Your salon runs on professional tools, excellent service, and your dedication to make it happen. That’s why it’s crucial to protect all aspects of your business, from your day-to-day operations to the equipment used to help clients shine.
Naturally, you wonder if you need both general liability insurance and tools and equipment coverage for your salon — and if affordable options are available.
Yes. And yes. Get all your answers in the next five minutes. (Just enough time to get to your next booking!)
General Liability Insurance for Salons
Salon general liability insurance is coverage for accidents like slips and falls or property damage that happen at your salon, involving third parties (usually clients).
Think about your salon during business hours. If anyone other than yourself, your employees, or your independent contractors were to get hurt while on your premises (and the injury wasn’t related to the professional services your salon offers), general liability insurance could cover this kind of claim.
Here are some examples of how general liability protects salons:
- A client slips on a puddle of water while walking past a shampoo station
- A client’s vintage handbag is damaged when an acetone bottle tips over
- A shelf of products collapses and injures a client in the reception area
✨General liability insurance is one of the most essential business insurance types because it’s designed as a “general” catch-all for mishaps that occur at your salon (minus professional mistakes).
It’s a type of liability insurance you can think of as “insurance for others” — in case something bad happens to other people at your salon.
Salon Tools and Equipment Insurance
Tools and equipment insurance for salons is coverage specifically for damage and theft of your movable business property.
What would happen if all your shampoos, hot tools, business computers, and card readers suddenly disappeared from your salon? Would you need to turn clients away and lose out on sales? That’s a business nightmare — one that tools and equipment coverage is designed to help with.
Tools and supplies coverage, also known as inland marine, pays to repair or replace your business essentials if they’re lost or stolen.
This includes:
- Hair dryers
- Hot tools
- Scissors
- Shears
- Blades
- Color supplies
- Hair products
- Skin products
- Nail products
- Portable salon chairs
- Folding facial beds
- Rolling tool carts
- Business tablets
- Bluetooth speakers
- Point-of-sale devices
- Products for sale
What’s the Difference?
Here’s the main difference:
🫧General liability insurance is designed to cover client-related mishaps.
✂️Tools and supplies coverage protects the things you need to run your salon.
Think of salon insurance coverage like your service menu — you can choose the coverage options that best suit your needs. General liability insurance and tools and supplies coverage are just two “menu items” you need to protect your business.
Here’s how they’re similar:
- Both give you peace of mind to run your salon with confidence
- Both protect you from paying out of pocket for unexpected costs
- Both ensure minimal business interruption when things go wrong
The Cost of Being Underinsured
Coverage gaps can cost you big. A single incident can wipe out an entire month’s worth of your salon’s income.
🏷️$24,000 – Client Injury
A client walks into your salon on a rainy day. She slips and falls on water pooled near the entrance, fracturing her wrist. She files a claim for her medical expenses and lost wages from missing work.
The coverage that saves you: General liability insurance
🏷️$4,700 – Salon Theft
Your salon gets broken into overnight, and to your dismay, multiple high-value items were stolen, including your entire product inventory, styling tools, and business tablet.
The coverage that steps in: Tools and supplies coverage
Read more salon owner claims examples.
Do You Need Both Salon Insurance Coverages?
1. Do clients visit you in person at a salon, suite, or home studio?
A. Yes
B. No
2. Could someone slip, trip, or get injured on your premises — even if it’s not your fault?
A. Yes
B. No
3. Do you own or use professional tools like shears, clippers, or styling irons with a toolkit worth more than $500?
A. Yes
B. No
4. Would it hurt your business if your tools were stolen, damaged, or destroyed?
A. Yes
B. No
5. Do you carry your tools to different locations (like weddings or mobile services)?
A. Yes
B. No
If you answered mostly As, you need both general liability and tools and equipment coverage. You interact with clients and rely on valuable tools to run your business!
Cost Comparison: General Liability vs. Tools & Equipment Coverage for Salons
General Liability Insurance Cost
General Liability Insurance is part of your base BBI policy. It’s calculated by the number of salon stations you want to insure. Pricing starts at $31.08/month or $349/year.
| Number of Stations | Monthly Pricing | Annual Pricing |
|---|---|---|
|
1-2 Stations |
$31.08 |
$349
|
|
3 Stations |
$39.42 |
$449
|
|
4-5 Stations |
$47.75 |
$549
|
|
6-7 Stations |
$49.92 |
$575 |
|
8-9 Stations |
$58.25 |
$675 |
|
10 Stations |
$66.58 |
$775
|
Tools and Supplies Coverage Cost
Limits – Per Claim / Per Policy | Price | Deductible | |
Tier 1 | $2,000 / $2,000 | $2/month | $100 |
Tier 2 | $5,000 / $10,000 | $5.50/month | $200 |
Tier 3 | $10,000 / $20,000 | $10.67/month | $500 |
Tier 4 | $15,000 / $30,000 | $17.83/month | $500 |
Tier 1:
Limits – Per Claim/Per Policy:
$2,000 / $2,000
Price:
$2/month
Deductible:
$100
Tier 2:
Limits – Per Claim/Per Policy:
$5,000/$10,000
Price:
$5.50/month
Deductible:
$200
Tier 3:
Limits – Per Claim/Per Policy:
$10,000/$20,000
Price:
$10.67/month
Deductible:
$500
Tier 4:
Limits – Per Claim/Per Policy:
$15,000/$30,000
Price:
$17.83/month
Deductible:
$500
Cost Example
If you have two salon stations ($31.08/month) and need $10,000 in total coverage for your tools and equipment ($5.50/month), your total monthly cost for salon insurance is just $36.58!
Learn more about salon insurance costs.
BBI Is Styled Just for Salon Owners
You’ve built your dream salon — now it’s time to protect it. BBI specializes in protecting beauty professionals and salon owners like you with top-rated policies, customizable coverage, and the best rates on the market.
Build your perfect general liability policy with coverage for your tools and supplies online in minutes.
FAQs About Salon General Liability vs. Tools & Supplies Coverage
What’s the Difference Between General Liability and Tools and Supplies Coverage?
General liability covers client injuries and property damage, while tools and supplies coverage protects your gear from theft, loss, or accidental damage.
Do I Need Tools and Equipment Insurance if I Rent a Booth?
Yes! Your tools likely aren’t covered by the salon’s policy, and this coverage protects your equipment whether you’re at your booth or on the go.
Will My Landlord’s Insurance Cover My Gear?
No, your landlord’s insurance typically only covers the building, not your professional equipment.
Is Tools and Equipment Insurance the Same as Property Insurance?
Not exactly — tools and equipment insurance is a type of property insurance, but it’s specifically designed to cover portable business items like salon tools.
JoAnne Hammer | Program Manager
JoAnne Hammer is the Program Manager for Beauty and Bodywork Insurance. She has held the prestigious Certified Insurance Counselor (CIC) designation since July 2004.
JoAnne understands that starting and operating a business takes a tremendous amount of time, dedication, and financial resources. She believes that insurance is the single best way to protect your investment, business, and personal assets.
JoAnne Hammer is the Program Manager for Beauty and Bodywork Insurance. She has held the prestigious Certified Insurance Counselor (CIC) designation since July 2004.
JoAnne understands that starting and operating a business takes a tremendous amount of time, dedication, and financial resources. She believes that insurance is the single best way to protect your investment, business, and personal assets.
