Your Guide to Hair Salon Insurance
Many ask why would you need a good hair salon insurance policy or a barber shop insurance insurance policy? The day-to-day operations of a hair salon require hard work, dedication and some serious taste for style. Creating gorgeous hair masterpieces is certainly a big responsibility. Hair salon owners also have a responsibility to their employees, customer satisfaction and duty of care, stock control and risk management and reductions – – that’s a lot to think about, right?!
So, if you own a hair salon or barber shop in Perth, or you’re thinking about starting one, here’s a guide to what’s involved in hair salon insurance. Same applies for Barber Shop Insurance. Read more to find the best insurance cover for your unique business needs.
Why do Hair Salon and Barber Salon owners need Insurance?
Whether it’s customer allergic reactions to hair products, tripping over equipment, to damage of property, there are a range of risks associated with owning and operating a hair salon.
There are three main areas of cover that Frans Du Plessis and the team at Grace Insurance in Perth recommend for small businesses, like hair salons:
- Third-party bodily injury,
- Property damage,
- Theft on premises,
- Plus, many more reasons you probably haven’t thought were relevant.
While not a specific type of insurance, hair salon insurance provides a combination of business policies styled to suit the unique needs of hair salons. With great expertise and ownership comes great hair masterpieces. With hair salon insurance, comes peace of mind, so you can focus on running your business and wowing your customers.
When would a claim be made?
- A customer could slip and receive serious injury on wet floor inside your hair salon. As a store owner, if you haven’t put up a wet floor sign how would this affect you? You need to make an effort to dry the area as soon as possible or advised people of the potential hazard, then you may be liable for negligence, should they suffer an injury.
- Covering lost stock and/or money from a break-in. Did you know ‘glass cover’ is an option under your hair salon insurance packing? This ensures the repairs or replacement of front windows in the case of accident or malicious damage.
- A workers’ compensation claim could be made if an employee is hurt at your hair salon, as a result of a workplace accident or illness.
Depending on the size of your hair salon, these claims (and more) could cost you thousands. Sometimes even millions of your hard-earned dollars. Could you afford to pay for the repairs or associated legal expenses? Below are types of insurance that can ease the costs related to unfortunate, unlikely, but still very real circumstances.
What type of insurance do Hair Salon owners need?
- Professional indemnity
The goal of your business is for your clients to look and feel great with the new look or style you provide. Hairdressers, like all people, are not infallible and have the ability to make mistakes. Not just emotionally traumatic, a compensation claim against you or your business could potentially ruin your business and reputation. Professional indemnity insurance protects your business from financial costs related to legal fees, settlements, and court costs associated with any legal action pertaining to negligence or allegations of poor quality service provisions.
- Public liability insurance
Whether you work from your own salon, or mobile service, you’re always in close contact with your clients. This makes Public liability insurance essential for hairdressers. In the unlikely event of a customer, supplier or member of the public sustaining injury or property damage as the result of negligent business (in)actions. Trips, falls, chemical hazards, electrical malfunctions causing injury and/or razor, scissor accidents are all very real hazards an employee or member of the public may experience in a salon.
- Business insurance
Loyal clientele is essential for your salon, but so is equipment, stock, contents and the salon building itself. Without business insurance cover, you may be faced with unplanned and unwanted challenges. Here’s what this cover includes:
- Contents and stock – Protection in the event of burglary and/or damage to goods.
- Building – If you own the building where the salon operates, you’ll need insurance to repair damage or cover a rebuild in the unfortunate event of fire or storm damage.
- Business interruption – In the event of a fire or natural disaster.
- Workers Compensation
Medical bills and wage replacements for hair salon employees who experience a work-related injury or illness such as breathing in hazardous chemicals or repetitive stress injuries such as carpal tunnel from cutting hair.
How do I obtain Hair Salon insurance?
There’s some important questions to ask yourself before getting insurance:
- What risks are associated with running my hair salon?
- Does the policy cover all risks associated with running my business?
- How much would it cost to replace contents, stock and salon equipment if it was lost, damaged or stolen?
This is how to prepare for Hair Salon Insurance:
- Gather all your necessary documents such as: business contact information, building lease (where applicable), number of employees, value of assets, service provisions, yearly revenue, type/amount of stored client personal data, products sold or shipped to customers, years of industry experience, years of business operation, current insurance coverage, claims history.
- Choose an Insurance Broker who understands your business needs and will work with you to find the best cover possible.
Hair salon insurance, not only provides peace of mind, but also eases the squeeze of (possible) repairs, replacements, payments and legal fees.
Grace Insurance as a solution
Grace Insurance strive to provide the best advice and service tailored to your business. We know insurance, and want to provide our tailor-made coverage to small businesses like yours. By taking out hair salon insurance, you can relax, knowing you have the best possible cover for all unfortunate events that could occur in your hair salon.
The right cover means you can focus on running your business, gaining and retaining loyal customers and creating gorgeous hairstyles.
At Grace Insurance in Landsdale, Malaga, Wangara, Ocean Reef, Joondalup we’re your trusted and local Perth northern suburbs Insurance Broker. Contact us today to see how we can help you protect your hair salon.