The Covering Beauty Blog

Everything you need to know about insurance for your beauty business.

Are you sure you’re covered?

Posted January 26th, 2014 by Jeff Pulford

We here at InsureBeauty happily answer many questions from our beauty industry clients and have certainly heard many….  Some that we think might be helpful for beauty professionals are, as follows:

property

How do I determine a Business Personal Property limit for my salon?

  • Think of all your equipment, inventory, product and any improvements you have done to your business space, such as sinks or basins.  Then add up all their values and you will get the amount of Business Personal Property for your insurance policy.

caution

Do I need General & Professional Liability?

  • Yes you do.  General Liability is for the slip & fall due to water on the floor or trip & fall due to a cord across the floor.  Professional Liability is for a burned scalp or an infected finger due to “your work”.  Theses are examples of each type of liability.

Is my policy as a booth renter/independent contractor location specific for liability?

  • No. The booth renter/independent contractor general & professional liability policy follows you to any location where you are providing beauty services.
  • If you’re relying on the salon policy it only covers you when you are working for the salon.

    monthly bill

Do I have to pay all at once & upfront to get a booth renter policy?

  • No. The company we use offers direct bill payment plans with one to six payment options, with no installment fees!  Premium starts at an annual rate of $225!

If you have a more specific question, please call our office toll-free at: 855-257-0088 or visit our website at www.insurebeauty.com



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Beauty Business Success

Posted April 25th, 2012 by Jeff Pulford

InsureBeauty is dedicated to helping beauty businesses be successful.

 

You may, or may not, realize that there are many companies, individuals, groups, etc. that are linked to or may even depend on the success of your beauty business.  Here are a few we came up with…

 

Your employees / booth renters

Your landlord

Inspectors

Appliance retailers & wholesalers

Sign / awning companies

Contractors (plumbers, carpenters, & electricians)

Tax collecting agencies (cities, counties)

Alarm companies

Professional associations

Property managers

Furniture retailers & wholesalers

Industry magazines & books

Domain name / website hosting companies

Printing companies

Advertisers

Graphic designers

Credit card machine providers/vendors

Janitorial services

IT persons & companies

Accountants / bookkeepers

Computer retailers / wholesalers

Product suppliers

Investors / shareholders

Beauty schools

And last but not least… Your customers

If you can think of any to add to our list, please leave a comment below.

  .



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CYA: Covering Your Assets!

Posted April 3rd, 2012 by Jeff Pulford

This April 2012 Stylist article is part 1 of an interview with Fred Jones and InsureBeauty’s very own President, Jeff Pulford.

CYA: Covering Your Assets! A Salon Insurance Q&A

There are many hungry attorneys out there looking to make a buck off of the mistakes made in salons.  In this column, I have turned to Jeff Pulford, of InsureBeauty.com, a trusted and very experienced insurance expert to help explain steps salon owners can take to adequately prepare for such inevitable claims.

FJ   Jeff, before we get started on outlining insurance needs for salons, spas, and barbershops, are there some general points you would like to make about insurance?

JP   Insurance, just like the world we live in is complex.  No policy or insurance company covers everything.  Those seeking insurance coverage need to understand what events or accidents will be covered, the dollar amount or extent of such coverage, what is excluded, and how much the premium is.  Insurance companies are not mean or nice.  They want to help you if there is a claim.  They desire honest, complete applications so they understand their obligations to you.

FJ   That’s a helpful beginning.  So let’s dive into the insurance needs of a typical salon.  What should a typical policy look like?

JP   Beauty salons, spas, and barbershops are generally small businesses and can take advantage of an “all in one” policy called a BOP (Business Owners Policy).  These are standardized packages — which include Property (building and/or personal property), General and Product Liability, and Professional Liability.

FJ   Since Property was first on your list, can you provide some detail about the scope of such coverage when salon property is damaged?

