What Insurance Do Hairdressers Need?
Like with most industries, hairdressers should have business liability insurance to minimise the risk of financial ruin should a client, member of the public or employee take legal action against you.
Why? Because turning blondes into redheads and using a plethora of sharp (not to mention hot!) tools isn’t without risk. As a hairdresser, you’ll spend years training to be qualified in cutting, colouring, and styling skills. But that’s no guarantee things will always go to plan.
The insurance for hairdressing should specifically cover the treatments you carry out, those who come into contact with you, the products you supply, and anyone you employ. Here’s an overview of the insurance you need as a hairdresser to help you find the best coverage to protect you and your business.
Public Liability Insurance For Hairdressers
Public liability insurance covers you for legal costs and any compensation you have to payout. Should a member of the public be injured or have their property damaged by your business?
The nature of hairdressing means it must always be done in person. As a result, you will have clients and members of the public entering your salon on a daily basis. Any number of things could cause them to injure themselves – from a client-employee interaction to them having an accident as they walk through the salon.
Most salons and may self-employed hairdressers also sell at-home treatments, and if these cause irritation or even damage to a client’s home, then you could be liable to payout.
According to NimbleFins, public liability can cover a salon, or you can take it out if you are a self-employed hairdresser, too. Many of the aspects still apply to both full-fledged salons as well as mobile hair businesses since both involve working with the public in a hairdressing capacity.
Scenario: An employee accidentally cuts the skin of a client in the neck with their scissors. It is serious enough to require stitches and the client has to go to the hospital. They require time off work to recover and are left with a scar, so they sue you for damages.
How Much Is Public Liability Insurance For Hairdressers?
Public liability insurance is calculated based on the type of business you run and the cover level you need. It is specific to each business, seen as hairdressing businesses vary in the type of treatments they carry out. However, public liability insurance can be found for as little as £4.27 a month, depending on the size of your business.
Insurers will work out how likely it is you are to make a claim, and how much the claim would cost when deciding how much you will need to pay.
For example, hairdressers who use ‘fire haircutting’ would likely face incredibly high insurance costs. Although this service isn’t typically found in the UK, treatments such as keratin straightening are, and as the formulation often contains formaldehyde, this could bump up your insurance premium. Even basic colouring exposes your clients to the risk of irritation and allergic reactions.
Most insurers offer cover starting at £1,000,000, with cover going up to anywhere as much as £10,000,000. Although public liability insurance is not a legal requirement, the small cost compared to the cover it will give you will help protect your business. Otherwise, if you’re required to pay legal, compensation or medical fees out of pocket, it could cause financial ruin for your business.
Do Hairdressers Need Professional Indemnity Insurance?
Professional indemnity insurance, often referred to as treatment liability in the world of beauty is designed to protect business owners and the self-employed. A client should find the service they had carried out is unsatisfactory. Although professional indemnity insurance is also not a legal requirement, it’s often recommended since ‘the customer is always right’ mantra can take a toll on your profits. Plus, it will cover your business for any genuine or accidental mistakes, too.
After all, with hairdressing, you are changing somebody’s look. The finished result may be far different from what they had in mind, or there could be a problem with the treatment that causes injury or damage.
As an example with colouring, a strand test is advised with bleaching, since with each level you go up, the risk of hair damage and breakage increases. Sometimes this isn’t done, meaning it can be a guessing game as to whether the hair health is maintained or not, even when the likes of Olaplex are used.
Scenario: You are booked to style hair for a bridal party. The style ‘drops’ because the right tools and finishing products haven’t been used, as were agreed on in the trial. The bride is unhappy with her wedding photos and sues you for damages.
To Sum Up
Unless you are employing others, you don’t legally have to have insurance as a hairdresser. Though that doesn’t mean it’s not strongly advised, seen as even a small claim can ruin your finances not to mention your reputation. Plus, in the age of social media reviews, you want to be sure that you are legally covered for all eventualities since nothing spreads faster than a bad review.