Quick Guide to Cosmetology Insurance
Cosmetology insurance is designed to financially protect cosmetologists from expensive claims related to their work. It’s often required to rent a chair or booth. Beauty & Bodywork Insurance (BBI) offers this coverage for students and experienced pros from $9.99 a month!
From washing your makeup brushes after each use to using the right developer strength for color, you take care of clients every day. Likewise, cosmetology insurance is a smart way to apply that same high care factor to your business. Our cosmetology insurance guide is a deep dive on what this coverage is, why you need it, and how to choose the right policy.
What Is Cosmetology Insurance?
Cosmetology insurance is liability coverage for your cosmetology business. Think of it as a setting spray over your work, helping protect it from costly claims, such as client injuries or allergic reactions.
If your business accidentally harms a third party, such as a client, your policy can help pay for their medical bills, defend you in a lawsuit, or cover settlements or damages awarded.
In short, cosmetology insurance is specifically designed for beauty professionals and built around the risks associated with their services. It’s a combination of coverages tailored to how you work, so the costs of making things right don’t all land on you.
TL;DR
Say something bad happens at your studio. Rather than you paying for the damage or accident, cosmetology insurance can often kick in and cover the costs. It’s a financial safety net for your beauty business.
Who Needs Cosmetologist Insurance?
Every cosmetologist can benefit from cosmetologist insurance! If your work involves beautifying clients’ hair, skin, or nails, this coverage can help protect your business when things go wrong.
It’s essential for:
- Beauticians
- Makeup artists
- Cosmetologists
- Lash extension technicians
- Teeth whitening professionals
- Cosmetology students
- Hair stylists
- Barbers
All beauty professionals need insurance because no specialty is immune to risk. Whenever you glam a client or fill their lashes, there’s a chance you may cause an injury. It’s these unexpected moments that cosmetology insurance is built for.
Quick Tip
BBI’s cosmetology insurance covers all your standard beauty treatments under one policy. This means you don’t have to buy multiple policies to cover your entire treatment menu — just be sure to include all your current services when you check out. See the full list of our 250+ covered modalities on our Who Qualifies page.
Why Do I Need Cosmetology Insurance?
The main reasons cosmetologists need insurance are:
- To protect your business from claims that can cost thousands (or millions!) of dollars
- To rent a booth or station: Many salon owners and landlords require proof of insurance before approving you to work
- To boost your professional credibility: Clients would rather book with a beauty pro who has liability insurance (62.1% say so!)
- For peace of mind to work confidently instead of worrying about clients accidentally getting injured or making a claim against your business
| Who You Are | Why You Need Insurance |
|---|---|
|
Independent cosmetologist |
Your salon’s policy doesn’t cover you; it’s especially crucial to carry your own coverage |
|
Salon suite or booth renter |
You typically need to show proof of liability insurance before you can rent space |
|
Cosmetologist growing your clientele |
Carrying insurance helps show clients you’re a true professional who takes your business seriously |
|
Cosmetology student |
Cosmetology insurance helps protect your hands-on training |
|
A cosmetologist, period |
You need insurance because beauty services carry inherent risk; coverage can help protect you if you face a claim |
With over 82,000 openings for cosmetologists projected each year — plus a faster-than-average industry growth rate — standing out from other pros is crucial. In such a competitive landscape, showing your clients you’re prepared with insurance and being able to bounce back in case of a claim helps build a resilient beauty business.
Even if you’re still working to get your cosmetology license, insurance is a must-have for protecting yourself when you provide treatments in a learning environment.
What Does Cosmetology Insurance Cover?
BBI’s cosmetology insurance covers general and professional liability, with optional add-ons for more coverage. Included in general liability are several essential coverages, as well. Here’s how your policy protects your business.
| The Coverage | What It’s Designed to Cover | BBI’s Coverage Limits |
|---|---|---|
|
Third-party claims of bodily injury or property damage that happen at your business |
$2 million per occurrence / $3 million aggregate |
|
|
Third-party claims of bodily injury related to your professional beauty services |
$2 million per occurrence / $3 million aggregate |
|
|
Products and completed operations coverage (part of general liability) |
Third-party bodily injury claims arising from products used during treatments or the completed services themselves |
Included with general liability limit |
|
Personal and advertising injury coverage (part of general liability) |
Third-party claims of privacy violation, libel, slander, or copyright infringement |
Included with general liability limit |
|
Fire legal liability coverage (part of general liability) |
Fire damage to your rented space |
$300,000 aggregate |
|
Medical expense coverage (part of general liability) |
Medical bills for third parties injured at your business, regardless of fault |
$5,000 for any one person |
Insurance Lingo Explained (Click to Expand)
Insurance Lingo Explained (Click to Expand)
Who is a third party in insurance?
