Insurance for Nail Salons and Nail Technicians
As a nail professional, you stay current on the hottest colors and the coolest techniques in the nail industry. It's your job to make sure your customers' fingers and toes not only look fabulous, but are also well cared for.
However, between dealing with harsh chemicals and demanding clientele, it's risky business running a nail salon. To cover financial risks such as theft, property damage, lawsuits, many nail technicians purchase business insurance.
Depending on the size of your business, number of employees, and amount of nail salon equipment you own, some of the following nail technician insurance policies may make sense for your business.
General Liability Insurance
With its coverage for third-party (non-employee) bodily injuries, reputational disputes, and property damage, General Liability Insurance can offer a wide-range of financial protection for nail salons.
For example, say a customer slips and falls on a tiny spill from the pedicure tub. Your policy can help cover their immediate medical expenses (an ambulance ride and ER visit). It can also cover you legal expenses if they leave the salon on their own but decide to sue you later over their injury.
General Liability Insurance for nail salons typically costs $425 per year, or $35 a month.
Another way to get this protection? Buy a Business Owner's Policy (or BOP). It bundles General Liability Insurance with Commercial Property Insurance at a cheaper rate than buying the two policies separately.
A BOP offers your nail salon basic lawsuit coverage and property coverage for your salon supplies, furniture, equipment, and other business property. Commercial Property Insurance can cover losses from theft, vandalism, fire damage, and weather events listed in your policy.
Professional Liability Insurance
Professional Liability Insurance (also called Errors and Omissions Insurance) can cover lawsuits over staph infections, illnesses, and injuries your clients suffer as a result of your work. While you take great care to keep your equipment sterile to prevent "nail salon infections" or "manicure infections," nail tech insurance policies like Professional Liability can provide you with financial protection in case unexpected incidents happen.
Because of all the protection it provides, it's a frequently purchased policy. According to NAILS Magazine's NAILS 2015-2016 Big Book [PDF], 61 percent of nail techs say they had Professional Liability Insurance in 2015, and another 13 percent said they think they were covered.
Considering that the typical nail tech Professional Liability costs $700 annually (or $58 a month), it's easy to see how much this policy could save you if you're ever sued over professional mistakes.
Workers' Compensation Insurance
Nail salon Workers' Compensation Insurance can cover your salon whether you only have a couple of nail technicians or multiple locations filled with full-time staff. Nail techs do physical work and are exposed to harsh chemicals all day. When these conditions lead to work injuries or illnesses, Workers' Comp can help pay for employee medical bills and some lost wages.