Independent Beauty Contractors with Unique Coverage Needs
According to IBISworld, there are more than 1.4 million people working in over 250,000 hair salons or barber shops in the U.S. In order to be profitable in such a competitive marketplace, many salons now offer an expansive list of complementary services.
In addition, more than 50 percent of the salons operate on a rental model, where stylists are considered independent contractors and not employees. This model requires the independent contractor to obtain their own general and professional liability coverage to protect against the possibility of significant financial loss.
Perhaps the biggest exposure faced by stylists is professional liability, which USLI includes. Below is one example of the professional liability exposures a stylist faces on a regular basis:
A stylist used her normal hair dying solution on a new customer. The customer ended up having a severe allergic reaction to the chemicals and was hospitalized for two days. The medical and lost wage costs were $20,000.
Professional liability is just the beginning of what USLI can offer hair and beauty professionals. Our policy features include:
- Minimum premiums starting at $199 for independent contractors
- Coverage follows the insured to any premise in the coverage territory
- New ventures acceptable
- Up to $3 million in property coverage when writing the salon
- Access to our Business Resource Center
At USLI we set out to be the small business solution by understanding the needs of small business owners in an ever-changing industry. We can consider salons, shops or independent beauticians with expanded services such as tanning, massage, waxing, makeup and more.
With the booth rental model becoming the standard, these stylists will be required to find insurance policies that will follow them wherever they offer their services. The USLI Beauty Salon and Barber Shop product is the answer.
Contact your USLI Commercial Lines underwriter for a quote today!
As always, thank you for your support and business.
Written by David Ford
September 15, 2016
Contact Trung Doan,
Beauty Salon and Barber Shop Product Leader | 888-523-5545 Ext. 7320