JP   Property has at least four parts.   1.  Building coverage.  2.  Business Personal Property   This includes all contents, tools, computers, supplies, and retail sale items.  3.  Tenant Improvements – Generally those things the salon owns which are built into the building.  Examples are water and light fixtures, partitioned rooms and offices, cabinet, sinks, etc.  4.  Loss of Income and Extra Expense   Lost revenue and moving expenses are covered.

FJ   What kind of accidents or events will typically be covered under a Property claim?

JP   Examples are fire, smoke, explosion, collapsed roof (snow), water damage, riots, vehicle damage, theft, etc.

FJ   That’s funny you mention vehicle damage for a salon … why?

JP  Salons are located on busy streets and shopping centers.  Autos and trucks somehow end up going through the windows and walls……..I know of three that have happened recently in Central California.

FJ   What losses are excluded?

JP   The two most important are Earthquake and Flood.  Also, you cannot burn or damage your salon on purpose. Salon owners need to closely review “exclusions” to their policy.

FJ   That was simple enough, but as an attorney, I know liability matters can be a lot more complicated than property claims.  Can you put those matters in simple terms for our readers?

JP   Simply put: People are responsible for their own actions.  So if you cause bodily injury, property damage, monetary or emotional loss to someone, a liability claim against you is possible.

FJ   Perhaps a couple of actual examples will help frame General Liability and Professional Liability matters.

JP   Sure.  Since all master leases with salon owners will require General Liability coverage, let’s begin there.  The first category of such coverage has to do with accidents that happen at the salon, like “slip and falls”, burning down the shopping center, flooding the ladies dress shop next door, and the like.  The second category under General Liability insurance covers harm or damage done to customers as the result of retail products (like a hair product that burns the customer’s scalp when they use it at home).  A word of caution, it you mix products and sell them under your label, you must buy a special policy. Additional offerings of a General Liability policy include non-owned automotive accidents, “host liquor” and direct medical payments for injured individuals at your salon.

FJ  And Professional Liability?

JP The services a salon professional performs on the public are expected to be safe.  When a stylist cuts a customer or burns their scalp during a coloring, or a manicurist passes an infection to the client’s toes during a pedicure, or other professional mishaps, the salon will be held legally responsible.  Professional Liability protects the beauty professionals and the salon from such monetary damages.

FJ   I hear complaints by salons that some beauty services are not covered by the salon’s Professional Policy.  Why?

JP   Great Question!  Insurance companies offer professional liability policies that are specific to beauty establishments, but their policies may explicitly exclude certain services they consider beyond the scope of the barbering and cosmetology industry.  The policies can be very different from one insurance company to the next.  Generally, most insurance companies cover the skills and services taught in Beauty College.  If unique services are offered, special insurance will be needed.  Most “BOP” policies exclude the following: Tanning, Plastic Surgery, chemical facials, massage (below the neck and above the elbow), Permanent Makeup, Tattooing, Botox (or any other) injections, and many other medi-spa treatments.

FJ   Lawyers like me are involved in most lawsuits, and we’re not cheap.  Are the salons covered for their legal costs related to such claims?

JP   Yes, all insured liabilities include defense coverage, even if the suit is false or groundless.

Read the entire article at www.stylistnewspapers.com

 



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InsureBeauty Team Member: Ashley

Posted March 27th, 2012 by Jeff Pulford

Ashley is InsureBeauty’s Vice President of Operations and Account Manager.  She’s been complementing our team and helping us become successful since 1998. Ashley has focused her attention on working with larger salons and spas. By using our top insurance markets, Ashley has been able to help these businesses by offering cost effective insurance, proper coverage for the salons services offered and equipment and inventory.

Ashley is a graduate of Boston College and continues to develop her insurance knowledge by pursuing a professional designation as well as continuous educational classes for property and casualty.  Ashley is an active participant in the community and was a past president and several time board member of the Insurance Brokers and Agency of the Monterey Bay.

If you are interested in a quote for your salon, spa, barbershop, or beauty college, Ashley is a wealth of knowledge and more than happy to help.  Contact her at pulford1@redshift.com or (704) 489-2096.

 

 



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