→ Anyone who is not a part of your business, so most often, a client.
What is a per-occurrence limit?
→ The maximum your policy may pay for a single claim.
What is an aggregate limit?
→ The maximum your policy may pay for the entire policy period.
All of the coverages in the table above come standard in BBI’s base policy! Select from the following add-on coverages for even more protection.
All of the coverages in the table above come standard in BBI’s base policy! Select from the following add-on coverages for even more protection.
| The Coverage | What It’s Designed to Cover | BBI’s Coverage Limits |
|---|---|---|
|
Theft or damage of your movable beauty tools and equipment |
Options from $2,000 per claim / per policy period |
|
|
Support for your business and clients in case of a cybersecurity incident (like a data breach) |
$100,000 aggregate |
|
|
Cupping or microcurrent endorsement |
Claims related to specialized services that are not standard on a BBI policy |
Same as base policy limits |
|
Liability claims related to fitness services you provide, such as personal training or yoga instruction |
Same as base policy limits
|
|
|
Allegations of sexual misconduct or inappropriate behavior (currently unavailable for male massage therapists)
|
Options from $10,000 per claim / per policy period |
What Are Some Common Cosmetology Insurance Claims?
Your biggest liability risks as a cosmetologist involve your workspace, the treatments you provide, and the products you use. However, accidents and injuries can show up in all aspects of your operations, including your online booking, marketing efforts, and beyond.
Here are some real claims we’ve seen at BBI that show common risks your industry faces.
Chemical burn, scarring, and hair loss from color service
→ $265,000
Coverage that can help: Professional liability insurance
Slip-and-fall injury in salon reception
→ $85,000
Coverage that can help: General liability insurance
Allergic reaction to eyebrow tint product
→ $25,000
Coverage that can help: Products and completed operations (general liability insurance)
Client’s eye struck with perm rod during service
→ $25,000
Coverage that can help: Professional liability insurance
Client’s foot caught in chair footrest, leading to forehead injury
→ $5,000
Coverage that can help: General liability insurance
No matter how dedicated you are to providing the best possible service to clients, there’s always a chance things don’t go as planned. With cosmetology insurance, the cost of that $5K or nearly $300K (or even higher!) claim doesn’t all come out of your pocket.
Quick Tip
Cuts, burns, allergic reactions, property damage, infections — the list of cosmetology risks goes on. Insurance is designed to kick in when you need it, but you can help reduce your chances of facing cosmetology claims by implementing simple risk management practices at your business.
How Much Does Cosmetology Insurance Cost?
BBI’s cosmetology insurance starts at $9.99 per month or $96 per year. Your final premium depends on the payment plan you choose (monthly or annual) and any optional coverages you select.
We price our policies with a simple flat rate for all cosmetologists, so there’s never any guesswork about how much you pay. For less than the cost of your monthly makeup sponge restock, your coverage provides everyday peace of mind against expensive claims.
The numbers, at a glance:
$9.99 a month for $3 million in annual coverage versus a mystery liability claim amount.
Why is BBI’s cosmetology insurance priced so affordably?
BBI only covers beauty and bodywork professionals — rather than a broad range of small business industries. Our niche allows us to price policies competitively, passing on the savings to you, while continuing to offer reliable coverage backed by excellent-rated carriers
What Else Do I Need to Know About Cosmetology Insurance?
Here are some other cosmetology insurance guide essentials to know.
What Happens When I File a Claim?
When you file a claim with BBI, it starts with your online claim submission:
- Log in to your user dashboard
- Click “File a Claim”
- Enter your claim information
- Submit
Afterward, someone from our team will reach out to confirm we’ve received your claim. A claims adjuster from the carrier will then walk you through the next steps.
