When it comes to starting a new hairdressing business or evaluating the needs of your existing or growing salon, insurance should be at the top of your priority list. Skye Theodorou, Co-Founder and CEO of upcover, is here to explore five important things you should consider when looking at insurance for your hair salon or barbershop.
Hairdressing is a service industry that provides a product and a service to every person that walks through the door. Making sure there is adequate cover for both the advice part of your business, as well as any ancillary activities you might be also offering to customers, and even products you might sell is crucial as a first step to determining what cover to look for. As such, take heed of these important steps.
Professional Indemnity and public and products liability insurance is a must!
Public liability insurance is crucial for any landlord, or for any client haircuts you might provide as it protects from any third party that might be injured while providing your services. Products liability insurance also protects any third-party injuries that might arise from products that you might sell to your clients too. This includes products that you might relabel also, but that’s not all you do for your clients either – professional indemnity insurance protects for civil liability, or any claims that might arise from a client alleging that you failed to provide adequate services.
Getting cover for your work anywhere in Australia, for all your activities, and for mobile work too.
Did you know if your insurance can cover you for your services Australia wide – at client’s homes, your hairdresser, if you rent a chair, or own a salon? If you do any other services, from spa treatments including eyebrows, waxing, or manicures, it might be best to check that these are covered under your policy too.
What other types of insurance might I need?
Do you have special equipment? Getting this insured might be important too. Tools of trade or equipment insurance might also be important to protect some of your important salon equipment. Personal accident insurance is an alternative to workers insurance that can affordably protect you for employees or even contractors’ injuries that might occur while you work. Business package insurance – property, signage, glass cover or motor insurance might also help protect your business’ bricks and mortar shop, or your car if you need this for work too.
Reassess your insurance each year.
It’s important at each renewal to look and reconsider your insurance needs and if they have changed. Do any insurance details such as locations, staff numbers or revenue need to be updated? This might increase or decrease the cost of your insurance, but you always have a duty to not misrepresent so keeping this as accurate as possible each year is definitely key!
Choose an insurance that matches the size of your business and your risk appetite.
Like so many business owners, making a decision to purchase insurance is one of so many decisions that need to be made daily. Once it’s locked in it might be a bother to change, but it is always worth considering your options, not just for price but also to ensure that it suits the size of your business, and protects you for the things that you’re most concerned about. Finally, if you’re not sure? Ask your insurance broker or contact your insurer directly they should be able to answer most any concern you have.
Information provided is general advice only and has been prepared without taking into account any person’s particular objectives, financial situation or needs.
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