on its own or in combination with a property insurance policy.
Property Insurance
Property insurance coverage provides protection against fire, theft, and lightening damage which are all risks of owning a hair salon, spa or barbershop. Open peril and named peril policies cover different loses. There are open & named peril policies. An open peril policy covers losses not excluded specifically in the policy. Named perils must be listed individually on the policy in order to provide coverage for a loss. A property insurance policy can be customized to meet specific needs of your hair salon. Adding endorsements allows for an increase of coverage iff needed. There are two ways in which property coverage pays for losses: 1) actual cash value or 2) replacement value.
Crime Insurance
Crime insurance covers various types of crimes including vandalism, theft, shoplifting and dishonest employee practices. Many customers of hair salons pay for services in cash, which is usually kept on your premises at any given time, making you much more liable for crimes of theft. Most of these crimes come from your own employees, new or existing customers, vendors and visitors that put you at increased risk.
Inland Marine Coverage
Inland marine insurance protects your hair salon’s property while in transit. In addition, this coverage protects your inventory being held in storage. When a hair salon’s equipment, or inventory is stolen in transit or at the storage site, such as hair dryers, an inland marine policy would cover you for the loss. Referred to as a floater, this coverage is highly recommended to account for various gaps in your insurance coverage and is usually purchased as a supplement.
Business Owners Insurance
A popular policy form is a BOP. This type of policy combines different types coverage into one packaged policy, such as newly acquired buildings, building and contents, business income or extra expense, and dishonest employee coverage. The BOP can cover repairs and replacements of beauty salon equipment If there was a natural disaster in your area that caused damage to your building and contents. It would also help cover the business income you lose while the repairs are being done. These policies are usually less expensive because they are structured within a package of coverages.