Claims are stressful, so we make filing as straightforward as possible — and we’re always here to answer your questions throughout the process. Learn more about how to file a claim.
What Is an Additional Insured and Do I Need to Add One?
An additional insured is an additional person or business you add to your policy. This extends your liability coverage in case they are pulled into a claim related to your work.
For cosmetologists, additional insureds are often salon owners who contract you, landlords who rent space to you, or event organizers who work with you.
You don’t need to add anyone as an additional insured unless they specifically ask you to do so. To list someone as an additional insured, add their information when prompted during the online checkout process or any time after through your user dashboard.
BBI’s additional insureds cost $15 per individual or $30 for unlimited additional insureds.
Does My Policy Cover Me Wherever I Work?
Yes, BBI’s policy follows you wherever you work, from the salon to clients’ homes! It’s not location-specific, so you can confidently create beautiful looks wherever your business takes you.
BBI is currently unavailable for purchase in Missouri.
What’s the Difference Between Cosmetologist Insurance and Salon Insurance?
Cosmetologist insurance is for independent cosmetologists who work as contractors or booth renters. Though you may provide services in a salon, the coverage you need is an individual cosmetology insurance policy.
Salon insurance is coverage for salon owners, especially those who manage a team or need protection for their salon’s physical storefront. It can include general and professional liability, plus coverages like workers compensation or commercial property insurance.
What Is Occurrence-Based vs Claims-Made Coverage?
BBI’s policy includes occurrence-based coverage, which means you can file a claim for incidents arising while your policy is active, whenever — even after your policy period ends.
With claims-made coverage, on the other hand, you may only file a claim for issues arising while your policy is in effect.
Occurrence-based coverage is preferred in the beauty industry because sometimes claims don’t show up until later. If a client says your service caused them injury a year after they left your chair, you can still file a claim on your BBI policy as long as the trigger event happened while your coverage was active.
How Do I Choose the Right Beauty Insurance for My Business?
As you shop for beauty insurance, the most important factors to consider are coverage, pricing, and support. Over 75,000 industry professionals trust BBI to protect their businesses. Here’s why:
- Coverage tailored for cosmetology: Our policy includes general and professional liability coverage to help protect your business from common risks you face
- High coverage limits: Get $2 million per-occurrence and $3 million aggregate coverage that you never have to share with other policyholders
- Affordable pricing: Our base policy costs $9.99 a month or $96 a year; add additional coverages based on how you work
- Real customer support: Our support team is highly rated and made up of licensed, U.S.-based agents who don’t work on commission
- Easy, online, and fast: Buy your policy online and get instant digital proof of insurance to meet insurance requirements
- Approved by your fellow beauty pros: Cosmetologists, makeup artists, stylists, and other industry peers have great things to say about BBI in their customer reviews
Get Cosmetology Insurance With BBI in Under 10 Minutes
Congrats! You’ve made it through our cosmetology insurance guide and are ready to get covered. Buy a policy online in 10 minutes or less and get instant proof of insurance to send to salon owners, landlords, or clients.
With coverage from BBI, you can focus on helping clients look their best, with a just-in-case safety net for unexpected moments.
FAQs About Cosmetology Insurance
Is Beauty Insurance Worth the Cost?
Beauty insurance is a smart investment in the career you’re building. For as low as $9.99 per month, you get peace of mind to work confidently, meet salon insurance requirements, and show clients you’re a responsible pro.
If you cannot handle the cost of a liability claim out of pocket (think hundreds of thousands of dollars!), then yes, cosmetology insurance is worth it to protect your business.
What Is the Purpose of Liability Insurance in Cosmetology?
Liability insurance for cosmetologists is designed for when your business unintentionally harms someone else. It’s coverage for third-party claims like client injuries, accidents in your workspace, or property damage.
What Insurance Do I Need for My Beauty Business?
At a minimum, you need general and professional liability insurance to help protect your beauty business from common claims. Depending on your situation, you may also benefit from optional coverages like cyber liability or tools and supplies coverage.
What Happens if I Don’t Have Cosmetology Insurance?
If you don’t have cosmetology insurance and a client makes a claim against your business, you’ll be responsible for covering the costs of your defense and damages on your own. Without a policy, you may even miss out on work opportunities, as many events and salons require proof of insurance.
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.
