Last Updated: May 30, 2024, 1:42 pm by TRUiC Team

Personal Styling Business Insurance

Getting insurance for your personal styling business is essential.

Personal styling businesses need to be protected against claims arising from things like professional negligence, contractual breaches, and false advertising.

For example, your business made claims that misrepresented the qualifications of your stylists, or a client claims that your services have caused them financial loss.

We’ll help you find the most personalized and affordable coverage for your unique business.

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Recommended: Next Insurance is dedicated to matching small businesses with the right policy at the best price.

Best Insurance for a Personal Styling Business

General liability insurance is — generally speaking — one of the most important insurance policies for personal styling businesses. 

Some of the risks general liability insurance covers are:

  • Bodily injury
  • Property damage
  • Medical payments
  • Legal defense and judgment
  • Personal and advertising injury

Some other policies worth checking out alongside general liability include:

  • Home-based business insurance: Provides financial protection against damage to your business property if you work from home.
  • Professional liability insurance: Provides financial protection against lawsuits filed by clients claiming your advice didn’t lead to the results they desired.
  • Data breach insurance: Protects you from the legal costs of any claims filed against you due to confidential information that has been stolen from your system.

Make sure you are aware of the main two categories that insurance providers can fall into:

  • Traditional brick-and-mortar insurers — Own physical business premises.
  • Online insurers — Are based entirely online.

While the difference between these two key types may seem minimal, it should play a big impact on your decision. This is because, despite offering insurance of tantamount accuracy and quality, online insurers (such as Next and Tivly) charge far less due to their online structure.

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Cost of General Liability Insurance

The average personal styling business in America spends between $350-$750 per year for $1 million in general liability coverage.

Compare the average cost of general liability insurance for a personal styling business to other professional industries using the graph below.

Several factors will determine the price of your policy. These include your:

  • Location
  • Deductible
  • Number of employees
  • Per-occurrence limit
  • General aggregate limit

You may be able to acquire general liability insurance at a discounted rate by purchasing it as part of a business owner’s policy (BOP) rather than as a standalone policy.

A BOP is a more comprehensive solution that includes multiple forms of coverage, such as business interruption and property insurance.

Graph showing average price of general liability insurance prices per industry

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Find the Best Rate

Discover the best coverage at the lowest rate in our cheapest business insurance review.

Common Situations That General Liability Insurance May Cover for a Personal Styling Business

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Example 1: While entering your office, a client trips over a rug, falls, and breaks her wrist. Your general liability policy may cover the costs of treating the injury. If a lawsuit arises from the injury, it may also cover the costs of the lawsuit.

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Example 2: One winter morning, your area experiences unforecast snow and ice. Before you can shovel your sidewalks and apply ice-melt, your early morning client arrives. Upon stepping onto the stairs leading to your front door, the client slips and falls, landing hard on his backside. The intense pain sends him to the nearest urgent care center where he receives medical attention. Your general liability insurance policy should cover the costs of the medical care needed for the fall.

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Example 3: When placing an ad online for your services, you accidentally forget a zero, making your introductory personal styling offer much cheaper than you intended. You don’t realize the mistake until a potential client calls to inquire about your services and the advertised price. Upon telling the client that you made a mistake in the ad and telling them your actual sale price, they sue you for false advertising. Your general liability insurance policy may cover the costs associated with the lawsuit.

Other Types of Coverage Personal Styling Businesses Need

While general liability is the most important type of insurance to have, there are several other forms of coverage you should be aware of. Below are some of the most common types of coverage:

Home-Based Business Insurance

If you operate your personal styling business out of your home, you’ll want to consider purchasing a home-based business insurance policy. These policies help financially protect you in the event your business equipment is damaged or destroyed due to a covered event.

Professional Liability Insurance

Professional liability insurance protects you against lawsuits that arise due to your advice accidentally harming a client or not leading to the desired results.

Data Breach Insurance

Data breach insurance is also known as cyber liability insurance. It helps protect you against lawsuits from clients if information is stolen from your computer systems.

Commercial Property Insurance

If you own an office or commercial space where you meet with clients, you’ll want to acquire a commercial property insurance policy. This helps financially protect you in the event that your building or the property stored inside the building is damaged or destroyed due to a covered event.

Workers’ Compensation Insurance

If your personal styling business employs other workers, like front desk personnel and assistant stylists, you’ll want to purchase workers’ compensation insurance, which may help pay for any on-the-job injuries that you employees experience. Most states legally require businesses to carry this if they have any part-time or full-time employees.

Additional Steps To Protect Your Business

Although it’s easy (and essential) to invest in business insurance, it shouldn’t be your only defense.

Here are several things you can do to better protect your personal styling business:

  • Use legally robust contracts and other business documents. (We offer free templates for some of the most common legal forms.)
  • Set up an LLC or corporation to protect your personal assets. (Visit our step-by-step guides to learn how to form an LLC or corporation in your state.)
  • Stay up to date with business licensing.
  • Maintain your corporate veil.

Personal Styling Business Insurance FAQ

Yes, absolutely. You will need to first get a quote from an online business insurance provider like Next Insurance. Next allows you to then purchase a policy immediately and your coverage will be active within 48 hours.

A typical business owner’s policy includes general liability, business interruption, and commercial property insurance. However, BOPs are often customizable, so your agent may recommend adding professional liability, commercial auto, or other types of coverage to your package depending on your company’s needs.

"Business insurance" is a generic term used to describe many different types of coverage a business may need. General liability insurance, on the other hand, is a specific type of coverage that business owners need to protect their assets.

Yes. Since your personal styling business will likely face risks from its first day, failing to acquire business insurance in advance can be a costly oversight.

What’s more, you will also need to check whether there are any specific policies your business is required by law to obtain, such as workers’ compensation or commercial auto insurance.

Not necessarily. Certain exceptions may be written directly into your personal styling business insurance policy, and some perils may be entirely uninsurable.

Yes, an LLC is meant to create a legal barrier between your business and your personal assets and credit. If you haven’t formed an LLC yet, use our Form an LLC guide to get started.

An LLC doesn’t protect your business assets from lawsuits and liability– that’s where business insurance comes in. Business insurance helps protect your business from liability and risk.