Products-Completed Operations
What Are Products-Completed Operations in Insurance?
In insurance, completed operations means “when you finish providing a beauty or bodywork service.” For claims that arise after your work is finished, there’s a specific coverage called products and completed operations coverage — it’s part of your general liability policy.
TL;DR:
Completed operations coverage definition: Coverage for accidents that happen after clients leave your beauty chair or bodywork table.
Why Products-Completed Operations Coverage Matters for Beauty and Bodywork Professionals
Products and completed operations insurance is crucial for every beauty or bodywork professional because you never know when a client might claim something went wrong.
- Sometimes allergic reactions or muscle soreness show up after the appointment
- Your business relies on products and services; this coverage is specifically designed for the risk related to your offering
- Many event organizers or salon/spa owners require this coverage before accepting you for work
Products-Completed Operations vs General Liability vs Professional Liability: What’s the Difference?
Products and completed operations insurance coverage is specifically for damages caused by the products you use and your completed work. General liability insurance is the larger umbrella of liability coverage that completed operations coverage falls under. Professional liability protects your professional services if you make a mistake.
Swipe →
| Coverage | What It Covers | Beauty or Bodywork Example |
|---|---|---|
|
Products and completed operations coverage |
Injury or property damage from a product you used, or after you complete a service |
Client has a delayed reaction to a skin serum used during a facial |
|
General liability insurance |
Injuries or damage not related to your technique |
Client trips over a cord at the reception area |
|
Professional liability insurance |
Injury or damage caused by your service or technique |
You accidentally burn a client during a hot stone massage |
Do Retail Product Claims Fall Under Products-Completed Operations?
Retail product claims typically do not fall under products and completed operations. If you sell haircare products or massage oils at your business, you need product liability insurance in case those products cause harm to a customer after they take them home.
Does a Next-Day Reaction Fall Under Professional Liability or Products-Completed Operations?
Coverage for a next-day reaction depends on the cause:
- Technique or application issue: Likely professional liability
- Issue caused by the condition of the finished work: Likely products-completed operations
For example, if a hair stylist fails to perform a patch test, and a client experiences skin sensitivity on their scalp the next day, this could fall under professional liability.
If a hair stylist performs the color correctly, but after rinsing, residual chemicals are left in the client’s hair, causing a reaction the next day, this could fall under products-completed operations.
The lines can get blurry, which is why it’s crucial to carry both products-completed operations coverage (under general liability) and professional liability here to ensure you’re covered against claims like these.
Related Terms
Certificate of Insurance
General Liability Insurance
Insurance ClaimProfessional Liability Insurance
