Public Liability

When you picture a beauty salon, a zone of relaxation and rejuvenation is normally what comes to mind – not a place for potential accidents and property damage to occur. The unfortunate reality is that accidents do happen, and damage can be expensive to fix.

Public Liability Insurance provides peace of mind against claims made against you by third parties for property damage, and personal injury or death, in circumstances that are not covered by the Accident Compensation Commission (ACC)). It’s also a likely requirement by your landlord if you lease your business premises.

Who needs Insurance for Beauty Salons?

Beauty professionals of all types may need insurance to protect their beauty salon, nail salon, day spas, mobile salon and other beauty business. This includes but it’s not limited to:

• Hairstylists and Barbers – Your work is a cut above the rest, but mistakes and accidents can happen to the best of us. Business insurance can help hairstylists and barbers protect their professional reputation and livelihood.
• Colourists – Insurance cover is available to help you prepare for the many shades of risk you might face as a professional colourist.
• Nail Technicians – Worried about protecting your small business? Nail technicians can file their troubles away thanks to the peace of mind that insurance can bring.
• Make Up Artists – Let’s face it—anything can happen when you’re running a small business! The right insurance cover can help make up artists manage common risks they might face as a beauty professional.
• And many more!

Protect your business today.

3 things to ask yourself when buying insurance

1. Does the policy cover all your areas of work? Make sure you check your policy for any exclusions or limitations. Your policy many not cover all of your business activities if they are not standard, for example, piercings, tattoo removal and Botox injections.
2. What kinds of risks does my salon present? If you are renting your beauty salon space, check if your landlord requires you to have a particular level of Public Liability cover.
3. How much would it cost to replace your stock, contents and salon equipment if it was lost, damaged or stolen? Take the time to calculate the value of the crucial things you rely on every day to keep your salon in the beauty game. It usually amounts to more than you think.

FAQ

Is insurance required for beauty professionals?

Some types of insurance are mandatory for beauty professionals, such hairstylists, nail salon owners, and make up artists. Others might not be required, but could still be nice to have—just in case.

Professional Indemnity insurance is compulsory for all members of the New Zealand Association of Registered Beauty Professionals. This type of insurance policy helps protect your professional reputation against claims of negligence or professional misconduct made by clients.

Public Liability insurance may be required by your commercial landlord to lease your business premises. In these cases, you’ll likely be asked to provide proof of insurance before signing a lease.

Even if a type of insurance is not required to do business, if you are at risk, it might be good to have protection in place. Insurance for your stock, portable equipment for mobile salons, and the other things you need to run your business smoothly can be helpful if unforeseen events threaten to close your beauty business.

What insurance do nail salons need?

Nail salons may need different types of insurance to protect their professional reputation, customers and clients, and other part of their business.
Nail salon and mobile salon owners might consider:

• Professional Indemnity – This covers you for third-party claims of alleged or actual negligence related to your professional services or advice.
• Public Liability – This covers you if a client or customer alleges that an injury or property damage or personal injury (not covered by the ACC) was caused by your negligent business activities.
• Business Insurance – This is an insurance package that can include different types of cover to help shield your small business from everyday risks. Business Interruption, Equipment Breakdown, and Theft are examples of the types of cover that can be included.

How much does insurance for beauty salons cost?

Just like the haircuts, manicures, and looks you create, every beauty salon is unique. Your insurance premiums will probably differ from other salons and beauty businesses, even those just down the road.
Some factors that can influence your insurance premiums include (but are not limited to):

• The work you do
• Where your salon is located (or the area where you work, for mobile salons)
• Who is being covered (i.e., just you, or you and your employees?)
• Your business’ annual revenue and turnover
• How much cover you need or want
• Your history of past insurance claims

These factors (and others) are used to help calculate how much you’ll pay for insurance. To better understand the amount you can expect to pay, it may be wise to compare quotes from two or more insurers. This can also help you find cover that fits your unique needs as a beauty professional.

* * As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy wording. The information contained on this web page is general only and should not be relied upon as advice.