Estheticians provide a very important service for people suffering from a variety of skin problems. Whether it’s something as simple and common as acne or diseases like eczema or lupus, estheticians help clients suffering from these conditions to go about their daily lives without concern about how their skin looks. The methods used to treat or hide these conditions vary depending on the needs of the patient and the specialty of the esthetician. Those working in a salon or from home likely provide more basic cosmetic procedures like make-up, facial massages, masks, and peels; while medical estheticians use lasers and acids. There is a significant level of risk for accidents, injuries, or other damage during any of these procedures. Esthetician insurance is essential coverage for any individual or businesses engaged in providing these services.

After reading this guide, you will have enough information about esthetician insurance costs to choose the best policy for your business’ needs.

We Cover in This Guide

• How much does esthetician insurance cost?

• What is esthetician insurance?

• What does esthetician insurance cover/not cover?

• Benefits and risks

• Types of insurance you may need

• Tips for buying

• FAQ

• Summary

How Much Does Esthetician Insurance Cost?

Esthetician insurance cost ranges from $39 to $99 per month depending on your provider, policy, business size, services provided, and coverage needs. Premium prices for common policies start at:

- Basic (essential coverage to meet client demands): $39 per month for general liability (GL)

- Standard (when you also have equipment or operate from an office): $49 per month for general liability + property; bundle them with a business owners policy (BOP)

- Pro (protect your business against service errors): $99 per month for a business owners policy (BOP) + professional liability

Most providers allow you to customize your policy by adding additional coverage to meet your particular needs.

What is Esthetician Insurance?

Esthetician insurance is a type of coverage designed to protect skincare service practitioners and business owners. While they provide countless benefits, these procedures are not without risk. No matter your certification, skill, how well you maintain your space and equipment, and how well you know a client, everyone’s body is different and accidents happen. Even if you don’t do anything wrong, if someone is harmed during or as a result of services you provided, you can sometimes be held liable for damages. Whether it’s malfunctioning equipment, slipping on a wet floor, accidentally poking a client in the eye, or an allergic reaction, an accident that  causes harm and a resulting lawsuit can destroy your business. The best way to protect yourself is with a comprehensive esthetician insurance policy.

What Does Esthetician Insurance Cover/Not Cover?

There are countless potential risks faced by estheticians. They can be directly related to your core business, like a burn, cut, or allergic reaction during a procedure; or an injury from someone simply tripping over a cable or piece of equipment. Additionally, the service you provide may not work and a client could become dissatisfied and want to recover their money. Most esthetician insurance policies cover these scenarios and others than fall into the following categories:

• Third-party bodily injury

• Third-party property damage

• Personal injury

• Products/completed operations

• Business personal property

• Lost business income

• Equipment breakdown or damage

• Professional service errors like hurting someone while providing your service

• Retroactive claims (previous contracted work)

• Subcontractor errors

While standard policies cover many scenarios, there are a number of common risks that are not included and require specialized insurance. Some examples are:

• Medical costs and lost wages from on-the-job employee injury or illness

• Damages or injuries while performing business-related tasks in a vehicle not owned by the individual or the company

• Theft or damage to your equipment while in transit

Benefits And Risks

Esthetician insurance offers various benefits to cover risks, including:

• Protect your assets: Whether you are a sole proprietor or own your own salon, a lawsuit can completely wipe out your profits, shut down your business, and/or even destroy your personal finances. A proper policy will cover liabilities and protect your business. 

• Peace of mind: ​Knowing that your business is covered in case something happens outside of your control gives peace of mind to you, your employees, and your customers.

• Cover legal expenses: If a client, employee, or third-party files a lawsuit against you, esthetician insurance will cover the expenses, including attorney fees and damages.

Types of Insurance you May Need 

• Errors and Omissions Insurance (E&O): Also known as professional liability, this policy protects your business from errors, mistakes, and accidents from advice or service you provide. Since estheticians provide both, this coverage is essential. 

• General Liability Insurance: Covers injury or accident claims, property damage, false or misleading advertisement, and pays related costs and expenses.

• Business Owners Policy (BOP): A combination policy that typically includes general liability and commercial property. A must-have for those operating out of their own space. Such coverage protects against damage to third-party property, as well as your own.

• Workers’ Compensation Insurance: Workers’ compensation covers your business from medical expenses and lost wages if an employee is injured or becomes ill while working.

Tips For Buying

When considering esthetician insurance costs, keep the following in mind before making your decision:

• Work with an independent agent: An independent insurance agent will help direct you toward providers with the best rates and the most experience covering esthetician businesses. 

• Identify your risks: Be sure to thoroughly analyze your business, considering the services you offer and the clients you serve, to identify potential risks. 

• Compare quotes: Policy costs vary between insurers. Consider several quotes to find the best rates and coverage.

• Bundle policies: Providers will often provide discounted rates when you combine certain key coverages, like a BOP with liability and property. 

FAQ

- Do I need my own policy if my employer has coverage?

Often company policies protect the business, but not the individual. That means that if you are named in a lawsuit, you could be liable for lawyers’ fees and potential damages. 

- Do I need workers’ compensation insurance?

Most states require you to have workers’ compensation insurance if you employ at least two people. Even if it’s not required, your employees will feel better knowing they are protected in case something happens.

- What coverage should I get to protect myself in case of an accident while driving to a client’s residence?

Purchase non-owned and hired auto insurance. This policy covers damages or injuries while performing business-related tasks in a personal vehicle.

Summary

Esthetician insurance protects your company from the various risks involved in providing skincare services.

By understanding esthetician insurance cost and determining your needs, you can know that your policy covers potential risks and feel secure that your business is safe.

All Types of Insurance You May Need