Barber Shop Insurance

When running a barber shop, it's important to have the right barber shop insurance in place. This type of insurance protects your business against a variety of risks, including liability claims, property damage, and more. As a barber shop owner, your business falls under NAICS code 812111, which classifies personal care services like hair cutting, styling, and shaving. Your barber shop is responsible for providing grooming services to clients, often in a rented or owned commercial space, and having appropriate insurance coverage is crucial to mitigate potential financial losses.

General Liability

Professional Liability

Workers Compensation

What's Covered

As a barber shop, you can provide services like:

Haircuts for men, women, and children
Beard trimming and shaving
Hair coloring and treatments
Hair styling for special occasions

What's Not Covered

However, under this classification, you cannot perform services such as:

Nail care or manicures
Massage therapy
Skin treatments or facials
Selling retail products as your primary business
Tattooing or piercing

It's essential to understand these limitations so that your insurance policy adequately covers the services you provide and avoids any gaps in coverage.

Business Owner's Policy (BOP)

Coverage: A BOP typically combines general liability and property insurance, providing coverage for third-party bodily injury, property damage, and loss of business income due to a covered event.
Importance: It’s a comprehensive package tailored for small businesses like barber shops, protecting against common risks in one policy.

Surety Bond

Coverage: A surety bond guarantees that your barber shop will fulfill its obligations, such as adhering to state regulations and licensing requirements.
Importance: Essential for gaining client trust and securing contracts, especially in a regulated industry like personal care.

Workers' Compensation

Coverage: This insurance covers medical expenses and lost wages if an employee is injured on the job.
Importance: It's mandatory in most states and ensures that your employees are protected, which also shields your business from potential lawsuits.

Excess Liability Insurance (Umbrella)

Coverage: Provides additional liability coverage beyond the limits of your general liability policy.
Importance: Offers extra protection against large claims that could exceed your primary coverage, safeguarding your business assets.

Claim Examples for a barber shop include

Bodily Injury

Coverage: A client slips on a wet floor and sustains an injury, leading to a liability claim.
Importance: Covers medical costs and legal fees, protecting your business from financial strain.

Property Damage

Coverage: A fire damages your barber shop's interior, including barber chairs and equipment.
Importance: Covers the repair or replacement costs, helping you get back to business quickly.

Business Interruption Loss

Coverage: A flood forces you to close your shop temporarily, resulting in lost income.
Importance: Helps cover ongoing expenses and lost revenue during the closure period.

Business Personal Property Loss

Coverage: A break-in results in the theft of expensive grooming tools and products.
Importance: Reimburses you for the stolen items, minimizing the financial impact on your business.