The Best Esthetician Insurance Companies for 2022

NACAMS ASCP Hartford The next one Beauty and bodywork Three insurances
AM Best A+ a- A+ a- A+ A++
Complaints Much less than expected Less than expected Much less than expected Much less than expected Much less than expected More than expected
Property insurance No Yes Yes Yes Limited Yes
Online purchase Yes Yes Yes Yes Yes No
Billing options Monthly Quarterly 10 monthly payments Monthly with two advance payments Annually Monthly
Aggregate Limits 3 million dollars 6 million dollars It varies It varies 3 million dollars 10 million dollars
Event/Claims Made Occurrence Occurrence Both Both Claims filed Claims filed

Occurrence form policies are preferred because they offer more protection. If a customer files a lawsuit against you after your policy expires, you will not be covered under a claims-made policy, even if the incident occurred while you had insurance coverage.

Frequently Asked Questions

What is the best insurance for an esthetician?

The best cosmetic insurance for you will depend on your coverage needs. A good policy will include professional and general liability insurance, but you may also need additional coverage, such as commercial auto or business personal property insurance. When choosing an insurance company, make sure the coverage you need is offered.

All other things being equal, you should choose an occurrence form policy over a claims made policy because a claims made policy can leave you vulnerable to lawsuits filed after your policy expires. But if you have budget concerns or need coverages that are not offered by event formation companies, you may end up opting for a claims policy.

The best esthetician insurance for you will also depend on where you work and whether you have employees. Some policies follow you wherever you work, while others require a permanent business location. And if you have employees, you’ll probably need to choose a company that offers workers’ compensation insurance.

What type of insurance does an esthetician need?

General and professional liability insurance is essential for estheticians. If you own or rent equipment to provide your services, you’ll also want personal business property coverage. If you drive to your customers, you’ll need commercial auto coverage. And if you have employees, you’ll likely need workers’ compensation insurance. Business income insurance is also valuable—it covers lost income if you have to cease operations for a covered reason—but it’s not absolutely necessary.

What is liability coverage?

Liability coverage helps cover legal fees and judgments against you as a result of a customer lawsuit. Estheticians need two types of liability coverage – general liability and professional liability coverage. General liability insurance covers claims related to bodily injury or property damage that occur when you provide your services. If a customer slips and falls at your place of business because your floor is wet, their medical bills will be covered.

Professional indemnity insurance helps cover damages and legal fees associated with lawsuits related to negligence, misrepresentation, personal injury or incorrect advice. So if a customer has an allergic reaction to a product you recommended and sues you for related financial losses, your professional indemnity insurance will cover you.

How we chose the best esthetician insurance companies

To determine the best esthetician insurance companies, we collected 20 data points on the best esthetician insurance companies by premium. This data includes:

  • Financial strength
  • price
  • Types and characteristics of policies
  • Exceptions
  • Consumer complaints
  • Online tools
  • Billing options
  • Coverage Limitations

We’ve given preference to companies with the highest AM Best rating, low customer complaint rates and those that offer coverage based on the date of the event rather than the time the claim is made. Companies with high aggregate coverage limits, monthly billing, low premiums, online purchase options and those that offer property coverage received ratings boosts. To rank the companies we studied, we applied the following weights to each customer-focused category:

  • Types of coverage and features: 40%
  • Financial stability: 20%
  • Consumer complaints: 25%
  • Online purchase: 10%
  • Billing Options: 5%

We delved into product and company specifics to determine which companies are best for which types of users. Using this research, we determined which companies offer the best esthetician insurance.

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